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Worked example

Practising on Capital.com's numbers

This is an exercise sheet, not a review. We are going to take three things that Capital.com publishes — a spread, a ladder of account types and a list of licences — and turn each of them into something you can do arithmetic with. By the end you should be able to repeat the whole exercise on any firm you come across, which is the actual skill being taught.

Attached to: Turning a spread into money·The lesson this practises

The figures we are working from

Nothing below is our estimate. Where a firm has not published something, or we could not read it on a source we trust, the box says so instead of guessing — a habit worth copying when you build your own broker notes.

0.6Published EUR/USD spread, pips
$20Minimum to open, USD
2016Trading since
London, UKHead office
1:30 (UK/EU retail)Retail leverage cap
6Licence lines on file

Exercise one — turn the spread into money

The spread is the gap between the price you can buy at and the price you can sell at, and you pay it the instant you enter. Capital.com publishes 0.6 pips on EUR/USD. On its own that number means nothing. Here is how it becomes money.

1Fix what one pip is worthOn a one standard lot EUR/USD position — 100,000 units — a one-pip move is worth $10. That is a property of the contract size, not of Capital.com, and it holds wherever you trade.
2Multiply the spread by the pip value0.6 pips × $10 a pip = $6.00. That is what it costs to open and close one standard lot here, before any commission the account may also charge.
3Scale it down to a size you should actually tradeA beginner has no business trading a standard lot. At 0.01 lots — a micro — every figure divides by a hundred: the same round turn costs $0.06. Small enough to practise with, large enough to be real.
4Ask what the cost buys youA $500 float would be entirely consumed by 83 standard-lot round turns at this spread and nothing else. That is the number that should change how often you click.
A 1.0-lot EUR/USD round turn here costs about $6.00 in spread at $10 a pip — before any commission.

Now do it without us

Take the spread of any other firm on the practice index, run the same four steps, and write both figures down — per lot and per micro. When you can do that in your head you have stopped shopping on marketing copy and started shopping on cost. The pip value calculator will check your working on pairs where the pip is not a flat ten dollars.

Exercise two — read the account ladder

Account tiers are a pricing structure dressed as a status ladder. Capital.com offers 3 rungs. Read them as a question — what does each rung ask of me, and what does it give back? — rather than as a set of prizes to climb towards.

  1. Retail CFDThe entry rung. Whatever the published spread applies to, it is almost always this one — so this is the rung your arithmetic above describes.
  2. Spread betting (UK)A higher rung usually trades a tighter spread for a commission, a larger deposit, or a status test. Convert both pricing models to money per lot before you decide either is cheaper.
  3. ProfessionalA higher rung usually trades a tighter spread for a commission, a larger deposit, or a status test. Convert both pricing models to money per lot before you decide either is cheaper.

Account names as published: Retail CFD, Spread betting (UK), Professional. Platforms listed: Capital.com proprietary web platform, MT4 (selected entities), TradingView, Mobile apps.

Exercise three — what this licence list means for you

A long licence list is not automatically a good sign. What matters to a beginner is a narrower question: which entity would hold my money, and who supervises that entity? Those are often not the same as the impressive name at the top of the list. Here are Capital.com's lines, each with a plain reading.

RegulatorEntity on the registerNumberWhat that means for a beginner
FCA · UKCapital Com (UK) Limited793714a top-tier regulator: compensation scheme, capital rules and a public register you can search yourself
CySEC · CyprusCapital Com SV Investments Limited319/17a mid-tier regulator: real supervision and a register, usually with a smaller or capped compensation scheme
CySEC · CyprusCapital Com Group Ltd463/25a mid-tier regulator: real supervision and a register, usually with a smaller or capped compensation scheme
ASIC · AustraliaCapital Com Australia Pty LtdAFSL 513393a top-tier regulator: compensation scheme, capital rules and a public register you can search yourself
SCA (UAE) · UAECAPITAL COM MENA SECURITIES TRADING L.L.C.20200000176a mid-tier regulator: real supervision and a register, usually with a smaller or capped compensation scheme
SCB (Bahamas) · BahamasCapital Com Online Investments LtdSIA-F245an offshore registration: a company exists and pays a fee, but expect little practical recourse from that entity
How to use that table

2 of these lines are top-tier — held by Capital Com (UK) Limited, Capital Com Australia Pty Ltd. If you are onboarded to a different entity than those, the protections attached to the top-tier line are not yours, however prominently the regulator's initials appear in the marketing. 1 line is offshore registration; treat those as a company address rather than as supervision.

The record behind these numbers

What we could not verify

The following are unconfirmed and are deliberately left blank rather than estimated: Nobody has published founding year is from secondary sources rather than a Capital.com corporate page in a form you could check yourself.. Confidence in this file overall: high. When you build your own notes on a firm, keep a list like this one — the gaps are more useful than the figures, because they tell you what to go and check.


Run the same exercise on another firm

PipMentor does not rank brokers, does not award badges and does not tell you where to open an account. This page exists so the arithmetic you learn in the curriculum has real numbers to bite on.