8 minute read
Does JustMarkets Have Synthetic Indices? A Deep Dive for Traders
from JustMarkets
by Exness_India
If you’re wondering whether JustMarkets offers synthetic indices, let me cut to the chase: No, JustMarkets does not currently offer synthetic indices as part of its trading instruments. But don’t click away just yet! There’s a lot to unpack here, including what synthetic indices are, why they’re popular, and what JustMarkets does offer that might still make it a great choice for your trading journey. In this article, I’ll break it all down in a easy-to-digest way, so you can decide if JustMarkets aligns with your trading goals or if you need to look elsewhere for synthetic indices.
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What Are Synthetic Indices, Anyway?
Before we dive into JustMarkets’ offerings, let’s get clear on what synthetic indices are. If you’re new to trading, synthetic indices might sound like some high-tech, futuristic concept, but they’re actually pretty straightforward. Unlike traditional indices (like the S&P 500 or NASDAQ), which track real-world assets like stocks, synthetic indices are simulated financial instruments. They mimic the price movements of real markets but aren’t tied to actual assets or affected by real-world events like news or economic shifts. Instead, their price movements are driven by algorithms and random number generators, ensuring consistent volatility and 24/7 trading availability.
Think of synthetic indices as a playground for traders. They offer a controlled environment where you can trade anytime, day or night, without worrying about market closures or unexpected news spikes. Popular examples include the Volatility 75 Index (VIX), Boom and Crash indices, and Step Indices, primarily offered by brokers like Deriv. These instruments are a hit among traders who love high volatility, quick trades, and the flexibility to trade round-the-clock.
So, why does this matter? If you’re eyeing synthetic indices, you’re likely looking for a broker that supports these unique instruments. Let’s explore whether JustMarkets fits the bill or if you’ll need to consider other platforms.
JustMarkets: What’s on the Menu?
JustMarkets is a well-known forex and CFD broker that’s been making waves in the trading world. It’s praised for its low spreads, high leverage (up to 1:3000), and a wide range of financial instruments. But when it comes to synthetic indices, JustMarkets doesn’t include them in its lineup. Instead, the broker focuses on more traditional assets, which still offer plenty of opportunities for traders. Here’s a quick rundown of what you can trade on JustMarkets:
Forex: Over 50 currency pairs, including major, minor, and exotic pairs, with tight spreads starting from 0.0 pips on Raw Spread accounts.
Indices: Major global indices like the Dow Jones, NASDAQ, S&P 500, FTSE 100, and Nikkei 225. These are traditional indices, not synthetic ones, meaning their price movements are tied to real-world stock market performance.
Stocks: CFDs on individual stocks like Apple, Tesla, and more, giving you a piece of the action in major companies.
Commodities: Trade metals like gold and silver, as well as energies like oil.
Cryptocurrencies: Popular cryptos like Bitcoin, Ethereum, and others are available for trading.
JustMarkets also offers multiple account types—Standard, Pro, and Raw Spread—tailored to different trading styles, from beginners to scalpers. With platforms like MetaTrader 4 and MetaTrader 5, you get access to advanced charting tools, fast execution, and a user-friendly mobile app for trading on the go.
While JustMarkets doesn’t offer synthetic indices, its selection of traditional indices and other assets is robust. If you’re set on trading major indices like the S&P 500 or NASDAQ, JustMarkets provides competitive spreads (as low as 0.0 pips) and leverage, making it a solid choice for index trading. But if synthetic indices are your thing, you’ll need to explore other brokers.
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Why Doesn’t JustMarkets Offer Synthetic Indices?
You might be wondering why a broker as versatile as JustMarkets doesn’t jump on the synthetic indices bandwagon. The answer lies in their business model and market focus. JustMarkets specializes in forex, CFDs, and traditional indices, which are more widely traded and regulated across global markets. Synthetic indices, while growing in popularity, are a niche product primarily offered by a single broker, Deriv, which owns the proprietary algorithm that powers these instruments.
Deriv’s monopoly on synthetic indices stems from its cryptographically secure random number generator, which is audited for fairness and ensures transparent price movements. No other broker can legally replicate this technology, making synthetic indices exclusive to Deriv’s platforms. JustMarkets, like most brokers, sticks to assets that are broadly accessible and tied to real-world markets, which may appeal to traders who prefer a more traditional approach.
Additionally, synthetic indices come with unique risks. Their high volatility and algorithmic nature can lead to rapid price swings, which might not align with JustMarkets’ goal of providing a stable, accessible trading environment for a wide audience. Instead, JustMarkets focuses on offering low spreads, high leverage, and a diverse range of assets that cater to both novice and experienced traders.
Should You Choose JustMarkets Anyway?
If synthetic indices aren’t your only focus, JustMarkets is still worth considering. Here’s why it might be a great fit for your trading needs:
Competitive Trading Conditions: JustMarkets offers ultra-tight spreads (starting at 0.0 pips on Raw Spread accounts) and leverage up to 1:3000, which can amplify your trading potential.
Fast Execution: Trades are executed in fractions of a second, which is crucial for fast-moving markets like forex and indices.
User-Friendly Platforms: Whether you’re using MT4, MT5, or the JustMarkets Trade app, you’ll find intuitive tools and 24/7 support to enhance your trading experience.
Low Entry Barriers: With a minimum deposit of just $10 for the Standard account, JustMarkets is accessible to beginners.
Global Indices: If you’re into indices, JustMarkets lets you trade major global markets like the Dow Jones and NASDAQ, which are ideal for those who want exposure to real-world market trends.
On the flip side, if synthetic indices are non-negotiable for you, JustMarkets won’t meet your needs. You’ll want to check out Deriv, the go-to broker for synthetic indices like the Volatility 75, Boom, and Crash indices. Other brokers like HFM, XM, and FP Markets offer CFDs on the VIX (a volatility-based index), but these are asset-based synthetic indices, not the simulated ones Deriv provides.
Alternatives for Synthetic Indices Trading
If you’re set on trading synthetic indices, here are a few brokers to explore:
Deriv: The undisputed leader in synthetic indices, offering instruments like the Volatility 75, Boom 500, Crash 1000, and Step Indices. Deriv’s 24/7 trading, high leverage (up to 1:1000), and demo accounts make it a top choice.
HFM: Offers CFDs on the VIX index with low spreads (starting at 0.06). While not a simulated synthetic index, it’s a great option for volatility trading.
XM: Provides access to the VIX index on MetaTrader 5, with spreads starting at 0.08. It’s a solid choice for traders who want a mix of synthetic and traditional indices.
FP Markets: Features CFDs on the VIX index with spreads as low as 0.15, alongside a wide range of other indices.
Each of these brokers is regulated by reputable authorities like the FCA, CySEC, or FSCA, ensuring a secure trading environment. Before choosing, compare their fees, platforms, and account types to find the best fit for your strategy.
How to Decide What’s Right for You
Choosing a broker comes down to your trading goals. If you’re drawn to synthetic indices for their 24/7 availability and high volatility, Deriv is your best bet. But if you’re looking for a reliable broker with a broad range of traditional assets, low spreads, and high leverage, JustMarkets is a strong contender. Here’s a quick checklist to help you decide:
Do you need synthetic indices specifically? If yes, go with Deriv or brokers offering VIX CFDs.
Are you focused on traditional indices or forex? JustMarkets’ competitive conditions make it a great choice.
What’s your risk tolerance? Synthetic indices can be riskier due to their volatility, so ensure you’re comfortable with rapid price swings.
What platforms do you prefer? JustMarkets’ MT4/MT5 support is ideal for technical traders, while Deriv offers proprietary platforms for synthetic indices.
Wrapping It Up
So, does JustMarkets have synthetic indices? Nope, it doesn’t—but that doesn’t mean it’s not a fantastic broker. With its tight spreads, high leverage, and access to global indices like the S&P 500 and NASDAQ, JustMarkets is a solid choice for traders who want to dive into traditional markets. If synthetic indices are your priority, Deriv is the way to go, thanks to its exclusive algorithm and 24/7 trading.
Ultimately, the right broker depends on what you want to trade and how you want to trade it. Do your research, test platforms with demo accounts, and choose a broker that aligns with your strategy.
✅ Trade with JustMarkets now: Open An Account or Visit Brokers 👈
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