<p id="isPasted">A demo account differs from a real account primarily because a demo account uses virtual money for risk-free practice, while a real account uses actual capital for trading that can result in real profits or losses. Key differences also include the absence of emotional factors like fear and greed in a demo account, as well as differences in market execution, such as slippage, and potential for trading costs to not be accounted for. </p><p><strong>Demo account vs. Real account</strong></p><p> Feature Demo Account Real Account</p><table data-animation-nesting="" data-processed="true" style="border: none; border-collapse: collapse; table-layout: auto; width: 632px; color: rgb(230, 232, 240); font-family: "Google Sans", Roboto, Arial, sans-serif; font-size: 16px; font-style: normal; font-variant-ligatures: normal; font-variant-caps: normal; font-weight: 400; letter-spacing: normal; orphans: 2; text-align: start; text-transform: none; widows: 2; word-spacing: 0px; -webkit-text-stroke-width: 0px; white-space: normal; background-color: rgb(31, 31, 31); text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial;" id="isPasted"><tbody data-processed="true"><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Money</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Uses virtual, fake money</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Uses real, actual capital</td></tr><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Psychology</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Lacks emotional pressure, as there is no real money at stake</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Involves emotions like fear and greed, which influence decision-making</td></tr><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Execution</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Idealized order fills, typically no slippage (price changes at the moment of execution)</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Experiencesslippage, where an order may be filled at a different price than the one displayed due to fast market movements</td></tr><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Costs</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Often doesn't account for real trading costs like commissions, swaps, or spreads accurately</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Accounts for all real trading costs</td></tr><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Capital</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Often starts with a larger, simulated capital amount than a trader would realistically use</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Limited to the actual funds a trader deposits</td></tr><tr data-processed="true" data-sfc-cp=""><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px 12px 0px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Outcome</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Profits and losses are virtual</td><td colspan="undefined" data-processed="true" data-sfc-cp="" style="border-bottom: 0.8px solid rgb(66, 70, 84); min-width: 4em; vertical-align: top; padding: 12px 0px 12px 10px; color: rgb(230, 232, 240); font-family: "Google Sans", Arial, sans-serif; font-size: 14px; line-height: 18px; font-weight: 400;">Profits and losses are real</td></tr></tbody></table>
<p id="isPasted">A demo account differs from a real account primarily because a demo account uses virtual money for risk-free practice, while a real account uses actual capital for trading that can result in real profits or losses. Key differences also include the absence of emotional factors like fear and greed in a demo account, as well as differences in market execution, such as slippage, and potential for trading costs to not be accounted for. </p><p><strong>Demo account vs. Real account</strong></p><p> Feature Demo Account …</p>