Just a few words that would help you to find the differences between a demo and a real account:
As I said, it depends on the broker, so check with your broker if they provide the technical differences we are discussing:
- Obvious Psychological differences, there is no risk associated to a demo account. This is what most people talk about.
- Slippage, there isn't any on a demo account.
- Dividends, I would be surprised if they account for dividends on a paper account
- Data fees and feeds are different, unless you have a live subscription and you associate your demo account with a live one. Demo accounts don't normally provide real time data.
- Exchange rerouting.
- Real executions on market orders. Demo accounts normally fill your market orders at the best price. Market orders on a real account will leave you a few surprises.
- Options. Very few have demo options trading.
- Margin calls, you don't get any on a demo account.
- Trading hours, some demo accounts let you trade regardless on the time, they simulate data for you.
You can say "my brokers does some of them" but that is for you to check, the more similar your demo account is to a live one the more you can trust it (Captain obvious gave me a medal).
But there is not a broker that provides every single feature that is available for a live account on a demo account, it is simply not possible, just because of the many exchanges and market infrastructures that have to be involved. And that is well known.
