The Concept
- A Contract for Difference is a cash settled, rolling Over The Counter (OTC) Derivative product
- A CFD offers you all the benefits of trading physical shares without having to physically own them
- The "contract", mirrors the price and performance of the underlying instrument
- As with traditional share trading, your profit or loss is governed by the price you buy at and the price you sell at (and vice versa for short-selling)
- CFDs are a margined product, allowing you to make the most of your trading capital
- Clients are charged interest on long positions and receive interest on short positions. (only relevant to individual stocks, sectors and indices and applicable to positions held overnight)
The Advantages
- Transparency - if a share price is trading at 139.10p/139.20p, the CFD should be the same
- No Time Limit - CFDs do not expire, unlike futures based contracts and no settlement restrictions)
- Trade Long and Short - The opportunity to profit from falling as well as rising markets and a very efficient hedging tool
- Access to a variety of different markets - International Shares and Indices, Commodities, Treasuries and Foreign Exchange
- No minimum trade size - trade from as small as one CFD (one share)
Margins
- 0.5% - FX, Indices
- 1% - Sectors, Treasuries, Spot Gold & Silver
- 3% - Commodities (Metals, Energy & Agriculture)
- +5% - European, UK and US equities
- +10% - Australian, Far East, Greek & UK Mid-cap
- +15% - South Africa, Polish, Czech, Hungarian and Turkey
Full Product List
A detailed list of all instruments available on the platform including trading hours, margin requirements, ticker symbol and other technical information. Click here to download the Product List.
Pricing
Click here to view the Pricing list.
