CFDs - Learn about trading CFDs and how to open a CFD trading account today
Stock Market
A contract for difference (CFD) is a contract between two parties, a buyer and seller that allows you to take part in equity trading where it is stipulated that the difference in price when the contract falls due will be made up by either the buyer or the seller depending on the fluctuation.
This type of contract is called an equity derivative, which allows investors to speculate on share price movements, without directly owning the underlying shares.
Contracts for differences allow investors to take long or short positions and not be hamstrung by a fixed expiry date as is the case on the futures market.
To learn more about the merits of participating in CFD's without owning the assets please visit our Tools section where you will find informative articles and broker listings relating to the benefits of a CFD contract.
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