With Exto Capital, you can trade a variety of CFDs giving you access to stocks, commodities and stock market indicies. What is a CFD? A CFD is an agreement between two parties to settle, at the close of the contract, the difference between the opening and closing prices of an instrument, multiplied by the number of CFDs specified in the contract. The underlying instrument can be shares, stock indices, bonds, interest rates, commodities or foreign currencies. CFDs are traded in a similar way to traditional instruments. The prices quoted by many CFD providers is the same as the underlying market price and the you can trade in any quantity just as you would ordinarily, the total value of the transaction is simply the number of CFDs bought or sold multiplied by the market price. Why trade CFDs?CFDs have some distinct advantages from trading traditional instruments that have made them increasingly popular as an alternative investment: - Low capital requirements
- Trade on margin to maximise results
- Profit from falling or rising markets by trading long or short
- A single account can give you access to far greater range of financial markets (stocks, indices, commodities,…)
- Limit & manage your risk using "Stop" and "Limit" orders
CFDs were originally created to imitate traditional share trading, but they differ because you don't actually own the share; it is a derivative product. So you can seek to profit from price fluctuations without putting down large amounts of capital. Note that when investing in stocks, you have no rights as an investor, including no voting rights. » View the full CFD trading conditions |  New York Sock Exchange, the largest equity exchange market in the world |
