
CFD's make it possible to take part in equity/index fluctuations without directly owning or borrowing the underlying assets. Although purchasing CFD's offers profit and loss opportunities similar to equity trading, there are also some significant additional benefits.
Benefit from leverage
Since a CFD is a margin product it enables you to leverage a stock position allowing a greater exposure on a stock. The margin required to trade one CFD can vary, depending on the estimated risk of the underlying stock and can be as low as 5%.
Short selling
Short selling is particularly simple; all that has to be done to sell an equity short via a CFD is to click on the 'sell' button to profit from a downward trend in the underlying asset.
Hedge potential risk
CFD's can also be used to hedge a current portfolio at minimum costs. Instead of realising or selling your equities should volatile market rates tumble, you can quickly offset potential risks by selling the equivalent position using a CFD.
Available CFD's and margins
List of available CFD's and margins
New CFD market timetables on Indices:
| Instruments | Open | Close | Extended by |
|---|---|---|---|
| DAX | 09:00 | 21:55 | 4:25 hrs |
| CAC | 09:00 | 19:55 | 2:25 hrs |
| FTSE | 08:00 | 17:25 | 0:55 hrs |
| STOXX50 | 09:00 | 21:55 | 4:25 hrs |
| S&P500 | 03:00 | 16:00 | 6:30 hrs |
| DOW JONES | 03:00 | 16:00 | 6:30 hrs |
| NASDAQ | 03:00 | 16:00 | 6:30 hrs |