About the CFD Market
CFDs or Contracts for Difference, is a mutual agreement between the buyer and the seller which implies that in future both parties will exchange the difference between the opening value and the closing value of shares contracted through cash payments, rather than the delivery of the physical securities. CFD concept was first commenced in 1990 and primarily used by hedge-funds and institutional investors to hedge their exposure to stocks and purpose of tax exemption.
Today, investors have realized that the real advantage of CFD is its ability to trade on leverage on any underlying instrument. Beacon FX offers its clients a convenient way to speculate on CFDs, with high leverage through our advanced platforms.
Advantages of CFD trading with Beacon FX
- Trading without actually purchasing the asset in question
- A variety of instruments to choose from: energy futures, major indices and agricultural commodities.
- 3 markets in 1 platform- Trade CFDs, Forex and Spot metals on the same MT4 account
- Low-cost and low-margin trading