High demand of trading CFDs has significantly increased the number of CFD brokers. However, not all brokers have a high reputation; each of them is characterized by its own features offering certain services and trading conditions to its customers.
Conditions Offered by CFD Brokers
CFD brokers offer wider opportunities that would be hardly found in stock exchanges. Due to their increasing demand and growing popularity CFD brokers day by day develop new services and offer more and more beneficial conditions for traders. They allow traders to take advantage of speculating on price changes of a number of assets without actually possessing them. For example, IFC Markets offers the following services for CFD trading:
- Low commission: for example, IFC Markets does not have any charges for CFD trading, except for Stock CFDs, where the commission is only 0.1% of the position volume.
- High leverage: The chances of increasing the profit for hundreds of times attracts traders, however, risks should not be forgotten. Learn more about What is Leverage in Trading
- Expiration dates should not be taken into consideration: Traders can hold their positions open as long as they want, as IFC Markets offers uninterruptedly trading Index and Commodity CFDs without the dates of expiration.
Instruments Offered by CFD Brokers
Wide range of trading instruments, such as oil, coffee, cocoa, cotton, copper etc.
- Index CFDs: They allow you to trade on the basis of price movements and changes in the indices of different segments of the market - stocks on the basis of weighted average prices of a group of stocks, the USD index, etc.
- Stock CFDs: Traders who hold open positions on Stock CFDs receive dividend adjustment which equals to the announced dividend payment, if the position was opened before the starting of trades on the ex-dividend date. In the case of a short position the dividend adjustment is deducted from the client's account. IFC Markets offers a leverage of 1:40 for trading Stock CFDs and commission each open position is only 0,1% of the position volume.
- Commodity CFDs: CFD brokers have made it possible for traders to trade oil, gold, gold, precious metals through CFDs. IFC Markets offers uninterruptedly (without an expiration date) trading Commodities CFDs
Different CFD Brokers offer wide range of services to attract customers. All of them may offer the same service but with quite different features and conditions. The trader needs to find a broker with the best trading conditions.
IFC Markets is a leading innovative financial company, offering private and corporate investors wide set of trading and analytical tools. The company provides its clients with Forex and CFD trading through its own-generated trading platform NetTradeX, which is available on PC, iOS, Android and Windows Mobile. The company also offers MetaTrader 4 platform available on PC, Mac OS, iOS, Android, Windows Mobile and Smartphone. You may compare the advantages of both platforms.
