Broker CFDs

Contract for Difference (CFD) is an agreement between two parties, buyer and seller, to exchange the difference between the initial price of the underlying asset when the contract is opened and the price of the underlying asset when the contract is closed. CFDs are traded over-the-counter through CFDs brokers. Brokers act as agents who provide the necessary tools and services to the clients for accessing the financial markets.

The Role of Broker CFDs in Online Trading

Brokers are the ones that provide access to the financial markets through the platforms. It is impossible to trade instruments without opening an account with a broker and downloading a platform. Brokers differ from one another by the number of provided instruments and trading conditions. The most important thing for CFD traders is the availability of different markets, highly functioning trading platform that will execute their orders instantly without any delay.

Brokers define the conditions of CFD trading, they set commissions, swaps for the instruments, etc. Thus, trading conditions may differ a lot: some companies set high commissions, some of them low. Swap charges may be different, since there are companies that offer calculating swaps only by interbank rates, while others add up their own percent as well.

Different traders have various preferences regarding the instruments to trade. They can choose from such markets as indices, commodities or stocks. It is convenient when traders have an opportunity to open an account and trade all instruments in one place.

IFC Markets as a Broker CFDs

IFC Markets provides a great variety of CFDs. Traders may choose from CFDs on indices, commodities, commodity futures and stocks. The company offers commodity and index trading with no expiration date, which means that traders may leave their positions open as long as they want. In addition, the company offers CFDs on commodity futures that are traded with expiration dates. Trading conditions are the most competitive in the market. Leverage is up to 1:400 for all instruments, except for stocks: for trading Stock CFDs leverage is up to 1:40. Traders may choose stocks from U.S., British, Russian, German, Chinese and Japanese markets.

Traders do not have to open a separate account for trading CFDs, since all instruments are traded with a single account on both platforms. The registration procedure is very easy and takes a few minutes only. Newcomers may open demo accounts that operate on virtual funds and get practice on it in order to trade with real money in future.

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 and MetaTrader 5 platforms available on PC, Mac OS, iOS and Android. You may compare the advantages of each platform.