Risk warning: Trading CFDs is risky and can result in the loss of your invested capital. Please ensure that you understand the risks involved and do not invest more than you can afford to lose. Read full Risk Disclosure. ForexTime Ltd is regulated by CySEC under license No. 185/12.
Risk warning: Your capital is at risk. We cover you with negative balance protection.
Your capital is at risk. We cover you with negative balance protection.

Exchange Traded Fund

Trading Contract for Difference

What is a CFD?

A Contract for Difference (CFD) is a contract entered into by a buyer and a seller asserting that the seller must pay the buyer the difference in value of an asset at contract time and its value at present time. There is a multitude of advantages when trading CFDs and these advantages have made them extremely popular.

Advantages of CFDs

  • You can take both short and long positions with the same ease when trading CFDs. The margin requirements for taking a short position are the same as the ones for taking a long position and there are no additional selling rules if you want to go short.
  • Trading CFDs is far less costly than trading the underlying stock, index or futures contract and can still deliver the same gains.
  • Execution is instant so your trades are executed with no delay and there are no interferences in your transactions.
  • When trading CFDs you can profit even at times when the market is falling because you hold the great advantage of being able to take a short position.

Please check our contract specifications for a complete list of CFDs on Indices.

Take a more detailed look at our Contract Specifications.