CFD Stock Trading
Many British investors use CFD stock trading to derive benefit from the price movements in various companies’ values. When trading CFDs, investors do not own the underlying stocks in question and can leverage positions. This 2026 guide covers everything that you need to know about CFD stock trading, including a detailed analysis of the most popular equities in the UK market. Read on for a list of the best online brokers and tips for implementing a CFD stock trading strategy.
Top CFD Stock Trading Brokers
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Pepperstone offers an extensive range of share CFDs from the US, UK, Australian, and European markets. You can trade prominent companies like Tesla, Apple, or Netflix with the option to go long or short. The platform ensures deep liquidity and competitive fees. Additionally, it now supports 24-hour trading on 37 US stock CFDs, allowing traders to react swiftly to earnings announcements and sudden news events.
Stock Exchanges Fractional Shares Leverage SIX Swiss Exchange, Taiwan Stock Exchange, Toronto Stock Exchange, Euronext, Deutsche Boerse, Japan Exchange Group, Shanghai Stock Exchange, Hong Kong Stock Exchange, Australian Securities Exchange (ASX), Korean Stock Exchange, London Stock Exchange, Dow Jones, DAX GER 40 Index, FTSE UK Index, Nasdaq, New York Stock Exchange, CAC 40 Index France, Hang Seng, Shenzhen Stock Exchange, S&P 500, Russell 2000, IBEX 35 No 1:30 (Retail), 1:500 (Pro) Stocks Spread Share Baskets Platforms 0.02 No Pepperstone Trading Platform, MT4, MT5, cTrader, TradingView, AutoChartist -
XTB provides access to 3,548 real shares and 2,042 stock CFDs, featuring well-known companies like Amazon, Barclays, and BMW, all commission-free. The xStation platform enhances the trading experience with robust analytical tools, such as stock scanners, heatmaps, and a range of fundamental data like market capitalisation and P/E ratios.
Stock Exchanges Fractional Shares Leverage SIX Swiss Exchange, Deutsche Boerse, Japan Exchange Group, Hong Kong Stock Exchange, Bombay Stock Exchange, Australian Securities Exchange (ASX), S&P 500, CAC 40 Index France, DAX GER 40 Index, FTSE UK Index, Hang Seng, Nasdaq, New York Stock Exchange, Dow Jones, Euronext, Russell 2000, IBEX 35 Yes 1:30 Stocks Spread Share Baskets Platforms 0.2% No xStation -
IBKR offers access to a vast range of equity products from 24 countries. You can invest directly in stocks for capital growth, dividends, or voting rights. Alternatively, engage in trading price movements with CFDs, futures, and over 13,000 ETFs. In 2024, IBKR expanded its European derivatives by including trading on CBOE Europe Derivatives (CEDX).
Stock Exchanges Fractional Shares Leverage Shenzhen Stock Exchange, Toronto Stock Exchange, Euronext, New York Stock Exchange, Korean Stock Exchange, Chicago Mercantile Exchange, London Stock Exchange, IBEX 35, Borsa Italiana, CAC 40 Index France, Nasdaq, Japan Exchange Group, Russell 2000, Nasdaq Nordic & Baltics, Tadawul, Abu Dhabi Securities Exchange, Nairobi Securities Exchange, London Metal Exchange Yes 1:50 Stocks Spread Share Baskets Platforms 0.003 Yes Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, TradingView, eSignal, TradingCentral, ProRealTime, Quantower -
Access shares across the UK, Europe, and Asia with a wide array of flexible deposit options. The broker offers valuable educational resources to help you craft solid strategies and enhance your stock analysis skills.
Stock Exchanges Fractional Shares Leverage Nasdaq, London Stock Exchange, FTSE UK Index, New York Stock Exchange, Australian Securities Exchange (ASX), Euronext, Hong Kong Stock Exchange, Hang Seng, Japan Exchange Group, Dow Jones, CAC 40 Index France, DAX GER 40 Index, Deutsche Boerse, SIX Swiss Exchange, IBEX 35, S&P 500 No 1:500 (entity dependent) Stocks Spread Share Baskets Platforms Variable No TN Trader, MT4 -
Eightcap provides over 590 shares from the US, Australia, and Europe alongside a select range of indices, such as the Dow Jones and FTSE. Their Labs include first-rate educational resources, especially the ‘Navigating Stock Market Volatility’ guide. However, they do not yet offer fractional shares for budget traders, unlike brokers like XTB.
Stock Exchanges Fractional Shares Leverage New York Stock Exchange, CAC 40 Index France, DAX GER 40 Index, London Stock Exchange, Australian Securities Exchange (ASX), Euronext, FTSE UK Index, Japan Exchange Group, Dow Jones, Nasdaq, Hang Seng, Hong Kong Stock Exchange, S&P 500, Russell 2000, Toronto Stock Exchange, SIX Swiss Exchange No 1:30 Stocks Spread Share Baskets Platforms 0.03 (Apple Inc) No MT4, MT5, TradingView -
IG provides access to over 13,000 shares for trading and investment, surpassing most rivals in the number of listed firms. The broker stands out with its zero commission policy on US shares. Additionally, out-of-hours trading unlocks more than 70 shares, alongside popular ETFs and trusts, even when markets are shut. They have also introduced an AI Index, highlighting opportunities in leading US firms specialising in artificial intelligence and machine learning, like Nvidia.
Stock Exchanges Fractional Shares Leverage SIX Swiss Exchange, Taiwan Stock Exchange, Toronto Stock Exchange, Tadawul, Deutsche Boerse, Japan Exchange Group, Shanghai Stock Exchange, Euronext, Hong Kong Stock Exchange, National Stock Exchange Of India, Australian Securities Exchange (ASX), Bombay Stock Exchange, London Stock Exchange, Dow Jones, S&P 500, IBEX 35, Borsa Italiana, Russell 2000, Korean Stock Exchange, Shenzhen Stock Exchange, Nasdaq Dubai No 1:30 (Retail), 1:222 (Pro) Stocks Spread Share Baskets Platforms 0.02 Yes Web, L2 Dealer, MT4, TradingView, AutoChartist, TradingCentral, ProRealTime -
FOREX.com offers a variety of US, EU, and UK stock CFDs with spreads as tight as 1 point. Traders can explore both established brands and new IPOs, enhancing portfolio diversification opportunities. US stocks are available starting at 1.8 cents per share.
Stock Exchanges Fractional Shares Leverage Nasdaq, S&P 500, DAX GER 40 Index, FTSE UK Index, Australian Securities Exchange (ASX), Euronext, Hang Seng, CAC 40 Index France, Borsa Italiana, Japan Exchange Group, IBEX 35, SIX Swiss Exchange, Dow Jones, Hong Kong Stock Exchange No 1:30 Stocks Spread Share Baskets Platforms 0.14 No WebTrader, Mobile, MT4, MT5, TradingView
Pepperstone
XTB
Interactive Brokers
Trade Nation
Eightcap
IG
Forex.comSafety Comparison
Compare how safe the CFD Stock Trading are and what features they offer to protect traders.
| Broker | Trust Rating | FCA Regulated | Negative Balance Protection | Guaranteed Stop Loss | Segregated Accounts |
|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✘ | ✔ | |
| XTB | ✔ | ✔ | ✔ | ✔ | |
| Interactive Brokers | ✔ | ✔ | ✘ | ✔ | |
| Trade Nation | ✔ | ✔ | ✘ | ✔ | |
| Eightcap | ✔ | ✔ | ✘ | ✔ | |
| IG | ✔ | ✔ | ✔ | ✔ | |
| Forex.com | ✔ | ✔ | ✘ | ✔ |
Payments Comparison
Compare which popular payment methods the CFD Stock Trading support and whether they have trading accounts denominated in British Pounds (GBP).
| Broker | GBP Account | Debit Card | Credit Card | Neteller | Skrill | Apple Pay |
|---|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✔ | ✔ | ✔ | ✔ |
| XTB | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| Interactive Brokers | ✔ | ✔ | ✘ | ✘ | ✘ | ✘ |
| Trade Nation | ✔ | ✔ | ✔ | ✘ | ✔ | ✘ |
| Eightcap | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| IG | ✔ | ✔ | ✔ | ✘ | ✘ | ✘ |
| Forex.com | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
Mobile Trading Comparison
How good are the CFD Stock Trading at mobile trading using apps or other mobile interfaces.
| Broker | Mobile Apps | iOS Rating | Android Rating | Smart Watch App |
|---|---|---|---|---|
| Pepperstone | iOS & Android | ✘ | ||
| XTB | iOS & Android | ✔ | ||
| Interactive Brokers | iOS & Android | ✔ | ||
| Trade Nation | iOS & Android | ✘ | ||
| Eightcap | iOS & Android | ✘ | ||
| IG | iOS & Android | ✔ | ||
| Forex.com | iOS & Android | ✘ |
Beginners Comparison
Are the CFD Stock Trading good for beginner traders, that might want an affordable setup to get started, along with good support and educational resources?
| Broker | Demo Account | Minimum Deposit | Minimum Trade | Support Rating | Education Rating |
|---|---|---|---|---|---|
| Pepperstone | ✔ | $0 | 0.01 Lots | ||
| XTB | ✔ | $0 | 0.01 Lots | ||
| Interactive Brokers | ✔ | $0 | $100 | ||
| Trade Nation | ✔ | $0 | 0.1 Lots | ||
| Eightcap | ✔ | £100 | 0.01 Lots | ||
| IG | ✔ | $0 | 0.01 Lots | ||
| Forex.com | ✔ | $100 | 0.01 Lots |
Advanced Trading Comparison
Do the CFD Stock Trading offer features that allow for more advanced trading strategies?
| Broker | Automated Trading | Pro Account | Leverage | VPS | AI | Low Latency | Extended Hours |
|---|---|---|---|---|---|---|---|
| Pepperstone | Expert Advisors (EAs) on MetaTrader | ✔ | 1:30 (Retail), 1:500 (Pro) | ✔ | ✘ | ✔ | ✘ |
| XTB | - | ✔ | 1:30 | ✘ | ✘ | ✔ | ✘ |
| Interactive Brokers | Capitalise.ai, TWS API | ✘ | 1:50 | ✘ | ✔ | ✔ | ✔ |
| Trade Nation | Expert Advisors (EAs) on MetaTrader | ✘ | 1:500 (entity dependent) | ✘ | ✘ | ✘ | ✘ |
| Eightcap | TradingView Bots | ✘ | 1:30 | ✔ | ✘ | ✔ | ✘ |
| IG | Expert Advisors (EAs) on MetaTrader, build your own on ProRealTime | ✔ | 1:30 (Retail), 1:222 (Pro) | ✔ | ✔ | ✔ | ✔ |
| Forex.com | Expert Advisors (EAs) on MetaTrader | ✘ | 1:30 | ✔ | ✔ | ✔ | ✘ |
Detailed Rating Comparison
Use this heatmap to compare our detailed ratings for all of the CFD Stock Trading.
| Broker | Trust | Platforms | Mobile | Assets | Fees | Accounts | Support | Research | Education |
|---|---|---|---|---|---|---|---|---|---|
| Pepperstone | |||||||||
| XTB | |||||||||
| Interactive Brokers | |||||||||
| Trade Nation | |||||||||
| Eightcap | |||||||||
| IG | |||||||||
| Forex.com |
Our Take On Pepperstone
"Pepperstone is a premier trading platform, providing tight spreads, swift execution, and sophisticated charting tools for seasoned traders. Beginners benefit from no minimum deposit, comprehensive learning materials, and outstanding 24/7 support."Tobias Robinson
Reviewer
Pros
- Over the years, Pepperstone has consistently garnered recognition from DayTrading.com’s annual awards. Recently, it was honoured as the 'Best Overall Broker' in 2025 and was the 'Best Forex Broker' runner-up the same year.
- The award-winning customer support can be accessed through phone, email, or live chat. During tests, response times have consistently been under 5 minutes.
- Pepperstone presents itself as an economical choice for traders, offering spreads as low as 0.0 in its Razor account. The Active Trader programme provides rebates up to 30% on indices and commodities, plus $3 per lot on forex.
Cons
- Pepperstone doesn't offer cTrader Copy, a favoured feature for copying trades found in the cTrader platform, which is available on other platforms such as IC Markets. However, Pepperstone has launched its own user-friendly copy trading app.
- Pepperstone’s demo accounts are active for only 60 days, which may not be not long enough to familiarize yourself with the different platforms and test trading strategies.
- Although its market range has improved, its crypto offerings remain limited compared to brokers specialising in this sector, lacking real coin investment options.
Our Take On XTB
"XTB excels for novice traders with its superb xStation platform, minimal trading costs, no required deposit, and outstanding educational resources, many of which are fully integrated into the platform."William Berg
Reviewer
Pros
- XTB processes withdrawals swiftly, paying within 3 business days, subject to the method and amount.
- XTB offers a diverse array of instruments, including CFDs on shares, indices, ETFs, commodities, forex, crypto, real shares, real ETFs, and share dealing, along with newly introduced Investment Plans. This allows XTB to serve both short-term traders and long-term investors efficiently.
- XTB offers a superb array of educational resources, such as training videos and articles, embedded within the platform to assist traders of all experience levels.
Cons
- XTB lacks a raw spread account, a feature increasingly offered by competitors such as Pepperstone. This omission might not satisfy traders seeking the most competitive spreads.
- The research tools at XTB are commendable but have the potential to excel further. Enhancing them with access to top-tier third-party services like Autochartist, Trading Central, and TipRanks would significantly elevate their offering.
- XTB has stopped supporting MT4, restricting traders to its own platform, xStation. This decision may discourage experienced traders accustomed to using the MetaTrader suite.
Our Take On Interactive Brokers
"Interactive Brokers ranks highly for seasoned traders due to its robust charting platforms, live data, and bespoke layouts via the new IBKR Desktop app. Its competitive pricing and sophisticated order choices appeal to traders, and its wide equity options are industry-leading."Tobias Robinson
Reviewer
Pros
- Interactive Brokers has been awarded Best US Broker for 2025 by DayTrading.com. This accolade highlights its dedication to traders in the US, offering exceptionally low margin rates and access to global markets at minimal expense.
- Interactive Brokers has introduced ForecastTrader, an innovative product offering zero-commission trading with yes/no Forecast Contracts on political, economic, and climate events. It features fixed $1 contract payouts, 24/6 market access, and a 3.83% APY on positions held.
- IBKR offers an economical environment for traders, featuring low commissions, narrow spreads, and a clear fee structure.
Cons
- The learning curve for TWS is quite steep, making it tough for novice traders to navigate and grasp all its features. In contrast, Plus500's web platform is far more accessible for those new to trading.
- IBKR offers a variety of research tools, but their inconsistent placement across trading platforms and the 'Account Management' webpage creates a confusing experience for users.
- Support can be sluggish and frustrating. Tests reveal that you may face challenges reaching customer service quickly, which could result in delays in issue resolution.
Our Take On Trade Nation
"Trade Nation is ideal for novice traders seeking diverse markets on an easy-to-use platform. It offers no minimum deposit, complimentary funding options, and robust educational resources."Tobias Robinson
Reviewer
Pros
- The trading firm provides narrow spreads and a clear pricing structure.
- A variety of trading platforms and apps, such as MT4, make the brand suitable for experienced traders.
- Global traders can use accounts in various currencies.
Cons
- Reduced legal safeguards with an offshore entity.
Our Take On Eightcap
"Eightcap excels for traders, offering diverse charting platforms, educational Labs, and AI tools. With over 120 crypto CFDs, it stands out in crypto trading and has won our 'Best Crypto Broker' award twice consecutively."William Berg
Reviewer
Pros
- With spreads starting at 0 pips, minimal commission charges, and leverage up to 1:500 for select clients, Eightcap delivers affordable and flexible trading opportunities. These conditions suit various strategies, such as trading and scalping.
- Eightcap excels with a suite of advanced trading tools, such as MT4 and MT5, and has recently joined the 100-million-user social trading network, TradingView.
- In 2026, Eightcap integrated TradeLocker, distinguishing itself as the premier regulated broker for TradeLocker. It continues to offer ultra-fast execution and competitive fees for active traders on the charting platform.
Cons
- Despite the growing range of tools available, Eightcap lacks popular industry resources such as Autochartist and Trading Central. These provide advanced charting analytics, live news, and essential market insights for traders focused on short-term strategies.
- Despite a helpful array of educational guides and e-books in Labs, Eightcap lags behind IG's extensive resources for aspiring traders. IG boasts a dedicated Academy app and features 18 diverse course categories.
- The demo account is available for 30 days, after which it requires a request for extension. This is less convenient than XM's offering, which provides an unlimited demo mode.
Our Take On IG
"IG offers a complete package: an easy-to-use web platform, top-tier beginner education, enhanced charting via TradingView, up-to-date data, and strong trade execution for seasoned traders."Tobias Robinson
Reviewer
Pros
- The ProRealTime advanced charting platform remains free, provided traders meet modest monthly activity requirements.
- IG secured a crypto asset license from the FCA, enabling its return to the UK market. It now offers buying, selling, and storage services for over 55 digital tokens with fees starting at 1.49%, all under FCA regulation.
- IG provides a wide range of professional and engaging educational materials, such as webinars, articles, and analyses, tailored for traders.
Cons
- Based on tests, stock and CFD spreads remain less competitive than the lowest-cost brokers, such as CMC Markets.
- Beginners may find IG's fees complicated, as they vary depending on the trades or services. This could cause confusion and unexpected costs.
- IG has ended its swap-free account, diminishing its attractiveness to Islamic traders.
Our Take On Forex.com
"FOREX.com excels in serving traders of all levels, offering more than 80 currency pairs, spreads starting at 0.0 pips, and competitive commissions. Its robust charting platforms provide over 100 technical indicators and comprehensive research tools."Tobias Robinson
Reviewer
Pros
- FOREX.com provides top-tier forex rates beginning at 0.0 pips, along with attractive cashback rebates up to 15% for dedicated traders.
- An abundance of educational resources is available, such as tutorials, webinars, and an extensive YouTube channel, designed to enhance your understanding of financial markets.
- The in-house Web Trader remains a top-tier platform for budding traders, featuring an elegant design and more than 80 technical indicators for market analysis.
Cons
- FOREX.com's MT4 platform provides around 600 instruments, a notable reduction compared to the more than 5,500 options on its other platforms.
- Demo accounts are typically limited to 90 days, hindering effective strategy testing.
- US clients are not protected against negative balances, which means you could end up owing more than your initial deposit.
CFD Stock Trading Explained
A Contract for Difference or ‘CFD’ is a product that stipulates that the buyer will either pay or be paid the difference between the original price of the asset at the time of purchase, and the price at the time the contract is closed. With CFD stock trading, traders can go long or short. This means that they can make a profit based on whether they think the value of the stock in question will rise or fall.
When trading CFDs, investors do not own the underlying asset. For example, if you purchase a CFD relating to the value of National Grid shares, you do not actually own any of the stock: the CFD merely tracks and mimics its value. This means that the trader can speculate on short-term price movements of an asset without the hassle of having to hold or sell the actual stocks later on.
When a CFD is purchased and closed, the profit or loss is calculated from the difference between the value of the stock at the time of purchase and closing. Some brokers also choose to add a spread. This means that if a trader were to buy and close a CFD straight away, they would make a net loss. Moreover, most CFD brokers charge some form of commission when both opening and closing the contract, which is usually around 0.1%.
Trade Example
CFD stock trading is best explained through an example…
In this scenario, a trader is looking at the Vodafone Group which has stock currently trading at a sell/buy price of £1.19/1.20. They believe that the price is going to rise in the short term and therefore they decide to invest in CFDs. As they think the price is going to rise, they purchase 10,000 units going long on the Vodafone Group. The broker offers a 5% margin rate, so the trader must put down a deposit of £600 (5% x (10,000 units x £1.20)).
When the trader checks the value four hours later, they notice that Vodafone Group is now trading at a sell/buy price of £1.25/1.26. The trader makes a quick decision to close the trade at this point and lock in some profit. This is calculated by taking the difference between the price at purchase and closing, in this case, £0.05 (£1.25 – £1.20) and multiplying it by the number of units, 10,000, to give a gross profit of £500.00.
However, like most online brokers in the UK, there is a commission charge of 0.1% for each CFD contract opened and closed. To open the contract, the trader is charged a commission of £12.00 (0.1% x (10,000 units x £1.20 buy price at purchase)), while to close it they are charged a commission of £12.50 (0.1% x (10,000 units x £1.25 sell price at close), giving a total commission of £24.50. This leaves the investor with a net profit of £475.50.
CFD Trading VS Share Trading
CFD stock trading and spot share trading may seem similar, but there are some fundamental differences between the two. When you spot trade stocks, you directly purchase shares in a company, which means that you own a part of that company. If the company performs well, you will receive a range of benefits such as dividends. The downside of spot trading is that if the value of the company drops, you will lose money.
Spot trading is best used for long-term trading when you believe the value of a company is going to increase over a long period. If you are interested in short-term price movements, CFD stock trading is worth considering. With a CFD, you can decide whether to go long if you think the price will rise, or go short if you believe it will fall.
It is much easier to execute trades quickly when trading stock CFDs, making it perfect for anyone who is interested in day trading. CFDs also allow you to trade with leverage, so that you can borrow money from the broker and potentially boost your profits. However, as you do not own the stocks, you will not receive any dividends or voting rights.
UK Stock Market Key Players
The United Kingdom is home to some of the largest companies in the world, with many of them listed and traded on the London Stock Exchange. Here are the top ten companies on the FTSE 100 index along with their 2022 market cap in GBP:
- AstraZeneca – 170.50 billion
- Shell – 149.37 billion
- HSBC Holdings – 107.35 billion
- Unilever Group – 97.57 billion
- GlaxoSmithKline – 91.07 billion
- Diageo – 80.22 billion
- British American Tobacco – 76.27 billion
- BP – 73.76 billion
- Rio Tinto Group – 61.03 billion
- Glencore – 56.79 billion
Benefits Of CFD Stock Trading
- You can use CFDs to hedge against standard stock holdings
- You can trade CFDs with leverage
- You can go long or short
- Fast execution speeds
Drawbacks Of CFD Stock Trading
- You do not own the stocks and therefore you will not have any voting rights
- You will not receive dividends if the stock performs well
- Leverage can lead to large losses
Getting Started With Trading Stock CFDs
- Select a broker: Before you can start, you need to choose which CFD stock trading broker to use. There are a few different things to consider before you make your decision. Check out the various fees, spreads and commissions charged by each brokerage to find the best deal. Also try to find an online broker that offers a CFD stock trading demo account, which will allow you to practise and get used to trading contracts for difference before you enter the live markets. Other things to consider include customer service hours, brand reputation and the stock markets they offer access to.
- Research the market: Most UK brokers will offer access to stocks listed on the FTSE as well as other popular markets from around the world. There is no perfect fit, you simply have to find an asset that suits you and that you have researched sufficiently. If you are a new trader, it could be worth opting for one of the larger companies listed in the top ten UK stocks section. Experienced traders may prefer to trade smaller but more volatile companies.
- Choose the direction of your trade: One of the main benefits of CFD stock trading is the ability to go long or short. This means that you can make a profit based on whether you believe the value of a stock will rise or fall. If you think it is going to increase, you should go long and purchase a buying CFD. If you believe that it will drop, purchase a selling CFD.
- Select the number of units: Choose the number of units you would like to purchase. If you are trading with leverage, more units will require a larger deposit. Leverage also runs the risk of building up large losses.
- Utilise risk management tools: To protect yourself, you should implement risk management tools. Add a stop-loss order to limit losses, as well as a take-profit order to guarantee closure at a target price.
- Monitor and close: Once you have placed your trade with risk management tools set up, you can monitor the price. Either close the deal when you are happy with the price, or wait for it to hit a target price and close automatically through your take-profit order.
Bottom Line On CFD Stock Trading
CFD stock trading is used by many investors as a way of speculating on and benefiting from the price movement of a company’s shares. Investors can use CFD stock trading to hedge against their stock portfolio, or they can simply use it in a bid to earn a profit. CFD stock trading can also be combined with leverage to boost earnings, but remember that leverage trading can also lead to large losses.
If you are interested in getting started with trading stock CFDs, check out our list of top brokers and follow this guide.
FAQs
What Is CFD Share Trading?
A Contract for Difference (CFD) is a derivative product that allows traders to speculate on the price movements of a stock. The investor does not own the underlying stock, and can go long or short depending on the direction they believe the price will move.
Does CFD Trading Affect Stock Price?
No, CFD trading does not typically affect the stock price. CFDs are a derivative product, where the trader does not own the underlying asset or stock. Therefore, trading this asset class will not impact the price of the actual stocks.
Is CFD Share Trading Only Available On MT5?
CFD stock trading is not only available on MetaTrader 5 (MT5). A host of other investing platforms support CFD stock trading, including cTrader, NinjaTrader and MetaTrader 4 (MT4). See our respective guides for brokers that offer each trading platform.
Which Is Better: CFD Trading Vs Spot Share Trading?
CFD trading and spot stock trading each have distinct advantages. Those wishing to benefit from price movements of stocks in either direction should opt for CFDs. Those who are seeking long-term gains should opt for spot stock trading where dividends could be earned.
Do You Own The Stock When Trading CFDs?
When trading equity CFDs, you do not own the underlying stock. CFDs are derivative products that allow traders to profit from the price movements of a stock.