CFDs (Contracts for Difference) are financial instruments that allow us to trade on behalf of our clients based on the price movement of assets such as currencies, stocks, commodities, and cryptocurrencies, without owning the underlying assets.
How does it work?
When we open a CFD position for our clients, we are speculating on the price change of a specific asset. If the price rises and we hold a buy position, we make a profit. If the price falls, there may be a loss. The advantage of CFDs is that we can benefit from both rising and falling markets.
What are the benefits?
No ownership needed: We don’t own the underlying assets, but we trade on their price changes.
Leverage: By using leverage, we can open larger positions, which increases potential profits but also amplifies risks.
Diversity: We can trade in various markets, such as forex, precious metals, stocks, and cryptocurrencies, to take advantage of the best opportunities.
What are the risks?
CFDs carry risks, especially due to leverage, which can cause both profits and losses to occur quickly. We ensure that we handle these risks carefully with a professional risk management.