Saturday 20 April 2024

Understanding CFDs: A Beginner's Guide to Contracts for Difference

Contracts for Difference (CFDs) are derivative financial instruments that have gained significant popularity among traders and investors. Here's all you need to know about CFDs:

CFDs are contracts between a buyer and a seller, typically referred to as 'long' and 'short' positions respectively, where the parties agree to exchange the difference in the value of an asset between the time the contract is opened and when it is closed. These assets can include stocks, indices, commodities, currencies, and more.

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