Demo Account Guide
Demo Account Guide
R

List of Brokers for CFD Trading

HOME / INSTRUMENTS TRADED / CFD BROKERS

Contract-for-Difference, or CFD is a popular instrument offered by many brokers. A CFD is a trade contract based on an underlying asset between a buyer and a seller, in which the physical asset is not owned or exchanged by either party.

Below is a list of Forex Brokers that offer various CFDs (contracts for difference) for trading.


Scroll for more details

Score Broker Instrument Traded Country Min Deposit Max Leverage

A Contract for Difference (CFD) is a financial derivative allowing traders to speculate on the price movements of various underlying assets, such as stocks, commodities, indices, or currencies, without owning the underlying asset. In a CFD trade, two parties—the trader and the broker—agree to exchange the difference in the value of the underlying asset between the opening and closing of the contract.

A wide range of assets can be traded as Contracts for Difference (CFDs). Here are some of the common types of assets that traders can trade using CFDs:

 Trading Contracts for Difference (CFD) assets offer several benefits to traders, making it a popular choice in financial markets. Here are some of the key advantages:

  • CFDs cover various underlying assets, including stocks, commodities, indices, currencies, cryptocurrencies, etc.
  • Thanks to leverage, CFDs often allow traders to access higher market exposure with a smaller initial investment.
  • CFDs provide access to global markets without physically owning the underlying assets.
  • CFD traders don't own the underlying assets. This eliminates issues related to ownership, storage, and physical delivery.
  • CFD trading typically involves lower fees and commissions compared to traditional investing methods.

 While trading Contracts for Difference (CFDs) offers various benefits, there are also potential disadvantages and risks that traders should be aware of:

  • Leverage can amplify profits, but it can also magnify losses. Traders can lose more than their initial investment.
  • If a trade goes against a trader's position, the broker may issue a margin call, requiring the trader to deposit more funds to maintain the position.
  • CFD traders do not own the underlying assets. This means they don't have voting rights or dividend entitlements.
  • Some brokers may charge additional fees beyond spreads or commissions, such as overnight, inactivity, or withdrawal fees.
  • The regulatory environment for CFD trading varies by country. In some jurisdictions, there may be limited or no regulatory oversight.

Additional FAQ

One way to do it is by using trend lines. It is very simple compared to other indicators and it involves drawing a straight line between two points on the price. This strategy allows you to find out whether the market is in a bullish or bearish trend. To show an increasing trend, draw a line between two lows while to show a decreasing trend, draw a line between two peaks. If the trend line has been touched by candlesticks, that means the trend has been validated.

Continue Reading at Top 5 CFD Trading Strategies You Should Try

Technically, there are a lot of CFD assets that can be used for diversification. Here are some examples:

  • Stocks
  • Bonds
  • Commodities
  • ETFs
  • Cryptocurrencies.

Continue Reading at Understanding CFD Assets in Forex Brokers

Because every asset traded on the platform must be exchange-listed, i.e. the assets must be listed on the US markets. This means CFD trading by retail investors is banned in America.

Continue Reading at Comparing US and Offshore Forex Brokers

There are plenty of commodity CFD assets to trade with. Some of the most important ones are gold and other precious metals, grains, beef, oil, and natural gas.

Continue Reading at Understanding CFD Assets in Forex Brokers



Instruments Traded