Due to the global nature of CFDs, traders should be aware of special holiday trading hours observed in each market. FXCM has provided a monthly calendar below listing special trading hours during holidays for major markets. Please note that holiday…
Learn More
The pip/point location for Share CFDs depends on the region of the share you trade. For US shares: For UK shares: For EU shares: For HK shares:
Learn More
How are Index CFD dividends? For information on Index CFD Dividends please click here. How can I see when future dividends may impact my positions? For each index below, the dividend will be displayed as ‘High’, ‘Medium’, or ‘Low’. For…
Learn More
At FXCM, the financing cost for your CFD trade is referred to as ‘rollover.' This is the interest paid for holding a position past 5 PM EST and is based on the size of the position. The formula for financing…
Learn More
CFDs provide a linear payoff: a rise or decline in the underlying asset will result in an equivalent rise or decline in a trader's account balance. Also, unlike options, there are no initial premiums that need to be paid. Another…
Learn More
No. Since the underlying is held through a different account, there is no way to confirm an accurate hedge.
No. The CFD merely tracks the underlying price. However, it does give the trader rights or dividends associated with the underlying asset.
Trading with higher leverage means there is a greater risk of loss, as well as potential for profit. Depending on the amount of leverage used, small moves in a CFDs price could generate significant changes in an account balance.
Yes, there are. CFDs give traders a lot of options that he would not otherwise have, allowing him to be flexible. CFDs are traded with leverage, allowing a trader to control a large market position while employing a smaller amount…
Learn More
The "underlying asset" is the instrument that a CFD is based on. For example, the underlying asset for the SPX500 is the S&P 500 Index of US stocks.
Since a CFDs price is based on the price of the underlying asset, peak trading hours are typically the hours when the exchange for the underlying asset is open. There are also off-peak trading hours for several CFD products when assets trade in the electronic markets.
Due to the global nature of CFDs, traders should be aware of special holiday trading hours observed in each market. FXCM has provided a monthly calendar below listing special trading hours during holidays for major markets. Please note that holiday…
Learn More