Precious Metals

Less volatile than investing in a single stock

Indices consist of dozens and even hundreds of stocks which means if one stock or even an entire sector falls in value, the rest of the stocks within the index will help limit the effect.

A lower-cost way to speculate on the stock market

When you purchase stocks, fees need to be paid to the exchange, clearinghouse, custodial, and broker. Trading CFDs doesn’t involve physical ownership and therefore reduces transaction costs.

Instant cash settlement when you close positions

With CFDs, your margin plus and profit or loss is available in your trading account the moment you close a position, allowing you to trade other products immediately.

Easier to analyse

Compared to other markets, such as forex, Indices are relatively easier to analyse and build a trading strategy around due them being localised to specific sectors and locations.

Go long or short and hedge your positions

When using CFDs, you’re able to open short positions and potentially benefit when prices fall. With hedging, you’re able to go long and short concurrently to increase the chance of protecting your positions.

Indices can be traded at any time of the day

Unlike stocks, which can only be traded during fixed hours each day, Indices are available to trade almost twenty-four hours per day, five days a week.