One of the most lucrative and popular methods of trading is through the trading of CFDs (Contract for Difference) at an online CFD broker. CFDs allow traders to speculate on whether the price of a financial instrument will rise or fall by creating a contract between the difference in value of a particular financial instrument. The underlying asset is never actually owned, the investor has a ‘contract for difference’ with the broker and receives profit only when the asset moves in the direction the investor has taken. The financial instruments, (assets) in which can be traded on CFD trading platforms include shares, indices, commodities, currencies and treasuries.
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