CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading in CFDs. You should consider whether you can afford to take the high risk of losing your money.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading in CFDs. You should consider whether you can afford to take the high risk of losing your money.

Indices Overview

You have probably heard of the Dow Jones or the S&P, perhaps even Nasdaq. Originating in the USA, these are some of the biggest indices in the world. Indices are a representation of a group of stocks, from as few as ten to a hundred or more. Indices are an aggregate of the movement of a group of stocks, reflecting market conditions and from a broader perspective, an idea of how the economy of that specific country is doing.

With CFI, you can trade a diversified number of indices including US, European and Asian products. If you have a certain view on a specific stock market or the stocks of a region, indices are your instrument of choice as they allow you to have directional views on a large number of companies within one product, instead of buying or selling individuals stocks.

The advantage of cash indices is that they have no expiry date so you can hold them for a short period or an extended time. Furthermore, they replicate the hours of the future contracts that are traded on exchanges.

Spreads

A spread is the difference between the price you can buy a certain instrument and the price you can sell that same instrument. Given that markets are all about supply and demand, the more traded a product is, the smaller the spread between the buying and selling price. In contrast, a less liquid instrument could see a wide spread as not enough people are buying or selling it.

At CFI, we are connected to several liquidity providers and exchanges and offering competitive spreads is something we take very seriously. We are constantly working to provide even lower spreads and with recent advances in technology and deep enough liquidity, our efforts continue to translate into reality.

Symbol Standard Trading Hours
(UK)
GER30 1.7 23:01-21:59*
UK100 2.5 23:01-21:55*
USA30 1.6 23:01-21:59**
USA100 1.81 23:01-21:59**
USA500 0.85 23:01-21:59**
JPN225 12 23:01-21:55
HKD50 8 2:16-4:59 ; 6:01-9:29 ; 10:16-19:59
CAC40 1.8 23:01-21:59*

Competitive swaps

Swaps, also known as rollovers, are interest rate amounts charged or earned for holding a buy or sell position overnight. The calculation takes into consideration the interest rate differential between two financial instruments.

Swaps are also applicable on Indices and vary for several reasons, including overnight interest rates. Swap free accounts are also available.

Trading example

Say you see that German stocks may be undervalued on the day and you decide to buy 1 GER30 lot at current market price. Assume the current price is 11999/12000 which denotes a bid price of 11999 and an ask price of 12000 and you open a buy a position at 12000. Later in the day, the GER30 climbs to 12050/12051 and you decide to close the position. You sell the lot at 12050 which is the bid price. Your gain on the day is 12050-12000 – 50 or 50 points. At 25 EUR per point, you gain 1250 Euros.

Please note the above example is hypothetical in nature and does not necessarily reflect real conditions Also note that all calculations will be in USD, since our MT5 platform is based in USD as the main currency.

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CFI Financial Group is an award winning global financial markets provider with regulated entities in several jurisdictions, focused on offering impeccable execution and trading conditions including very low spreads and zero commissions, professional services, dedicated support and powerful tools.

With over 22 years of group experience, and recently awarded “Best Online Financial Trading Services, Middle East” for 2020 by Capital Finance International, Credit Financier Invest brings their award-winning CFD platform to London.

CFI Financial Group also has regulated subsidiaries in
Larnaca • Beirut • Amman • Dubai • Port Luis

Credit Financier Invest Limited
16 Berkeley Street
London
W1J 8DZ
+44(0)20-3907-4131
+44(0)20-3907-4132
uk@cfifinancial.com

CFI UK is authorised and regulated by the Financial Conduct Authority (FCA) in the United Kingdom, 828955. Company Registration Number, 11634673

Important Disclaimer:
CFDs are leveraged products that incur a high level of risk and a small adverse market movement may expose the client to lose the entire invested capital. The vast majority of retail investor accounts lose money when trading CFDs with Credit Financier Invest Limited. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. The possibility exists that you could sustain a loss in excess of your deposited funds even if a stop loss is used and therefore, you should not speculate with capital that you cannot afford to lose and be aware of trading risks. Credit Financier Invest Limited provides general information that does not take into account your objectives, financial situation or needs We recommend you read our full Risk Disclaimer.

We do not currently offer our investment /ancillary services to residents of certain jurisdictions such as but not only USA, Sudan, Syria, Republic of Korea and Belgium.

CFI does not offer advice, recommendation or opinion with respect to buying, selling or holding of CFDs. We do not issue financial and/ or otherwise advice to clients.