What is a Contract for Difference (CFD)?

A CFD or Contract for Difference is a specialised financial derivative product which allows one to trade on the price movement of an underlying asset.

That means that the trader isn’t actually trading the asset itself but rather only buying or selling depending on the movement of the asset on the market. Profitability is determined by the type of position entered and the entry and exit prices of the position on the underlying asset.

Why Trade CFDs

  • No ownership rights to the underlying asset – you are exempted from the acquisition pf any rights or obligations in relation to the asset.
  • Trade for or against the price movements without actually buying or selling the financial instrument
  • CFDs are one of the simplest ways to participate in the financial markets
  • Only need a fraction of the capital for each transaction

It goes without saying that with great reward comes great risk. So, CFD trading is not without its risks. Most of these potential negatives can be reduced with proper research and adherence to a structured trading plan.

Why trade CFDs with Asia Capital Markets?

Asia Capital Markets is one of the most trusted brands in making foreign exchange and CFDs available to retail traders. Whether you are already an experience trader or just getting started, our services ensure that you would be able to get the best trading experience.

Learn more about our trading rules

Contract Standard Account Platinum Account
A minimum lot of orders issued each time 0.01 lot
A maximum lot of orders issued each time (include position and limit/stop orders) 100 lots
Contract size 1 lot = 100000 base currency
Spread floating spreads
Commission free
Overnight interest Clients may receive or pay overnight interest. Please refer to the rates offered by interbank.
Maximum leverage 200:1 200:1
Initial margin (per lot) 0.5% of the opening position 1% of the opening position
Margin closeout (per lot) 20% of the initial margin
Trading hours (AEDT) [1] Summer time: Monday 08:05 AM - Saturday 07:55 AM Winter time: Monday 08:05 AM - Saturday 07:55 AM

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