Welcome to CFD trading with Alfa

Welcome to CFD trading with AlfaContracts for difference (or CFD's) provide investors with extremely good trading opportunities in today's unpredictable markets. CFD's are financial derivative products that allow you to trade on the price movements of securities and indices without ever owning the underlying asset.

They offer a leveraged, flexible, and cost-effective alternative to traditional investment methods. Trading CFD's, through the use of leverage, allows you to maximize your market involvement for only a fraction of the capital outlay that you would need to buy or sell the underlying asset directly. CFDs are ideally suited to short-term trading.

CFD's are a unique way of benefiting from the rise or fall in share prices, requiring only a fraction of the capital you would need to trade physical shares. The amount of cash you must deposit as margin varies from one CFD provider to another, but is usually somewhere between 3 per cent and 20 per cent of the value of the underlying shares. For instance, to trade a position worth $20,000 with 5% margin, you will need a deposit of $1000. This equates to 20 times leverage.

What CFD's can you trade in:

  • US, UK and Japanese Index CFD's: Dow, S&P, NIKKEI, etc
  • Foreign Exchange (FX) CFD's: USD, GBP, JPY, etc
  • CFD's: Gold, Silver, Copper, etc
  • Sector CFD's: Crude Oil, Natural Gas, etc

Advantages of CFD's

  • Use of leverage to put up a small percentage of the total investment value for efficient use of capital
  • Ability to reduce potential losses with the use of stop losses
  • Potential for success in both falling, as well as, rising markets
  • Access to global markets
  • Option to hedge as potential 'insurance'

Other advantages include:

  • Low Commission (as low as $30 per round-trip trade)
  • Low initial margin requirements
  • Powerful charts and tools to help with your technical analysis
  • Free practice account to help hone your trading skills and perfect your strategies
  • Trade online from anywhere in the world

Try CFD trading today

At Alfa Financial, we believe that an educated investor is a confident investor. Given the risks involved in online trading, we are committed to provide all the information you need to be confident that CFD Trading is right for you. Open a free practice account with AX1 Trader Demo, to educate yourself in simulated trading conditions and become a confident trader. AX1 Trader Demo is easy to access and will allow you to practice trading, without risking any money. You get a simulated trading account with $25,000 cash balance which allows you to:

  • Practice buying and selling of CFD's
  • Practice trading in a variety of additional instruments such as spot Forex, futures, etc.
  • Trading in global market from the comfort of your home
  • Practice building your own online portfolio with a variety of instruments

Risk Warning

Trading in the Foreign Exchange (Forex) market might bestow potential rewards, but it also bears potential risks. You must be aware of the risks and be willing to accept them in order to trade in the foreign exchange market. Do not trade with money you can't afford to lose.