Last updated: November 2025

Contracts for Difference (CFDs) are complex financial instruments that involve a high level of risk. CFDs do not provide capital protection or guaranteed returns, and trading results are amplified due to the use of leverage. As a result, CFD trading is not suitable for all investors.

Before trading CFDs, you should ensure that you fully understand how these products work and the risks involved. You should only trade with funds that you can afford to lose and carefully consider your investment objectives, level of experience, and risk tolerance.

Leverage allows you to gain greater market exposure with a smaller initial investment, but it also magnifies both profits and losses. Even small market movements can result in significant losses. Retail clients are protected from losing more than their account balance through negative balance protection; however, losses may still be substantial.

CFDs are affected by market movements, economic events, political developments, and unexpected global events. High market volatility can lead to rapid price changes, delayed order execution, slippage, or wider spreads, which may increase losses.

In certain market conditions, some assets may become less liquid, making it difficult to open or close positions at desired prices.

CFDs are traded over-the-counter (OTC), meaning transactions are entered directly with the broker. In the event of insolvency or default, positions may be closed without prior consent.

If you trade CFDs denominated in a currency different from your account’s base currency, exchange rate fluctuations may affect your profits or losses.

Online trading involves technical risks, including system failures, connectivity issues, or cyberattacks, which may affect order execution. You are responsible for maintaining secure access to your trading account.

• CFDs do not grant any ownership rights to the underlying assets.
• Stop loss orders may not always limit losses due to market conditions.
• This website may contain affiliate links. We may receive a commission if you register through such links, at no additional cost to you.
• This information is provided for educational and informational purposes only and does not constitute investment advice, an offer, or a solicitation to trade.

Before making any trading decisions, you should seek independent financial, legal, and tax advice if necessary. By using this website, you acknowledge that you understand and accept the risks associated with CFD trading.