Equities vs CFDs: What’s the Difference?



Stock trading can take many forms and many traders confuse the two main types: Equity trading (also known as trading real stocks) and CFD trading (or buying and selling Contracts for Difference on stocks).

So if you want to see the differences in terms of leverage, margin, short selling and fees – trading expert David Jones covers all these angles. Still have questions about stock trading, equities and CFD’s – let us know in the comments and we’ll get back to you.

At Trading 212 we provide an execution only service. This video should not be construed as investment advice. Investments can fall and rise. Capital at risk. CFDs are higher risk because of leverage.

Nguồn: https://xaydungtailoc.com

Xem thêm bài viết khác: https://xaydungtailoc.com/game/

All Comments

  • I have been trading bitcoin with 212 using cfd. Will I only lose money if I choose to sell when the price is minus ? Can i not continue to wait until the price increases again to then sell? Thanks for your help.

    Lee Ford June 12, 2020 9:26 am Reply
  • Why is margin a property of CFDs? Couldn't I also buy real shares on a margin loan?

    Mobin92 June 12, 2020 9:26 am Reply
  • great contents

    rana waseem June 12, 2020 9:26 am Reply
  • Lost £5802 on Trading212 because they sold my shares before my CFD Inovio skyrocketed. Bought it again and made it all back.

    Ross is bored June 12, 2020 9:26 am Reply
  • Do you also receive dividend with CfD

    Void X June 12, 2020 9:26 am Reply
  • Could someone explain to me why people don't just buy CFDs in a safe stock like Apple? Why would anyone sell Apple knowing the trends show its doing nothing but growing?

    Jacob L June 12, 2020 9:26 am Reply
  • So does buying the equity rather than the CFD mean that you receive dividends?

    Andy Rebell June 12, 2020 9:26 am Reply
  • That was good and simple explanation. Thanks

    RealTebs June 12, 2020 9:26 am Reply
  • Are Equities and Discount Brokers the same?

    Carlos Blanco June 12, 2020 9:26 am Reply
  • Do I understand right that all swaps and extra costs are included in the app or do I owe anything to Tradig212 at the end of the day/year? Thank you for great videos!

    Ziemowit Kaczmarski June 12, 2020 9:26 am Reply
  • 0:50 Why is there no difference between and E and F

    Flux Standard June 12, 2020 9:26 am Reply
  • Like

    Dejan Kojic June 12, 2020 9:26 am Reply
  • thank you so much

    Wijtha Gayan June 12, 2020 9:26 am Reply
  • VERY USEFUL VIDEO. THANK YOU BROTHER FOR YOUR EFFORT.
    COULD YOU PLEASE ADVISE WHICH IS A GOOD BROKER FOR EQUITY TRADING (I AM RESIDING IN UNITED ARAB EMIRATES).
    SO, AWAITING ON A SUITABLE SOLUTION.

    AFSAL THOYALKATTIL June 12, 2020 9:26 am Reply
  • Hi David,
    How i can choose the right company to trade with.?
    If i choose one of them online, how i can talk to the advisor and get reports and recommendations of the market?
    Can you recommend for me some companies with contact details please ?

    Samim Ubaid June 12, 2020 9:26 am Reply
  • Can you please explain, what are the commission charges for CFD?

    Abbas Mohamed June 12, 2020 9:26 am Reply
  • To add why in open positions did it sometimes say 12@21.456 then when I pushed buy it again it said 3@21.567 then 1@… etc. I had 25 entires all showing profit. But like I said I panicked. Should of had practice account but i’d Still be non the wiser. 👍

    Darren Burton June 12, 2020 9:26 am Reply
  • Oops, I dodged a bullet. Newbie, deposited £220 ‘ya I know last of the big spenders’ I thought I was buying barrels of oil lol so say at the time oil was £22 a barrel then that would be ten barrels that’s what I thought. But I was in CFD so I was in fact borrowing 90%. I panicked closed all the positions and result £42 up… I think? If you could do an example of said situation that would be great? iOS app btw. A in depth run though 212 of dummies. 👍

    Darren Burton June 12, 2020 9:26 am Reply
  • So all trading with CFD's via a broker has absolutely no impact on the market charts right? A day traders' positions go no further than the broker IT system/platform. So which trades actually influence the market price changes we see on the charts right down to the 1 min charts?

    Late Apex June 12, 2020 9:26 am Reply
  • Wasn't it loans on equity based products that caused the great depression? Brokers selling 10k shares for 1k, etc…….. ? and with this method, if you're borrowing to pay back the stock, does that mean you will owe money even if the stock price drops below it's current value substantially, so this is essentially taking out a loan to pay for something that could be worth less than the original value, leaving you in negative equity? or do you have an automatic sell when this happens?

    Liam Scott June 12, 2020 9:26 am Reply
  • Computational fluid dynamics??

    Zejin Pu June 12, 2020 9:26 am Reply
  • Traditional way is way simpler and safer. I don’t believe in CFd I make regular money day trading the traditional equity way. I lost £2k with CFDS and options. It should be illegalised and it’s classes as gambling. I never made a single penny with CFD.

    K4MR4N1UK123 June 12, 2020 9:26 am Reply
  • is CFD allowed in US?

    Monique Marins June 12, 2020 9:26 am Reply
  • Where can I see how much leverage on the CFD in the platform?
    It's hidden and it's not clear

    Monique Marins June 12, 2020 9:26 am Reply
  • Is 212 cfd automatically at x10 or it can be changed?

    Gideon Cloza June 12, 2020 9:26 am Reply
  • great vid…thanks David.one question:how different the charts of a CFD stock can get with the chart of the actual stock?for example, chart of BA with CFD BA?i have seen in some instances,that both charts exactly the same but suddenly at some points on time/price one chart plummets by almost 40 to 50% and others remains the same.is it normal?

    mike smiley old man June 12, 2020 9:26 am Reply
  • Thank you for keeping it simple to understand

    MURTAZA BASHARAT June 12, 2020 9:26 am Reply
  • What happens if I loose money that I got from the commision?

    Vebjørn Jåtun June 12, 2020 9:26 am Reply
  • Pongan soporte en español! Hace 1 año opero con esta plataforma pero esta todo en ingles ja ja

    Emanuel Lopez June 12, 2020 9:26 am Reply
  • Simple and Informative, encouraged to upload more videos

    Red Cabin Studios June 12, 2020 9:26 am Reply
  • can i buy equities with a not pro account?i can t see any icons

    Eddie Piazza June 12, 2020 9:26 am Reply
  • A QUESTION PLEASE:
    for a same instument, are (necessarily) the CFD and Stock traded on different exchanges ????
    Thank you

    Ines Trabelsi June 12, 2020 9:26 am Reply

Leave a Reply

Your email address will not be published. Required fields are marked *