With your City Index account, you can trade CFDs on thousands of shares worldwide including those listed in the UK, US, Europe, Australia, New Zealand and Asia.
We offer competitive commissions and low margins on our equity CFDs. Our margins start from just 5% on individual shares, including Vodafone and M&S, whilst our commissions begin from just 0.1% of the value of your trade. The net result of a CFD trade is the difference between the opening and closing value of a contract.
Shares Example
Barclays are currently trading at 280p, with an underlying market spread of 279p/281p (sell price/buy price).
Going Long
You think Barclays are set to announce some strong trading figures and decide to buy (go long) 1000 CFDs at 281p (buy price).
You were right: Over the coming days, Barclays' share prices rally after a stronger-than-expected trading performance, with share prices reaching 295p. The underlying market spread is now 294/296p. You decide to cash in your profits and sell 1000 CFDs at 294p.
Result: The opening value of the CFD trade is £2810 (1000 CFDs x 281p). The closing value of the CFD trade is £2940 (1000 CFDs x 294p). This nets you a £130 gain (£2940 - £2810).
Alternative scenario: If however, you were wrong and Barclays shares had declined to 261p, this would net you a £200 loss (281 - 261 x 1000 CFDs).
Going Short
You think Barclays shares are overvalued and decide to sell (go short) 1000 CFDs at 279p (sell price).
You were right: Over the coming days, Barclays' share prices fall as other investors sell their shares, causing prices to fall to 263p. The underlying market spread is now 261/263p. You decide to cash in your profits and buy back 1000 CFDs at 263p.
Result: The opening value of the CFD trade is £2790 (1000 CFDs x 279p). The closing value of the CFD trade is £2630 (1000 CFDs x 263p). This nets you a £160 gain (£2790 - £2630).
Alternative scenario: If however, you were wrong and Barclays shares had rallied to 299p, you would net a £200 loss (299 - 279 x 1000 CFDs).
For the purpose of simplicity, commission, financing charges and payments have been omitted from these illustrations. Find out more about our financing charges.
Education and Resources
Our superior trading platform is packed with resources to help you make better-informed CFD trading decisions. Our resources include live news feeds from Dow Jones Newswires and a charting package that is available free of cost to all City Index trading account holders.
Our specialised webinars, held by our team of trading experts, enable you to learn trading at your own pace and from your own computer, no matter where you are. Find out more about our webinars and seminars.
Multi-Platform Access
Our range of trading platforms enable you to trade securely and at any time of the day. Our secure and easy-to-use online trading platform makes it possible for you to spread bet and trade CFDs from the same platform while City Trading™ our cutting-edge iPhone™ Trading App enables you to trade from wherever you are and at any time of the day.
