What is the best online CFD broker?

Interactive Brokers is the best CFD broker online. eToro is the second best online CFD broker - but it might be better for you depending on your location and trading strategy. How should I choose the best CFD trading platform for me? Choosing the best CFD trading platform for you depends on your location, and your broker’s rules.

What is CFD trading?

CFD trading is a method of trading the value of an underlying asset. The trader and broker enter into a contract whereby they agree to exchange the difference between the price of an underlying asset at the opening and closing of the trade. That is how the CFD gets its name, as it stands for “Contract for Difference” of price.

Are online CFD providers the future of trading?

Online CFD providers opened the door to a host of new possibilities for traders, including adding derivatives to their portfolio. Today the London School of Economics estimates that CFD trading accounts for more than a third of all stock market trades in the UK.

What CFDs are available at Interactive Brokers?

The list of CFD products at Interactive Brokers includes stocks and shares found on multiple indices, such as the DAX, plus forex, gold, and cryptocurrencies like Bitcoin. Note Interactive Brokers’ CFDs on stocks pay dividends too. Interactive Brokers use the Trader Work Station (TWS) platform.