CFD, the basics
Here at Trader’s Way, Prime Forex and CFD broker, we provide our clients with the latest analysis on the market, enabling them to take advantage of market opportunities. We encourage all clients including new traders to review our edu resources, covering all aspects of the market. As part of an ongoing series, here’s a brief recap on CFD. A CFD, or a Contract For Difference, is an agreement where two parties agree to exchange the price difference of a contract at the time of closure with the specified asset units being factored in. A CFD is a derivative that is linked to the underlying value of an asset. When a client opens an order for USD CHF long, there is no physical delivery of US dollars, rather the client trades CFDs. For more details on CFDs, check out
Trader’s Way.