STOCKS TRADING VIA CFDS

Frequently Asked Questions

• 1

  How to start trading stock CFDs as a beginner?

  You can start by setting up a live trading account with Vantage. Then, fund your account using our range of convenient funding methods, all available without any deposit fees.
  Next, take your pick from the many stocks available, and open a position. When you feel the time is right, close the position to complete your trade.
  If you’re completely new to trading shares, you can tap on our library of free educational materials to better understand the product and ways to trade stocks.

• 2

  Can trading stock make you rich?

  Stock trading has the potential to generate additional wealth, but it is not a guaranteed or quick path to riches. The stock market fluctuates based on a variety of factors, such as economic conditions, company performance, market sentiment, and global events. It is important to understand the risks involved and the possibility of incurring losses before engaging in trading.

• 3

  Can I trade stock CFDs with a small starting balance, such as $100?

  "In short, yes. It depends on the broker that you open an account with, the trading plan that you’ve set out, as well as the leverage that you use on your trades.
  Leverage amplifies the effect of price changes, whether it’s a gain or loss, allowing you to trade significantly more in value with an initial capital of $100. However, trading with high leverage also comes with significantly higher risk, as you may lose more than your initial capital."

• 4

  What stock CFDs may be suitable for beginners?

  As a beginner, before buying any stock, it is important to research and understand the company and its business. Start by doing your research on the companies that you are familiar with and have a proven track record.
  Large, well-established companies, often referred to as "blue-chip" stocks, can be a good starting point to consider. Another way to get exposure to stocks is to consider exchange-traded funds (ETFs), which offer diversification as they track a broad market index or sector. Read more about stocks or ETFs on the Vantage Academy.

• 5

  Who can trade share CFDs and what do I need to get started?

  Yes, anyone can trade in the stock market as long as you have a valid and funded trading account.
  
  Simply sign up for a trading account with Vantage, and upon account verification, you can start trading stock CFDs with Vantage.

• 6

  Are stocks and shares the same?

  Yes, "stocks" and "shares" are often used interchangeably. Both refer to ownership in a company, but "shares" typically refer to ownership in a specific company, while "stocks" can represent holdings across multiple companies.

• 7

  Which shares (CFDs) may be suitable for me?

  The suitability of a shares CFD depends on your goals, risk tolerance, and research. Look for companies or sectors you're familiar with or that have strong fundamentals and growth potential.

• 8

  Which platforms can I use to trade shares?

  When choosing a platform, consider factors like trading conditions, tools, features, and ease of use. At Vantage you can trade US share CFDs with competitive pricing and zero-commission*, offering a cost effective way to speculate on the market.
  *Other fees may apply.

• 9

  Can I trade shares after hours?

  Many platforms, including Vantage, offer the ability to trade share CFDs during extended hours, though after-hours trading can involve lower liquidity and higher volatility.

• 10

  How can I access global stock markets with Vantage?

  Vantage gives traders access to global stock markets through Share CFDs. Using this approach, clients can speculate on the price movements of leading companies from a single trading account, without having to directly own the underlying shares.
  
  Key advantages of trading global stocks via CFDs with Vantage:
  
  • Broad Market Access: Trade CFDs on top companies listed across global exchanges, including the New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE), Australian Stock Exchange (ASX), Hang Seng Index (HSI), Nikkei 225, and more.
  • Leverage: Gain leveraged exposure to major international stocks, enabling traders to open larger positions with a smaller initial margin. Do note that leverage amplifies both gains and losses.
  • Flexibility: Go long (buy) to profit from rising prices or go short (sell) to capitalise on falling prices, allowing clients to trade in both bullish and bearish markets.
  • No Commissions on US Shares*: Trade popular US Share CFDs without commission fees*, which might help to reduce the overall trading costs.
  
  Vantage gives traders more than just access to global stock markets—it provides the leverage, flexibility, and competitive fees to trade global stock CFDs.
  
  *Other fees may apply.