CFDs

CFDs

You can speculate on the prices of popular instruments like Gold, Oil, German30, UK100 and international stocks using our CFD service.
CFD is an abbreviation of Contract for Difference. CFDs are based on exchange traded instruments and give you the ability to trade with leverage and avoid paying stamp duty on UK stocks.
In our platform CFDs are marked with the label “CFD”.

What are the differences between the two instruments?

You can trade stocks on our platform in the form of Equities or in the form of CFDs.
CFDs are derivatives of real stocks. When you buy a CFD you don’t buy the stock itself but you speculate with its price.
Equities are real stocks which you can buy and sell directly on the London Stock Exchange, NYSE, NASDAQ and Deutsche Börse. In our platform Equities are marked with the label “EQ”.
Equities are suitable for long term investors and traders, whereas CFDs are suitable for experienced traders only.

The advantages of trading with CFDs are:

  • Trading with leverage
  • Making profits from falling markets (short selling)
  • No stamp duty on UK stocks

Below is a full comparison between CFDs and Equities:

CFDsEquities
LeverageYesNo
Interest SwapYesNo
Real deliveryNoYes
Stamp dutyNoYes
Short sellingYesNo
Trade CFDsTrade Equities
Shareholder rights

Buying CFDs on stocks does not make you a shareholder of the company. Nevertheless you will receive payments equivalent to dividends just like the regular shareholders. You will not have the right to vote on major issues or to receive a final distribution in the event of corporate liquidation.

Advantages of our CFD trading service

Your account is benefits from negative balance protection, so you cannot lose more than your deposit.
You can use leverage - up to 1:200 on some instruments.
Your Stop loss will be executed exactly at the selected price during market hours.

Investments can fall and rise. You may get back less than you invest. CFDs are higher risk because of leverage. Past performance is no guarantee of future results. Be sure you understand the risks.

Trading 212 is a trading name of Avus Capital UK Ltd., Avus Capital CY Ltd. and Avus Capital Ltd.

Avus Capital UK Ltd. is registered in England and Wales (Register number 8590005). Avus Capital UK Ltd. is authorised and regulated by the Financial Conduct Authority (Register number 609146).

Avus Capital CY Ltd. is registered in Cyprus (Register number 343308). Avus Capital CY Ltd. is authorised and regulated by the Cyprus Securities and Exchange Commission (Licence number 290/16).

Avus Capital Ltd. is registered in Bulgaria (Register number 201659500). Avus Capital Ltd. is authorised and regulated by the Financial Supervision Commission (Register number RG-03-0237).

The information on this site is not directed at residents of the United States and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

Risk warning