Stock CFDs

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What are the differences between a Stock and a Stock CFD?

CFD is short for 'Contract for Difference', you pay the difference between current value of the underlying asset and value at contract time. The main difference between a Stock and a Stock CFD is the ownership and leverage. Stock CFDs have no rights for ownership. As CFDs are traded on margin, it is not required to purchase a share for the full amount. Trading derivatives such as CFDs amplifies risk and reward via leverage and allows you to access the market in a cost-efficient and time-efficien...

What will happen during a Stock Split or Reverse Stock Split?

A Stock Split/Reverse Stock Split adjustment will be made for your Account in respect of any Open Positions held after market trading hours for the relevant Underlying Instrument on the ex-date of the affected Stock CFD. Clients are to be aware that aggregation and splitting of your orders might result in a more/less favourable price with respect to a particular order. Clients are strongly advised to manage their own risk and accounts. Any Limit orders and/or Stop orders for the affected Stock ...

Are Stock CFDs available in RAW and Variable accounts?

Yes, Stock CFDs are available in all account types.

What is a Stock Split and Reverse Stock Split?

A Stock Split is a type of corporate action that increases the number of shares outstanding by issuing more shares to existing shareholders. A Stock Split increase the number of outstanding shares and proportionally reduces the share price, so the company’s market capitalization remains unchanged. A Reverse Stock Split is a type of corporate action that consolidates the number of outstanding shares into fewer (higher-priced) shares. It is the opposite of a Stock Split. A Reverse Stock Split is ...

Will there be any dividends for Stock CFDs?

Yes, Dividends will be distributed into your account on the ex-dividend date before the stock market opens. Please note that there will be a small handling fee for dividend payouts on top of the 30% tax rate imposed on non-US citizens for US Stock dividends. Long positions will receive positive dividends based on the number of shares own on the ex-dividend date. Balance will be deducted accordingly for short positions. Dividends distribution is only applicable to Live accounts.

What are the trading hours for Stock CFDs?

Trading will be available from Monday-Friday 16:35 to 22:55 MT4/MT5 server time. Please refer to https://www.fullertonmarkets.com/instruments/stock-cfd for the full list of Stock CFDs offered, including the contract specifications, calculations and trading hours.

How to calculate the swaps for Stock CFDs?

Swap charges are -3.15% for long position and -2.65% for short position. Swap calculations for Stock CFDs Swaps = Daily Closing Price * Contract Size * Lot Size * Swap / 100 / 360 Examples: Buy 0.1 standard lot of Apple Inc (AAPL). AAPL closing price the day before: USD 150. Swap: 150 x 100 contract size x 0.1 lot x -3.15 / 100 / 360 = USD -0.13 (x3 on Friday) Short 0.1 standard lot of Apple Inc (AAPL). AAPL closing price the day before: USD 150. Swap: 150 x 100 contract size x 0.1 lot x -2....

Can I trade Stock CFDs on my Shariah account?

Shariah Accounts are able to open Stock CFD trades. There will be no swap charges for Shariah Accounts.

What is the margin requirement or leverage for trading Stock CFDs?

The required margin is 5% of a particular stock; 1:20 leverage regardless of your account's default leverage.

Is there any additional fee when trading Stock CFDs?

There is a commission of 0.1% per lot traded. Swap charges are -3.15% for long position and -2.65% for short positions. Commission = 0.1% x Market Price x Contract Size x Lot size E.g. If client buys 0.1 lot of Apple Inc (AAPL), commission fee will be: 0.1% x $150 x 100 x 0.1 = $1.50 Please refer to https://www.fullertonmarkets.com/instruments/stock-cfd for the full list of Stock CFDs offered, including the contract specifications, calculations and trading hours.

What is the contract size for Stock CFDs?

Contract size is 100 shares per lot.

What are the Stock CFDs offered for trading?

Please refer to https://www.fullertonmarkets.com/instruments/stock-cfd for the full list of Stock CFDs offered, including contract specifications, calculations and trading hours. Please note that affected Stock CFDs will be placed on 'close only' mode nearing company financial report announcement dates.

Are Stock CFDs offered in MT4 and MT5?

Stock CFDs are offered in both MT4 and MT5.