One of the first and most important things to consider when your’re starting to trade CFDs is to choose an appropriate CFD provider or broker. You only want to be dealing with the most reliable, dependable, trustworthy and service oriented providers who can help you with your trading.
The number of CFD providers is growing so you have to do your homework.
Research and compare all the pros and cons of each CFD provider and choose the one that meets all your requirements.
To help you, download the Choosing a Broker Checklist.
Before you start, be aware that there are two models or ways of trading CFDs.
- Direct Market Access or DMA
- Market Made model
Click on the links below to learn more.
Direct Market Access
A Direct Market Access Model means that all quotes made by the CFD provide are the same as the price or value of the underlying product.
Market Maker Model
A Market Made Model CFD provider has the ability to ‘make’ the market on a range of instruments or products. They have the ability to ‘make’ their own price but generally their prices reflect the underlying product.