Question: What about the Stock ownership when trading on MT4 (MetaTrader4)?
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No, you will not have the actual ownership of a stock, by trading the stock in a form of CFD.
The stock issuing companies won’t even know if you are trading the stock in a form of CFD or not.
CFD stands for Contract for Difference, and this type of financial product gives you an opportunity to make profits from both rising/falling prices.
CFD is a “derivative product” which is literally deriving from the market price of actual underlying product.
To make the explanation more simple, CFD is a product which financial brokers have created by just using the price movement of actual underlying product.
Thus, clients will be just trading the price with make profit or loss by the different of prices.
Trading Stock CFDs have many more advantages for investors than trading the actual stock, but this “not being able to attain the stock ownership” would be the only demerit for trading the Stocks in a form of CFD.
HotForex offers nearly 40 stock CFDs through MT4.
For more information about Stock trading on MT4, go to HotForex Official Website.
