Trading indices gives you an exposure to a group of listed companies within the same exchange. Investors can trade indices for the same intentions as they would with shares but with the additional benefit of a diverse portfolio.

FBS gives you direct access to trade a range of global indices. Investors can benefit from low margin rates of 1% and the ability to place short positions if they believe the market will fall with no extra fees or commissions.

CFD trading example 1:

100GBP is trading at 6950.00 with a margin of 1%

You predict that the price of 100GBP will rise in the next 30 minutes over a news announcement and decide to buy 1 CFD. To open this trade, you will only have to deposit £69,50. Subsequently, your prediction was correct and you sell the trade at 6980.00

The price has moved 30 points (6980.00 – 6950.00) in your favour.

You profit is (1*30) = £30.00

CFD trading example 2:

100GBP is trading at 6960.00 with a margin of 1%

You predict that the price of 100GBP will fall and you decide to short 1 CFD but set a stop loss at 7010.00 for risk management. To open this trade, you will only have to deposit £69,50. Subsequently, the price of the 100GBP rose by 50 points and hit your stop loss.

The price has moved 50 points (6960.00 – 7010.00) against your favour.

Your loss is (1*50) = £50.00