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What Are CFDs and How Do They Work?

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Education / Beginner

What Are CFDs and How Do They Work?

New to trading? You’ve likely come across the term “CFD” — but what exactly does it mean, and how can you trade CFDs with Infinite Markets?

CFD stands for Contract for Difference. It’s a type of trading where you don’t own the actual asset (like a stock or commodity), but instead speculate on its price movement — whether it goes up or down.

With Infinite Markets, you can trade CFDs on popular global assets such as Tesla, Apple, gold, and major indices like the S&P 500.

If you believe an asset will rise, you “go long.” If you think it will drop, you “go short.” If your prediction is right, you earn a return.

Benefits of CFD trading include:

  • Access to international markets
  • Low capital requirement
  • Ability to profit in both rising and falling markets

CFDs offer a flexible, user-friendly way to engage with the markets. At Infinite Markets, we make the process seamless — giving you the power to bet on price movements with confidence.

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