A cfd broker facilitates trading in cfd broker on a range of markets (stocks, currencies, commodities, indices, cryptocurrencies and more). They earn their profit through the spread (the difference between buy and sell prices), commissions, fees charged for overnight financing, and hedging. Some brokers also offer bonuses and promotions for their clients.

CFDs are leveraged products and can carry a high degree of risk to your capital. They are not suitable for everyone and you should only trade them if you understand the risks involved. You should also make sure you have sufficient funds to cover your losses should you open a position with leverage. Before trading CFDs you should also familiarise yourself with the risks and costs associated with margin trading.

What to look for in a cfd broker

The best CFD brokers are transparent and provide a clear breakdown of their charges. You should be able to find this information on their website or in their Terms and Conditions. You should also look for a broker that offers competitive spreads and is regulated. Regulated brokers must undergo regular audits, meet minimum capital requirements and provide segregated accounts and negative balance protection for their clients.

Choose a broker with good customer support, which can be accessed 24/7 via live chat. You should also check whether the broker has a mobile app and which languages it supports. It is also worth checking whether the broker offers educational resources and robust analysis tools.