
Glossary
Margin Requirement
Every time you trade in equity or index CFDs you need to pay us a percentage of the value of the deal, known as the Margin Requirement. This payment is called a margin.
Margin Trading
Your margin payment acts as a deposit or security to cover the risk of a loss on a deal for a larger amount of money.
Risk Warning:
Your investments and any income from CFDs can go down as well as up. You can quickly lose more than your initial deposit. Please make sure you understand the risks. CFDs may not be suitable for everyone.
Find out if CFDs are right for you
Halifax Contracts for Differences (CFDs) are a way of making (or losing!) money from share price movements without owning the share itself. You simply own a contract which you buy at one price and sell at another making (or losing) the difference.
So how’s that different from conventional share dealing?
- You can trade on rising as well as falling markets
- You only need to pay a percentage of the value of the shares up front
- There’s no minimum on the size of the trades you can place
- There's no commission to pay on index CFDs
- There's no stamp duty to pay*
- Try CFD trading with our Trading Academy
*Tax laws are subject to change and depend on individual circumstances
Why CFDs are not for everyone
As CFDs are leveraged products and work on margins you can quickly lose more than your initial investment. So make sure you fully understand the risks as this product may not be suitable for everyone.
