Online Forex CFD broker Admiral Markets announced the addition of a new instrument, Snap Inc. (Snapchat) single share CFD (#SNAP) on the 14th of March 2017. This was in a bid to drastically change the volumes of trade done and to open up global economies.
Newly listed, popular companies always get a lot of attention and have a huge trading volume. Admiral Markets plans to offer many more single share CFDs (Contract for Difference) this year. They believe that the demand for single shares and new Initial Public Offerings (IPOs) is much higher than that for Forex.
What is CFD ?
Contract for Difference or CFD are a way to get more traders all over the world. It is an agreement amongst two parties to swap the difference in opening and closing price of a contract.
Benefits of CFD
The Director at Admiral Markets UK, Berlin Branch, said that the quotes of newly listed instruments always brings big fluctuation– ups and down. If one invests in shares directly, then only the quotes that go up will bring the investor profit. With leveraged CFD trading of #SNAP, the investor can choose- to both invest in long or short term, and also make money when prices fall. By changing the CFD, terms essential customers are enticed to trade bigger amounts and open to trade in the global market.
Snapchat is a well known social media platform (App) that was started around 6 years back. Widely popular amongst the youth for image messaging, it is only accessible on the mobile. With 156 million users in the world, with 10 million of them who are active daily in the UK alone, it is obvious how huge this application is.
Updated terms of US stock CFDs
New contract step, trading session and minimum contract size was also announced for US stock CFDs that will be effective from Monday, 20th March 2017.
- Decrease in the minimum lot size, pip values for each contract, contract step. Which will allow trade of small contracts- as small a single share and also contract step of a single share.
- The updated pip value for each contract is 0.01 pips
- Change in minimum commission to $3 per transaction
- Allowing 3 day swaps – Friday
- Also updated are the trading timing (EET) 16:35 to 23:00 all weekdays (Monday to Friday)
Old users of Admiral must note
This new enhanced instrument can only be used by traders who have an Admiral.Market account, which is on the AM-Live2 trade server only. So if someone has an Admiral-Pro login, they must create a new account with Admiral.Markets and use the trader’s room to shift the funds to it.