This warning is everywhere!

[OngHuatHuat]

Basically you are able to read this if you are using US platform.


Wonder how is SG clients doing using CFD? Are they smarter than USA speculators?

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
64% of retail investor accounts lose money when trading CFDs with IBKR.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

 

[OngHuatHuat]

 

[BBCWatcher]

Wonder how is SG clients doing using CFD? Are they smarter than USA speculators?

Well, since their regulator evidently isn’t requiring this warning, it’s reasonable to assume they’re (on average) less informed. But what you don’t know can’t hurt you, right?

 

[chrisloh65]

My understanding is that CFD is not worth the effort. Better go for futures and options (because you have better "futures" and better "options")!

Basically you are able to read this if you are using US platform.


Wonder how is SG clients doing using CFD? Are they smarter than USA speculators?

 

[Fatfool]

My understanding is that CFD is not worth the effort. Better go for futures and options (because you have better "futures" and better "options")!

The advantage of CFDs is that they allow you to hold the position perpetually (with carrying cost) futures and options have due dates. You can carry CFDs over cycles but not options or futures. No need to stress and time the market.

Anyway, so far so good for CFDs for me. I'm on the winning side.

 

[GreenTeaa]

The advantage of CFDs is that they allow you to hold the position perpetually (with carrying cost) futures and options have due dates. You can carry CFDs over cycles but not options or futures. No need to stress and time the market.

Anyway, so far so good for CFDs for me. I'm on the winning side.

Your interest costs not high? you are paying on a daily basis leh

 

[dork32]

Anyway, so far so good for CFDs for me. I'm on the winning side.

our friend say only 64% lose money, you could be one of the 36%

 

[Fatfool]

Your interest costs not high? you are paying on a daily basis leh

Oh that's fine. It's 3.5% + prevailing rate Per annum. I trade in and out so it doesn't even get to that amount. Sometimes I end up carrying it for a couple of months though. Still fine so as I can turn a profit.

 

[Fatfool]

our friend say only 64% lose money, you could be one of the 36%

Yeah. Thats still close to 4/10 people can make. Not a small number.

 

[apriliasiao]

Basically you are able to read this if you are using US platform.


Wonder how is SG clients doing using CFD? Are they smarter than USA speculators?

CFD is banned in US and they are using Options instead.

 

[chienwei]

what webpage are u viewing? why is there a TRIX there? it does not belong there.

 

[3dfxplayer]

CFD is banned in US and they are using Options instead.

And they are banned for good reasons.

 

[revhappy]

64% is not bad. Couple of years back, I remember the warning mentioned something like 87% lost money. Looks like the recent Robinhood traders movement has coincided with this improved results.

 

[Fatfool]

I really don't get why people lose money specifically with CFD.

To the trader, it's just like stocks but with carrying cost.

If you lose money trading stocks, you'll lose with the same strategy in CFDs.

A lot has to do with not having holding power and this tendency to be skittish when the counter apparently turns against you.

Just chill and don't over trade. If you have to wait a month or 3 for a recovery, just hold it there. You're not running a hedge fund sheesh.