At JFD, you can trade 20+ ETFs and ETNs. If you’re new to trading, here’s what you need to know about both.
ETFs and ETNs both have similarities but to an experienced trader, they’re quite different. ETF stands for exchange-traded funds while ETN stands for exchange-traded notes. ETFs are more popular than ETNs due to their lower fee structure and simple price action. They are a perfect replacement for mutual funds. Both ETNs and ETFs stand out with their low expense ratios in comparison to mutual funds, their underlying asset tracking, and the ability to trade them on major exchanges like stocks.
The main difference is that by investing in an ETF, you are investing into a fund that holds the asset it tracks, whereas an ETN is more like a bond that can be held to maturity, bought or sold at will.
Note: The lower margin is available only to “professional” clients and clients of JFD Overseas Ltd.
|CFDs on ETFs||2.5 cps*/ minimum ticket charge 5 USD||2.5 cps*/ minimum ticket charge 5 USD||2.5 cps*/ minimum ticket charge 5 USD||2.5 cps*/ minimum ticket charge 5 USD|
commission per 1 Lot per side
* cps = cents per share
The main advantage of CFDs is that they make your trading more cost-effective. You can trade as low as 0,10 EUR per point and you’re only investing in a portion. CFDs are an over the counter or OTC product. They base themselves on underlying instruments like shares, futures, or spot indices. However, futures could be expensive - if you are trading 1 future on the DAX, 1 point equals 25 Euros.
With JFD, you can take advantage of low spreads and minimal commissions. See our Contract Specifications for more details. In addition, you will benefit from more flexibility and more precise risk management. You’ll have the opportunity to open the position size you need and go short. Enjoy these benefits on a more granular level with mini CFDs.
Trading CFDs with JFD instead of directly with Market Makers is always better as we have your best interests in mind.
Yes, depending on the CFD type.
When trading CFDs on stocks, indices, or ETFs:
The transaction will be reflected on your trading account instantly on the ex-dividend date.
You can find all transactions related to dividends in your account history or your daily account statement.