Why use Equity CFDs?

Flexibility: profit in a falling as well as a rising markets
You can trade long or short of any qualifying share, enabling you to take a positive or negative view. Other methods of shorting shares are often inconvenient or expensive.

Leverage: control larger positions
Take a position in a share without having to put up the full underlying contract value. Instead you put up a deposit (margin) as initial collateral, usually 10%. This has the potential to significantly magnify profits but ca n also magnify losses. Blue Index recommends the use of stop losses with each CFD trade.

Cost effectiveness: no stamp duty
Under current tax legislation, CFD contracts are not liable to UK Stamp Duty.

Immediate execution: deal at the market price or better
There is no extra spread to pay when trading CFDs through Blue Index and you can deal immediately with no irritating wait.

Corporate Actions: Participate in specific events
Gain from dividends, stock splits and movements in and out of Index groups.

Cross borders: trade world markets
CFDs are offered on stocks on all the major world bourses. UK stocks included in the FTSE 350, US stocks included in the S&P 500 and NASDAQ 100 and all the major European indices. CFDs on stocks outside these are offered on a prior approval basis.

Risk management: hedge existing holdings
In anticipation of a fall in a share price, a short position can remove or reduce risk on long-term share holdings without loss of voting rights or tax exemptions on PEPs and ISAs.

Tax planning: trade against profitable holdings
Equity CFDs can be sold to lock in a profit on an equity holding without incurring a tax liability.

Anonymity: trade discreetly
Equity CFD trades do not result in transfer of ownership, so the usual stock exchange disclosure rules do not apply, and the trades are not published.