LONDON, June 29, 2011 /PRNewswire/ --
CFD trading (http://www.cityindex.co.uk/cfd-trading/) was conceived in the early 90s as a way of short selling on the London Stock Exchange. Originally developed on the derivative desk of London trading firm Smith New Court, it soon became a financial speculating method available to individuals.
Part of the attraction of CFD trading was that it allowed a trader to benefit from leverage and avoid stamp duty on any profits, neither of which were options afforded by standard share dealing. However, the leverage also meant traders could lose more than their initial deposit.
CFD trading also allowed - and continues to allow - traders to speculate on markets without owning the underlying shares. This meant CFD traders were able to sidestep the time-consuming and expensive exercise of borrowing stock to trade on a declining market.
Since the 1990s, CFD trading has become increasingly accessible. During the dot com boom, online trading platforms came to the fore: by the turn of the century CFDs were widely available in the UK. Most recently, in October 2009, City Index enhanced the industry further with the launch of its multi award-winning mobile CFD trading platform - City Trading™.
To find out more about City Trading™, which is available for iPhone™, Android, BlackBerry and many other mobile platforms, visit: http://www.cityindex.co.uk/trading-platform/
Spread betting and CFD trading are leveraged products which can result in losses greater than your initial deposit. Ensure you fully understand the risks.
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About City Index:
Today more and more individual traders are discovering the benefits of derivatives, and many of them are discovering them through a City Index trading platform.
As a group, we transact in excess of 1.5 million trades every month in over 50 countries. We provide access to a range of instruments including margined foreign exchange, contracts for difference ( CFDs) and, in the UK, financial spread betting.
We constantly look to improve the performance of our platforms and expand our range of services. The result is our customers benefit from innovative trading tools with transparent pricing, competitive spreads, mobile trading and a high standard of customer support. For more information, visit http://www.cityindex.co.uk/
SOURCE City Index