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The social networking brokerage and trading platform eToro has expanded its offering of stocks for 2016, to include CFDs for Chinese and Russian equities, as well as additional U.S. equity products. A further 139 eToro stocks, contracts for difference that track a company’s share price, have been added to those that are already available for trading with the popular FCA regulated firm. This has brought the total number of equities instruments available to eToro clients up to 450.
The announcement, which was made to customers of the firm yesterday and via the eToro website, follows the addition of 100 CFDs on Spanish and Italian stocks earlier this month.
eToro Stocks – What’s New
Most of the new additions are U.S. stocks, which are the most widely traded equities globally, but eToro are clearly also focused on expanding the global range of trading opportunities available to their clients:
Chinese Stocks – The new range of CFDs on Chinese tech giants includes companies the online travel agency Ctrip and the online retailer JD.
China has long been talked about as the most likely nation to overtake the U.S. in the world’s driving seat, especially when it comes to economic might.
Russian Stocks – Sberbank, Tatneft and Gazprom, are among the 15 Russian companies you can now trade CFDs on with eToro.
With Russia recuperating from its recent oil troubles and establishing itself as a major player in global affairs, many business oriented eyes are turning north to this red giant for investment opportunities.
U.S. Stocks – It’s now possible to speculate on the price movement of stocks in companies such as General Motors, PayPal, Wells Fargo, Philip Morris, and GoPro.
To view the entire range of CFD instruments now available for trading, visit the eToro website.
Trading CFDs with eToro
All trading in the new eToro stocks is through a CFD or ‘contract for difference’ on the share price of a company’s stock. A form of over-the-counter derivative similar in many ways to futures, though not traded via a centralized exchange, CFDs are derivative products that allow traders to speculate on future changes in the price of an underlying market without actually owning the stock on which the contract is based.
The eToro CFDs benefit from instant execution, the option of up to 10:1 leverage, and the possibility to profit from both rising and falling market prices with long and short contracts.
A contract-for-difference can be initiated by making an opening trade in a particular instrument via the eToro platform. This creates either a long or short position in that instrument, depending on whether the trade is opened with as a buyer or a seller. When you choose to close out your position, the difference between the opening trade price and the closing trade price is paid to you as profit, or debited from your account as a loss.
With eToro stocks, the CFD provider acts as counter party to your trade and may also charge you to fund your position if you hold it overnight. Financing charges on an open position are normally calculated at 22:00 GMT, and your position is then carried forward into the next trading day. eToro CFDs do not expire, so a position will continue to roll from one day to the next until you close it.
CFDs are typically traded with leverage, and so you will be requires to maintain minimum margin levels in your account at all times. Should the amount of money in your brokerage account with eToro drop below the required minimum then you will receive a margin call from the broker, who will liquidate your position if you are not able to cover the additional funds needed.
About eToro Stocks
eToro is an online market place for people to trade CFDs on currencies, commodities, indices and eToro stocks in a simple, transparent and profitable environment. More than just a broker or CFD provider, eToro is a social investment network, giving you the opportunity to channel the collective potential of a diverse trading community into individual benefit. Customers of eToro can learn from, interact with, and even automatically copy the trading decisions of other members of the network in real time.