Shares

You can start CFD share trading by opening an account with us today. With TMGM, you can learn the nuances of CFDs with a demo account before you move to live trading.

When starting, you should select a platform and ensure you know how to place orders, read charts and indicators, and use risk management tools.

When you start trading CFDs, you must meet your broker's minimum deposit requirements. At TMGM, you need $100 to open an account. The amount of capital will depend on your plans. If you are learning to trade, $100 is enough to start your career. However, you may need more if you would like to open larger positions and meet your broker's margin requirements.

When you trade with TMGM, you do not own shares. A contract for difference is a derivative that tracks the stock but does not give you any ownership rights. Unlike with options or futures, you do not have the right or obligation to buy or sell shares directly. CFDs merely track the underlying stock's price movements so that you can benefit from price movements without purchasing the shares.

There is no single correct answer to the CFD vs. share trading comparison. These instruments serve different purposes. Shares give you ownership of the asset, so you can enjoy benefits like dividends and long-term gains. CFDs do not have the same investing benefits, but they allow you to track the market with limited capital, so they are better for day trading and short-term strategies.

So, if you are an active trader with limited capital, CFDs are better than stocks for your goals.