World Indices CFD and Commodities CFD

Diversify on World Indices CFD with up to 20 times leverage

World Indices CFD is a form of Contract For Differences (CFD) that allows investors to track and trade the underlying index such as Hong Kong Index and S&P 500 index, although the prices may differ from the actual index levels.

With World Indices CFDs, index traders are able to diversify across various markets. Being able to long and short an index with CFD allows investors to trade on the price movements of the entire stock index as a whole, as opposed to entering the market via investments in individual companies. This is useful for investors who wish to begin investing in a new market but are unaware how to do so due to lack of familiarity.

Phillip CFD offers both Cash-Derived World Index CFDs and Cash-Correlating World Index CFDs. The difference between these two categories of CFDs is that the Cash-Derived World Indices CFDs are derived directly from the underlying cash index, while the Cash-Correlating World Indices CFDs may not be at the same index value point as the underlying cash index but are certainly well correlated to them. Investors can look at their charts on the cash indices to trade directly on the Cash-Derived World Indices while the cash indices simply show an indication of the movement of Cash-Correlating World Indices CFDs.

Trade Commodities to hedge against inflation

Phillip CFD also offers commodities such as Gold USD 1CFD, Gold USD100 CFD, Silver USD50 CFD, and UK Oil USD1 CFD, UK Oil USD100 CFD, US Oil 1CFD, US Oil USD100CFD as a means to for traders to further diversify holdings.

Commodities have been found useful as a means to hedge against inflation as commodity, in particularly oil prices tend to rise when inflation accelerates while stocks tend to perform better when the rate of inflation is stable. Hence traders might want to consider the addition of such commodities into their portfolio to better reduce market risk and volatility.

Order Types & Submission

Customers are able to trade World Indices CFDs on POEMS 2.0, POEMS Mobile 3.0 (iOS & Android), POEMS Pro and POEMS CFD MT5. There are advanced orders types such as Stop Limit and One-Cancel-Other (OCO) to choose from for World Indices CFD. Please refer to Phillip CFD Information sheet at the bottom of this page for more information.

List of World Indices CFD

List of Commodities CFD

Important Trading Information

1. Contract Settlement
There will be NO auto-conversion should there be any margin deficit in any of the currency ledgers. If there is any margin deficit in the respective ledgers, customers should submit conversion request to avoid incurring margin debit interest.

2. Dividend Policy
A dividend adjustment will apply for World Indices CFD, after the ex-dividend date of its underlying component stock. If you have a long position in World Indices CFD, the dividend adjustment will be credited to your account. If you have a short position in World Indices CFD, the dividend adjustment will be debited from your account.

3. Minimum Contract Size
Minimum trade size for all World Indices is 1 contract.

4. Maintenance Margin
The marked-to-market price will be used to calculate the maintenance margin. Phillip CFD reserves the right to amend margin requirements from time to time.

5. Spreads
Spreads are subject to variation, especially in volatile market conditions and may widen during out-of-trading hours.

Example of Trading World Indices CFD

Stock market indices are good indicative measures of the market performance. Indices are usually a baskets of blue chip stocks listed on the exchange and are generally a good measure of the current market sentiment. Thus investing in World Indices CFDs that track these underlying indices are in effect investing in the performance of these blue chips stocks.