Markets

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What are Indices?


Equity indices, or stock indices as they are also commonly known, are actual stock market indexes, which measure the value of a specific section of a stock market. They are calculated based on a weighted average of the prices of selected stocks, which belong to the actual category that they represent. Stock indices can represent a specific stock market such as NASDAQ, or they can represent a specific set of the largest companies of a nation such as the American S&P 500 , the British FTSE 100 , or the Japanese Nikkei 225.

Why trade Indices with Direct TT?






Product NameOfficial Name*
AUS 200The S&P/ASX200 - The Australian Stock Exchange Index
FRA40CAC40 Cotation Assistee en Continu - French Stock Exchange Index
COPPERCopper
GER30DAX Deutsche Aktien indeX - German Stock Exchange Index
UK100FTSE100 - Financial Times & London Stock Exchange Index
NGASNatural Gas
ESP35Spanish Stock Exchange Index
USA30Dow Jones Industrial Average
NAS100NASDAQ
SPX500S&P 500
HKG33Hang Seng Index - Hong Kong Stock Exchange
JPN225NIKKEI225 - Tokyo Stock Exchange


* Terms like S&P 500 or Dow Jones Industrial Average are trademarked and cannot be used by CFD brokers. As a result each broker must devise a unique name for these products.




CFD Trading Hours and Break Times


Product NameTrading Hours in GMT**Break Time in GMT**
AUS 200Daily 23.00 - 21.00Daily 05.30-06.10
FRA40Daily 06.00 - 20.00None
COPPERSun 23.00 - Fri 20.45Daily 21.00 - 23.00
GER30Daily 06.00 - 20.00
None
UK100Daily 07.00 - 20.00None
NGASSun 23.00 - Fri 20.45Daily 21.00 - 23.00
ESP35Daily 07.00 - 16.30None
USA30Sun 22.00 - Fri 20.15Daily 20.15 - 21.30 and 21.00-22.00
NAS100Sun 22.00 - Fri 20.15Daily 20.15 - 21.30 and 21.00-22.00
SPX500Sun 22.00 - Fri 20.15Daily 20.15 - 21.30 and 21.00-22.00
HKG33Mon 1:15- Fri 8:15Daily 04.00-05.00
JPN225Sun 24:00- Fri 20:15 Daily 20.15-24.00


** Certain products' trading hours are subject to shift 1hour forward/backward with a change between Standard Time and DST



Pip Value


Product NameCurrency Used for Pip Value ConversionPip Value Calculations
AUS 200Australian DollarAUD/USD = 0.77; Pip Value = $0.77
FRA40EuroEUR/USD = 1.10; Pip Value = $1.10
COPPERUSDPip = $1.00
GER30EuroEUR/USD = 1.10; Pip Value = $1.10
UK100British PoundGBP/USD = 1.25; Pip Value = $1.25
NGASUSDPip = $1.00
ESP35EuroEUR/USD = 1.10; Pip Value = $1.10
USA30USDPip = $1.00
NAS100USDPip = $1.00
SPX500USDPip = $1.00
HKG33Hong Kong DollarUSD/HKG = 7.76; Pip Value = $0.13
JPN225Japanese YenUSD/JPY = 112.00; Pip Value = $0.09



MT4 Configurations (of 1 Lot)


Product NameMT4 Contract SizeMultiplierMinimum Trade SizeMaximum Trade Size
AUS 200100.10.1100
FRA40100.10.1100
COPPER101000.1100
GER30100.10.1100
UK100100.10.1100
NGAS101000.1100
ESP35100.10.1100
USA30100.10.1100
NAS100100.10.1100
SPX5001010.1100
HKG3310.11100
JPN2251001101000


CFD commissions are charge per contract. i.e. 1 MT4 lot GER30 = 10 CFD contracts GER30. Commission is charged on 10 contracts.




Margin Requirements

Notional Value x Margin Requirement for the Account

* Notional Value = Contract Size x Multiplier x Price

** Margin Requirement are converted to respective account currency



Example:


Margin Requirement for 1 standard lot of USA30

Account leverage 1:100

 

Notional Value = Contract Size x Multiplier x Price

10 x 0.1 x 23,520.50 = 23,520.50

 

Margin Calculation = Notional Amount x Account margin requirement (1/100 = 0.01 or 1%)

23,520.05 x 1% = $235,20 margin requirement for 1.0 lot of USA 30

 


For a full list of offered products, click here.


For more information, please check the FCAs consultation paper on CFDs by clicking the link below:
https://www.fca.org.uk/news/press-releases/fca-proposes-stricter-rules-contract-difference-products

 


Disclaimer:


Margin requirements are subject to change, we will advise clients of updates to margin requirements and allow a reasonable timeframe to add additional funds or face close-out.

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