Indices

Indices Trading

Benefits of Indices Trading with VestoAI

  • Immediate access to worldwide economies
  • Highly liquid market
  • Straightforward entry to international stock markets
  • No hidden commissions
  • Trade 17 global asset groups & 300+ individual CFD financial instruments. Discover Forex, Commodities (Precious Metals, Energies), Stocks and Cryptocurrencies at VestoAI.

    How does Indices Trading work?

    1. Choice of Index: Choose an index, like the USA500 or CAC 40, that represents a group of stocks.
    2. Speculate on Movement: Instead of buying the stocks, you predict whether the index will rise or fall in value.
    3. Contract: You enter a CFD, which is a contract between you and your broker (VestoAI), based on your prediction.
    4. Profit or Loss: If your prediction is correct, you earn from your trade If it’s wrong, you incur a loss. The amount you gain or lose depends on the extent of the index’s movement.
    5. No Physical Shares: You never own any shares; you’re just speculating on the index’s value.
    This way, you can potentially earn from the stock market’s movements without needing a large amount of capital to invest in actual stocks. However, it’s important to remember that CFDs are complex instruments and come with a high risk of loss.

    Commonly traded Indices:

    1. CAC 40: France’s main stock market index, representing the 40 largest stocks listed on the Euronext Paris.
    2. FTSE: The Financial Times Stock Exchange 100 Index, a major UK stock index comprising the 100 most highly capitalized companies listed on the London Stock Exchange.
    3. USA500: Commonly known as the S&P 500, it’s a leading American stock market index representing 500 of the largest companies listed on exchanges in the United States.
    4. USA100: Also known as the NASDAQ 100, this index includes 100 of the largest non-financial companies listed on the NASDAQ stock exchange in the United States.
    5. DAX: The Deutscher Aktienindex, Germany’s primary stock index, which tracks the performance of the 40 major companies trading on the Frankfurt Stock Exchange.
    6. IBEX 35: Spain’s benchmark stock market index, composed of the 35 most liquid Spanish stocks traded on the Madrid Stock Exchange.
    7. Hang Seng: A major stock market index in Hong Kong, tracking the performance of the largest and most liquid companies listed on the Hong Kong Stock Exchange.
    8. NIY: Often referred to as the Nikkei 225, it’s a prominent stock market index in Japan, tracking the performance of 225 top-rated companies listed on the Tokyo Stock Exchange.