List of Stock Index CFDs you can trade with XM
By opening an account with XM, you can invest in the following Stock Index CFDs.
- AUS200Cash
- EU50Cash
- FRA40Cash
- GER40Cash
- HK50Cash
- IT40Cash
- JP225Cash
- NETH25Cash
- SPAIN35Cash
- SWI20Cash
- UK100Cash
- US100Cash
- US30Cash
- US500Cash
Swap rates are calculated based on the interbank rates of index currencies. In the buy position, you will be charged the interbank rate of the target currency plus the price increase, and in the sell position, you will receive the rate minus the price increase. The swap amount is calculated and reflected at 00:00 (time zone is GMT + 2, pay attention to daylight saving time), and it takes several minutes. Swaps from Wednesday to Thursday will be charged for 3 days.
Minimum distance to set a pre-order at the current market price.
The margin calculation formula for CFD products is “lot number x contract size x open price x margin rate” and is not calculated by the leverage of the account setting.
The margin requirement for hedging a position on a CFD product is always 50%, even if the margin maintenance rate exceeds 100%.
Positions that have not been settled on the maturity date will be forcibly settled.
Start Investing in Stock Index CFDs
What is Stock Index CFD?
A stock index, also known as a stock index, is an index of the actual stock market that measures the value of a particular sector of the stock market. These are calculated based on the weighted average of the stocks that belong to the actual division of the constituent stocks. In addition to symbolizing a particular stock market such as the NSDAQ, the stock index represents a large group of companies that are responsible for the economy of the country, such as the S & P 500 in the United States, the FTSE 100 in the United Kingdom, or the Nikkei 225 in Japan.
The index is intended to represent the general direction of economic activity in a particular stock market or country. However, because the stock index is made up of a collection of companies, it is strongly influenced by the big movements of a particular company and the big movements of a particular sector due to trading.
The actual weighted averages assigned to stock indexes from constituents differ among the various indexes, which means that not all indexes use the same criteria to determine the final average. The two main methods of calculating the actual weighted average value that a particular constituent stock shows on the index itself are the price-weighted index and the capitalization-weighted index.
Below you can see some of the categories to which the representative indices belong:
- Dow Jones (US30) and Nikkei 225 (Japan225) are price-weighted average indices.
- FTSE 100 (UK 100), ASX200 (Australia 200), Hang Seng Index (Hong Kong 50), DAX (Germany 30), CAC 40 (France 40) and IBEX 35 (Spain 35) are major stock indexes. These are market value weighted average stock indexes.
Why people choose XM to invest in Stock Indices?
- Cost-effective and direct access to global stock markets
- Immediate access to the world economy
- Speculation in the rise and fall of the market
- Select short/long according to market trends
- Ideal for both short-term and long-term trading strategies
Dividend adjustment to the cash index (excluding GER40)
CFD products in the physical index are subject to dividend adjustment.
If a component of a stock index pays a dividend to its shareholders, it essentially reduces the value of the company by the amount of the dividend.
This is reflected in the decline in the stock price of the company on the ex-dividend date, as well as in the decrease in the value of the stock index, which is proportional to the weight of the stock in the stock index.
Dividend adjustment is for customers who hold the stock index position at 00:00 (GMT + 2 time zone, time difference from Japan time is 7 hours in winter / 6 hours in summer) so that there is no effect on the position. Dividend adjustment will be made to your trading account.
Dividend adjustments will be made prior to the opening of the ex-dividend date (see above for market times).
German40 (GER40Cash) CFD products are not subject to dividend adjustments as the dividends paid by their constituents are reinvested in the stock index itself . Therefore, no downward adjustments will be made by the components that pay dividends.
CFD products in the Futures Index are not subject to dividend adjustments .
For buy transactions, the amount calculated as follows will be paid:
Dividend adjustment = Declared index dividend x Position size in lots
When you make a sell transaction, you will be charged the amount calculated as follows :
Dividend adjustment = Declared index dividend x Position size in lots
Start Investing in Stock Index CFDs
Stock Index – What are the characteristics of each?
- S & P 500 (US500)
- The S & P 500 (US500) Stock Market Index was introduced in 1957 by the American financial services company Standard & Poor’s Financial Services LLC. It is a key indicator of US stock prices and one of the most frequently used criteria for the entire US stock market. It accounts for 75% of the market capitalization of the American stock market.
- ASX200 (Australia200)
- The ASX 200 (AUS200) Index has a daily trading volume of approximately $ 4,685 million and is weighted by the market market value of stocks listed on the top 15 Australian Stock Exchange in the world. Average stock index. The index includes only stocks listed on the Australian Stock Exchange.
- Nikkei 225 (JP225)
- Known as Nikkei, Nikkei 225 (JP225) is the stock index of the Tokyo Stock Exchange, the third largest stock exchange in the world with a market capitalization of US $ 4.9 trillion.
- HSI (HK50)
- The HSI (HK50) Hang Seng Index has been used since 1969 to record the daily evolution of the 50 largest companies listed on the Stock Exchange of Hong Kong (HKEx), the second largest in Asia. It is a market capitalization weighted average stock index.
- FTSE 100 (UK100)
- The FTSE 100 (UK100) Stock Index stands for Financial Times Stock Exchange 100 Index and consists of the top 100 companies listed on the London Stock Exchange by market capitalization.
- NASDAQ 100 (US100)
- The leading NASDAQ Index is the NASDAQ Composite Index, which consists of 107 equity securities issued by the most influential non-financial companies listed on the NASDAQ Stock Exchange (NASDAQ 100 (US100). US100) is a partial set of them.
- DJIA (US30)
- DJIA (US30) is the second oldest stock index after the Dow Jones Industrial Average in the United States and represents the performance of the 30 major American companies during normal witness trading in the stock market. Calculated by the Dow Jones Industrial Average divisor by dividing the sum of all prices of all 30 constituents of the Index.
- DAX (GER40)
- DAX (GER40) is an abbreviation for Deutscher Aktienindex, which is the main German stock index consisting of 40 major companies traded on the Frankfurt Stock Exchange. Due to its quality and profitability, it is considered the best index.
- CAC 40 (FRA40)
- A stock index that represents the French CAC 40 (FRA40) is an abbreviation of Cotation Assistée en Continu, French stock exchange is a major stock exchange in the second in Europe, Euronext It consists of the top 40 stocks out of the top 100 stocks with market capitalization traded in Paris.
Please check XM official website or contact the customer support with regard to the latest information and more accurate details.
XM official website is here.
Please click "Introduction of XM", if you want to know the details and the company information of XM.
(Forex Broker)
Comment by Diletta
March 26, 2024
Awesome bonuses, good leverage. A few hiccups, but support rocks!