Index trading with Exinity
Understanding indices
Indices are ‘big picture’ baskets of assets that represent global and regional stock markets. With hundreds, or even thousands, of components they’re less volatile than individual stocks. Index prices are impacted by economic news, company results and announcements, commodity prices and the composition of the index itself. And being popular with all types of investors they tend to be highly liquid.
ANALYSIS
What our experts say
Why we like indices
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They’re a smart way to gain exposure to global or regional stock markets without the challenges of choosing individual stocks
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They’re highly liquid, offering tight spreads and long trading hours so they’re accessible whatever your timezone and trading schedule
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Pricing is centralised and calculated on market capitalisation of the constituents so prices are generally less volatile than individual shares
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They’re popular with many retail traders, used extensively for both hedging and speculating
Indices and leverage
Indices can be traded with leverage through CFDs to exaggerate the outcome, whether positive or negative, from a trade. Typically retail traders choose leverage between 10:1 and 200:1 on indices to suit different trading styles and risk appetites.
