New tool offers CFD experience
The Australian Securities Exchange has revamped its online education tools including a new trading simulator available to help investors learn about contracts for difference. Head of education services for the ASX, Tony Hunter, says that the CFD system allows users to put orders into the system to see how the market affects them and, unlike the sharemarket game which runs for a limited time, is open-ended. Hunter said that the decision was made to not run it is a competition so that people could watch their positions and be aware of the risks and benefits of trading CFD's. “If you'd had your CFD position, and you were long over the last month, you would have seen your position get hammered, and similarly if you'd been short, you would have made money in those sectors too, so it's a very direct learning experience,” he said.
Source: The Australian Financial Review