Direct Market Access to 220 More CFDs of US Stocks

26 November 2018
The Market Owl

Darwinex is now offering, on the MT5 platform, direct market access (DMA) to a selection of CFDs of the most liquid NYSE and Nasdaq stocks.


After the 30 of the DJIA, here come 220 more stocks from the NYSE and the Nasdaq

In May 2018 we were announcing the offering of direct market access (DMA) to single stocks starting with contracts for differences (CFDs) on 30 US stocks -the DJIA constituents- on the MT5 platform.

On that occasion, we wrote…

Once we have road-tested operations, we will:

  • Expand the universe of US stocks
  • Add European stocks

Our target is to eventually include the 20% of reference stocks that account for 80% of volume.

Operations have been road-tested and we’ve arrived at the next station of our single stocks journey: we’ve added a selection of CFDs of the most liquid NYSE and Nasdaq stocks, namely 153 from the NYSE and 67 from Nasdaq.

Check out our complete stocks offering here.


How do our DMA single stock CFDs work?

It’s important to know how our Direct Market Access (DMA) stock CFDs work in order to be aware that they’re a product as good – or better – as cash stocks.

CFD is the abbreviation of contract for difference, term that indicates the form the contract gets settled.

It’s an equity swap in which the counterparties settle the bet based on the difference of the underlying’s price from the time the contract was agreed to the point where it ends without having owned the underlying at any moment of time.

In the case of share CFDs, contracts are referenced to specific shares.

For a complete explanation of how Darwinex’s share CFDs work, check out this webinar recording from last May. The webinar covers the following topics:

  • Why Darwinex started offering single stocks CFDs
  • Why CFDs instead of cash stocks
  • Risks of CFDs
  • CFDs vs. direct market access (DMA) CFDs
  • The price you see
  • The price you get
  • Slippage in the case of stocks

 


The price you see and the fill you get

As we’ve been doing with the 30 share CFDs we started to offer in May, we’ll stream CBOE live Top of Book price feed at no charge to customers.

As to the fill you get, as always, we offer you Direct Market Access (DMA). The $0.04 per contract brokerage commission you pay us buys you the best fill in the open market, including both CBOE and every alternative via systematic internalisers under the Mifid regime in Europe.

That is, the price you see is the price available from CBOE US whereas the price you get is the best market price available from any regulated alternative, including CBOE US, but not limited to it.


DARWINs based on stocks

DARWINs based on trading accounts trading stocks is one of the next stops o Darwinex’s single stocks journey.

We already offer DARWINs based on accounts trading the DAX, one of our first assets not tradeable 24/5 – DARWINs based on stocks are really close.


We hope you find the new assets interesting. And as always, we’d love to hear your comments and feedback!

Check out our complete stocks offering here.