If you are new to the world of trading, you might have come across the term CFD and wondered what it actually means. CFD stands for Contract for Difference, and it is one of the most popular ways traders speculate on the price movements of financial markets—without owning the actual asset.
But the question is, can you trade CFDs, and how does it work? Even more importantly, how can you do this without risking your own money? Let us break it all down in simple language.
What is a CFD?
A CFD is a contract between you and a broker to exchange the difference in the price of an asset from the time you open the trade to when you close it. In short, you can profit (or lose) based on how the market moves, without ever owning things like physical shares, gold bars, or actual euros.
For example, if you think the price of gold (XAU/USD) is going up, you can buy a CFD. If it rises, you earn the difference. If it drops, you take a loss. The same goes for selling—if you believe a price will fall, you can sell a CFD and aim to profit if the market moves lower.
What Can You Trade with CFDs?
One of the biggest advantages of CFDs is the wide range of markets you can access. At TradingFunds, funded traders typically get access to:
Forex (Foreign Exchange): The most popular market, trading pairs like EUR/USD, GBP/JPY, and USD/CHF. Open 24 hours a day, five days a week.
Indices: Like the S&P 500 (US500), NASDAQ 100 (US100), and DAX 40 (GER40). These let you trade entire markets or sectors in a single click.
Commodities: Including gold, silver, crude oil, and natural gas. Great for trading around big economic or geopolitical news.
Stocks: CFDs on popular companies such as Apple, Tesla, Amazon, and Meta.
Cryptocurrencies: Like Bitcoin (BTC/USD) and Ethereum (ETH/USD). Highly volatile and tradeable 24/7.
Each asset type has its own characteristics—some move more slowly, others can be very volatile. That means you can build a style that fits you best.
How Does Trading CFDs with a Prop Firm Work?
If you want to trade CFDs, one of the smartest ways is to do it through a prop firm. This is where TradingFunds comes in.
Instead of risking your own money, you trade with TradingFunds’ capital. Here is how it works:
-
Take an Evaluation: You decide how much capital you would like to trade. You enter a trading challenge that tests your skills. At TradingFunds, this is simple—meet a profit target (just 6%) without breaking risk rules.
-
Get Funded: Once you pass, you unlock real trading capital. TradingFunds offers accounts up to $600,000.
-
Keep Your Profits: You trade CFDs using TradingFunds’ capital. You can earn up to 90% of the profits, while never being responsible for losses.
This is a perfect way to grow your trading career without putting your own savings at risk.
Why Trade CFDs with TradingFunds?
TradingFunds is designed for traders who want more than just another demo account. Here is why thousands of traders have joined since we started in 2022:
Get Funded Faster: Many firms require you to reach 8% or even 10% before you qualify. At TradingFunds, it is only 6%, so you can get funded quicker.
Earn Up to 90% of Your Profits: Once you are funded, you keep most of what you make—up to 90%.
Scale to $600,000: As you hit your targets, TradingFunds increases your funding, letting you manage more capital and potentially earn more.
No Annoying Restrictions: Trade the news, hold over the weekend, use EAs or your own strategies—there are no stop-loss requirements here.
Fast Payouts: Get paid every two weeks, starting from just $100, with most payouts processed in about 8 hours.
Refunded Fees: Earn your second payout and your signup fee is returned, making your evaluation effectively free.
No Personal Liability: If you have a losing streak, you do not pay back the losses. It is TradingFunds’ capital on the line.
Is CFD Trading Risky?
All trading comes with risk—CFDs are no different. Prices can move quickly, especially with things like commodities and crypto. That is why having a solid risk management plan is so important.
The great part about trading through TradingFunds is that you are never risking your own money. If you hit the maximum drawdown, your funded account simply stops, and you can try again. You keep your personal savings safe.
Who Can Trade CFDs with TradingFunds?
Whether you are a beginner learning the ropes, or someone who has been trading on your own account for years, you can take advantage of TradingFunds’ programs.
Our funded accounts are perfect if you:
Want to grow your capital beyond your own savings
Prefer trading without risking your own funds
Aim to build a track record to become a professional trader
At TradingFunds, we believe trading should be accessible, fair, and rewarding. That is why we have built our evaluations to be straightforward, with transparent rules and no hidden fees.
Ready to Start Trading CFDs with TradingFunds?
So can you trade CFDs? Absolutely. And with TradingFunds, you can do it smarter—by using our capital instead of your own.
Get started today by choosing an evaluation that fits your goals. Pass it, and you could soon be trading up to $600,000, keeping up to 90% of the profits, and building a real trading career with no personal financial risk.
Get Funded Now and see how far your skills can take you.