Normal
Most derivatives do. With CFDs its cash borrowings. With options, the cost of money is priced in. (btw its margin not borrowings) If things go wrong chances are you'll lose your margin. If things go MASSIVELY wrong you'll be in debt sure. If you're so concerned just put on a guarantee stop loss: Now you've got the same protection as an option without any greeks to worry about.Oppies have no visible borrow cause its priced in. Risk management intraday on all but the most liquid lines is a joke with liquidity and spread issues.I don't advocate CFDs per se but compared to oppies for short term trading they are superior in many many ways.
Most derivatives do. With CFDs its cash borrowings. With options, the cost of money is priced in. (btw its margin not borrowings)
If things go wrong chances are you'll lose your margin. If things go MASSIVELY wrong you'll be in debt sure. If you're so concerned just put on a guarantee stop loss: Now you've got the same protection as an option without any greeks to worry about.
Oppies have no visible borrow cause its priced in. Risk management intraday on all but the most liquid lines is a joke with liquidity and spread issues.
I don't advocate CFDs per se but compared to oppies for short term trading they are superior in many many ways.
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