ETF Trading
Open an ETF trading account with Fortunefx pro and gain access to a wide range of markets and sectors via CFDs.
Open AccountThe best ETF trading platform for experts
Exchange traded fund (ETF) trading involves speculating on the performance of a group of shares instead of individual assets. ETFs are available to trade instantly and are a cost-effective means of getting diversified exposure to a certain sector or region.
Advantages of ETF trading with Fortunefx pro
Trade ETFs with leverage
Trade ETF CFDs with up to 1:500 leverage.
You’re trading with a reputable broker
Client funds ard kept in fully segregated accounts.
Highly customisable ETF trading system
Experience over 1,200 advanced trading tools and an intuitive user interface that can be tailored to your trading style and strategies.
Multiple ETF trading options
Take advantage of market, limit and stop orders with settings for volume units, stop levels and slippage.
One/double-click trading mode
Move quickly on rapidly changing markets and place your orders immediately throughout the day.
Level 2 pricing
Venture the market depth with up to 50 levels and see your limit orders inside the order book.
What is ETF trading? Exchange traded funds definition
An ETF is a basket of securities which are based around an index, industry or theme, and can track a group of shares, commodities, currencies and other assets.
ETFs are traded on exchanges just like regular stocks, with prices fluctuating throughout the day as they’re bought and sold. For many investors, ETF trading combines the portfolio diversification of mutual funds with the speed and ease of stock trading.
Launched in the US in 1993 to track the S&P 500 Index, the SPDR S&P 500 was the first ETF and remains one of the top exchange traded funds available today. It’s one of 33 ETFs available to trade through our ETF trading platform.
How do exchange traded funds work?
An ETF is created by a fund provider who owns a basket of underlying assets. The fund itself then tracks its performance, with shares in the ETF being sold to investors. This means that, as an investor, you’ll own a portion of the ETF without owning the individual assets that it’s made up of.
Buyers and sellers can then trade the ETF throughout the day on an exchange like they would with a regular stock. Prices are market-determined and usually differ from those of the assets they track.
When online ETF trading with Fortunefx pro, you’ll gain exposure to the ETF via a CFD, so you do not own it directly.
Exchange traded funds: Pros and cons
ETF trading is popular for a range of reasons. But as with any investment, there are potential risks to weigh up before you make any decisions.
PROS
- An ETF can provide exposure to several different stocks, industries and sectors in one convenient investment.
- Investing in multiple assets in an ETF can manage the risk of individual assets that might fluctuate in value.
- ETF trading can be a cost-effective means of investing as many are passively managed and cheaper for this reason.
- It’s easy to buy and sell ETFs throughout the day, especially when using an advanced ETF platform like TickTrader.
cons
- You will still be exposed to the risk of an ETF’s underlying index or assets falling in value. This risk is heightened when trading on leverage, which is 1.500 with Fortunefx pro.
- Actively managed ETFs come with higher expense ratios due to the extra research and work involved.
- An ETF’s trading volume affects how easy it is to buy and sell. Those with lower volume can be harder to offload.
- Unlike buying individual assets, you won’t have full control over the holdings in an ETF, or if and how they’re rebalanced.
Online ETF trading with Fortunefx pro
By registering for an ETF trading account with Fortunefx pro, you’ll gain access to TickTrader, the all-in-one platform for the most demanding of traders. From here you can trade forex and CFDs in multiple asset classes – forex, stocks, commodities, indices and cryptocurrency CFDs – all from one account.
Registering is quick and easy through our online form. Open an account and verify your identity to begin your ETF trading journey today.