Stocks Trading
Trading stocks allows investors to trade the stock market with BitBond right by their
side.
Stock traders hope to profit from the increases in a company’s value over time, which in turn raises the value of
company stocks. Investors may hold stocks for long periods of time in order to maximise on the long-term movements
of an equity and the stock market.
With BitBond, you will have access to direct liquidity pricing with real-time data straight from the two largest
stock exchanges in the world, NYSE and NASDAQ.
BitBond offers stocks from Apple, Facebook and Alphabet (formerly Google), which are historically the most
popular and best performing technology stocks from the NASDAQ stock exchange. These stocks are known as ‘growth
stocks’, since technological devices are continually being released and upgraded. For this reason, trading stocks in
these companies with BitBond may potentially yield a higher profit for investors, since the demand for
technology and technological devices is expected to continue into the future.
STOCK TRADING VS STOCK CFD TRADING
Both stock trading and stock CFD trading are ways for investors to trade the movements of the stock market. However,
they differ in fundamental ways. Traders who invest in stocks directly own the underlying stock, which is a portion
of the company they invest in. In contrast, CFD traders buy a contract between themselves and a broker which
speculates on a stock’s entry and exit value. Stock CFD traders aim to profit from the movement of an asset without
owning it – stock traders aim to profit from the value of the share they own over time.
WHY TRADE STOCKS?
Diversification - since stocks move independently of many other investments, they are a valuable source of
diversification in a trader’s portfolio. This means that during losses on other instruments, stock trading may be a
valuable alternative.
No time limits - unlike stock CFDs, stocks can be held by a trader for any amount of time. This means investors can
hold stocks as part of a long-term trading strategy, and maximise on long-term trends.
Introduce risk - stock trading can also introduce risk into a trader’s portfolio, and could act as a source of
potential short-term, quick profits. Investors should always keep in mind that short-term losses are equally
possible.