Basicsintermediateโฑ๏ธ 7 min read
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What is a CFD?

Contracts for Difference let you trade on price movements without owning the underlying asset. Understand the risks and rewards.

Published February 25, 2026 ยท By eToro

Full article coming soon. In the meantime, explore eToro's resources to deepen your investing knowledge.

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This article is part of eToro's Academy โ€” a comprehensive learning hub designed to help you become a more confident investor, whether you're just starting out or refining your strategy.

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Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 50% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. This content is for educational purposes only and should not be considered investment advice.

What is a CFD? | eToro Academy | eToro