How to invest in the US market?

The United States is home to many of the world’s largest companies and the two largest stock exchanges, the New York Stock Exchange and the NASDAQ. Many traders are interested in trading or investing in US-listed companies.

With a Traze trading account, you can trade CFDs on US stocks, allowing you to speculate on the price movements of leading US companies using the MetaTrader 5 platform.

Traze is a CFD broker and does not offer direct share ownership. All trades are conducted using contracts-for-difference (CFDs), which means you are trading on the price movements of US stocks without owning the underlying asset.

CFDs are typically suited for short-term trading strategies and market opportunities, while direct share investing is more appropriate for long-term ownership.

What’s the difference between trading CFDs and buying shares?

The main difference between investing in shares and trading shares using CFDs are:

• Using leverage, you can trade more with less money. Using leverage to open larger positions enables you to amplify your profits and losses.
• With CFDs, you can go long or short, meaning you can speculate on the price going up or down. When you invest in shares, you can only profit from the share price increasing.
• Profits from trading CFDs are settled instantly, whereas if you buy shares from the stock market, it can take a couple of days until funds are available to withdraw.
• Buying shares can be more expensive because of brokerage commissions and fees for market data, clearing, and custodians.