That is the flexibility that they offer for trading on a range of financial products.
If you are already an active trader, and simply considering switching to CFDs for the advantages they offer over the financial instruments you're using, then quite possibly you will not have a problem of choice, at least at first.
But in due course you may find that you want to explore other trading markets, particularly if they are readily available to you.
In order to stay competitive, many CFD providers have chosen to compete on the range of products that they offer, and you'll commonly find perhaps 7000 different CFD products available.
Which you choose will depend on your view of the various markets, and whether they are acting consistently enough to trade with your systems and techniques.
Comparing the Different CFDs Providers In any case, when you are choosing your CFD provider you will probably want to allow yourself the option of trying out different types of securities at some time in the future, and this should be a consideration when you are narrowing down the providers you are looking at.
Quite possibly you will consider signing up with more than one CFD provider, as you may find that fees for the different financial instruments vary and you will want to compare between them.
Many people start out trading indices, both local and from other countries and you will find the margins for these are some of the lowest.
But there are contracts for difference for most of the things that you can think of trading.
For instance, if you want to trade Forex but don't like the size of trading units offered, CFDs provide a flexible solution.
Equities can be traded more cost-effectively using CFDs, as a little money goes a long way when trading shares using contracts for difference.
But you can also trade with CFDs on the commodity and bond markets.
There are very few instances where trading with CFDs will not be more efficient financially than directly trading on the underlying financial product.
The exception is when you plan to buy and hold for a time, when the interest charged on CFDs may start to become significant.
However, if you want to trade in ways other than with contracts for difference, then there are brokers who will cater for this need.
In the larger picture of product range, you can find CFD providers who are in other financial markets, where they already had a trading platform before they started issuing CFDs.
In many cases, they have chosen to add contracts for difference onto the existing trading platforms.
This means that you may be able to trade Forex or equities directly using the same software platform as the one you need for CFDs.