Responsible investment requires that you understand the implications and that you are willing to accept them.
Complex Financial Instruments:A) CFD´s - see IFI
A Contract for Difference (CFD) is a complex financial product, according to the applicable law, which consists of a contract between two parties, qualified as buyer and seller, establishing that the seller will pay the buyer the difference between the closing price and the opening price if that difference is positive and the seller will receive the difference between the closing price and the opening price if the difference is negative. The underlying assets of the CFDs may be several, namely: Stocks, ETFs, Stock Indexes, Commodity Futures, Bond Futures Futures and Currency Futures. The aforementioned closing and opening prices are formulated by the Counterparty. B) FOREX - See IFI
Forex contracts are derivative contracts on currencies, which always work with a currency pair (cross currency) where the first is the base currency (the currency in which the amount to be bought or sold is defined) and the second is the currency (the currency in which the unit price of the base currency is defined). For example, in the EUR / USD cross, the euro is the base currency and the US dollar is the quotation currency. With a EUR / USD at 1.3600 (bid) and 1.3608 (ask), the investor will have to define the amount to buy or sell in the base currency (EUR) and then choose to buy (at 1.3608) or sell (at 1.3600), being that the purchase or sale prices represent the value in the quotation currency (the USD) per unit of the base currency (the EUR). A cross-currency position always implies the assumption of a long position in one currency (buy) against the short position in another (sale). The Forex contracts are traded in OTC - Over The Counter where the Counterparty (Saxo Bank A / S) is at the same time Market Maker, the prices being formulated by the Counterparty and disclosed in the trading platform Golden Trader. C) FUTURES - See IFI
Futures contracts are complex financial products, which consist of a contract for the purchase of an underlying asset under pre-defined (standardized) conditions, the settlement of which will occur on a future date (expiration date), at a price fixed in the present. The underlying assets of the Futures contracts may be several, namely: Stocks, ETFs, Stock Indices, Commodities, Bonds and Currencies. Futures contracts available on the Golden Trader platform are tradable on regulated markets and of which Saxo Bank is a member or operates through a member and its price is correlated with the underlying asset. Detailed information on each Futures contract available on the Golden Trader platform, namely: Expiry Date, Trading Markets (regulated markets of which Saxo Bank is a member or acting through a member), Trading Hours, Margin Required among others may be consulted at: http://www.saxobank.com/prices/futures/futures-contracts-v2. D) OPTIONS - See IFI
Options are Complex Financial Products, in accordance with applicable law, which consist of forward-looking contacts that give the buyer the right, but not the obligation, to buy or sell to his Counterparty (option seller) the underlying asset at a future date (maturity date) at a pre-determined price (strike price). The seller of the Option, in turn, has the obligation to buy or sell the same underlying asset at said strike price. The options on Forex are OTC (Over The Counter) options in which the Counterparty (Saxo Bank A / S) is both Market Maker, the price of the underlying asset being relevant for the exercise of the option formulated by the Counterparty and disclosed in Golden Trader trading platform.