Indices CFDs
Gain exposure to the basket of instruments making up the index in just one trade. The world’s most popular Indices are available on all 4T trading platforms.
Indices are the most popular form of CFDs. 4T have a large range of Indices from around the world to choose from including the Australia S&P 200 Index, UK FTSE 100 Index, US E-mini S&P 500 and US DJIA Index.
A stock index is a virtual portfolio of shares representing a particular market or a portion of it. While stock indexes are useful for gauging market performance, individual shares can't be traded directly. Instead, traders can take advantage of index CFDs to speculate on price changes without having to own the underlying shares, avoiding complex settlement procedures and margin requirements.
Facts
- 25 Indices to trade from
- Up to 1:1000 leverage
- Spreads as low as 0.4 points
- 0% commission
- No requotes
- All platforms
(Spot) Equity Indices Spreads
4T offers competitive spreads across all our Indices contracts, including the E-mini S&P 500 Index from 0.4 points, the FTSE 100 Index from 1 point, DJIA from 2.4 points, and the ASX 200 Index from 0.8 points.
Futures Indices
In addition to Equity Indices, 4T also offers Futures Indices like Dollar Index and VIX Index.
How to determine if a client is entitled dividend from Index AUS200?
If you hold a long AUS200 position, you may be entitled to receive a dividend payment. For example, let's say you hold 1 lot AUS200 position as of the close of business on 28th August 2026. Therefore, on 31st August 2026, the underlying market AUS200 has its ex-dividend date. On August 31st, 2026, the net cash dividend for the underlying is 20.55. In order to calculate the exact dividend payment on 1 lot AUS200, the formula is: (dividend per share/unit in AUS200) x (the size of the account). So, 20.55 expressed in a currency like AUD, USD, or EUR on AUS200 means that for 1 lot (20.55) x (20 = 411.00 AUD). Therefore, a long position on AUS200 of 1 lot will receive 411.00 AUD as dividend payment. The dividend adjustment will be credited to the client's account as cash (balance) on the ex-date. The account balance will be expanded or reduced like a CFD, or 0.55 on AUS200 index that has 20 units per lot, 20.55 x 20 = 411.00 AUD.
When holding a short AUS200 position, you will be debited with the exact same amount on the ex-date. Company adjustments are debited/credited to the client's account balance at the close of business on the day prior to the ex-dividend date. Please note that the dividend reduction doesn't apply to share CFDs and others.
Indices example
Buying: Australia 200 IndexThe gross profit on your trade is calculated as follows:
Opening the Position
The Australia 200 Index is trading at 7245 / 7246 and you decide to buy 5 contracts at 7246 (Total position value: 7246 x 5 = $36,230).
Closing the Position
One week later, the market has moved in your favor to 7345/7346 and you exit your position by selling 5 contracts at 7345.
Spreads
INDICES| Product | All Accounts | ||
|---|---|---|---|
| SYMBOL | DESCRIPTION | MIN | AVG |
| AUS200 | Australia 200 Index | 0.80 | 1.20 |
| GER30 | Germany 30 Index | 0.90 | 1.20 |
| FRA40 | France 40 Index | 0.80 | 1.10 |
| ES35 | Spain 35 Index | 4.00 | 4.50 |
| UK100 | UK 100 Index | 1.00 | 1.20 |
| US30 | US 30 Index | 2.00 | 2.50 |
| US500 | US 500 Index Cash | 0.30 | 0.40 |
| NAS100 | US Nas 100 Index | 0.80 | 1.10 |
| JPN225 | Japan 225 Index | 2.00 | 2.40 |
* MIN - minimum, AVG - average
US INDICES TRADING
The US Internal Revenue Service (IRS) has rules under section 871(m) for US security derivatives – (like your CFDs) to be taxed in a different column once.
What does it mean for me?
When trading any US listed equity indices, 871(m) has a fixed impact on your profits to be reinvested into your account and the applicable 871(m) tax will be automatically deducted.
How much will be deducted?
The deduction rate can depend on the underlying market, our chosen broker, your country of tax rescue and the relevant market rules. The rate may be up to 30%. Please note that the 871(m) tax deduction doesn't apply to short positions.
What should I do?
If you are a Non-US-Citizen and wish the applicable tax rate to be reduced, please fill out Form W-8BEN and submit it to your Client Area.
If you are a US Citizen and want the applicable tax rate reduced, please fill out Form W-9 and submit it to your Client Area.
For further information please do not hesitate to contact our Support Team.