Hi Investment & Securities Opens US Stock CFD Service
Hi Investment & Securities announced on the 27th that it has launched a US stock CFD service to expand the scope of its Contract for Difference (CFD) services.
Hi Investment & Securities provides CFD services for the constituent stocks and Exchange-Traded Funds (ETFs) of the S&P 500, Nasdaq 100, and Dow 30 during regular US stock market hours. Following the launch of CFD services for domestic stocks in September, the company has expanded the available assets for CFD trading to include US stocks.
CFD is an over-the-counter derivative product that allows investors to settle only the price difference without actually owning the underlying stocks, and it is available exclusively to professional investors. Through CFD trading, investors can engage in leveraged investments based on margin requirements calculated for each stock, and they can also invest without leverage by using accounts with 100% margin. When stock prices decline, investors can generate profits and hedge by establishing short positions. CFDs have no fixed maturity, allowing flexible holding periods. Notably, capital gains from trading US stocks via CFDs are subject only to an 11% derivative capital gains tax, making it a useful tax-saving tool.
Professional investors are those with expertise in financial products such as listed companies' securities and can register through Hi Investment & Securities branches. Individual professional investors can trade CFDs only if they meet trading requirements, such as maintaining an average monthly balance of 300 million KRW or more in equity securities, derivatives, or complex derivative-linked securities for the past five years.
Hot Picks Today
"You Might Regret Not Buying Now"... Overseas Retail Investors Stirred by News of Record-Breaking Monster Stocks' IPOs
- "Not Jealous of Winning the Lottery"... Entire Village Stunned as 200 Million Won Jackpot of Wild Ginseng Cluster Discovered at Jirisan
- Mistaken for the Flu, Left Untreated... Death Toll Surges as WHO Declares Emergency (Comprehensive)
- Pompidou Center Hanwha Unveils Picasso Works, Opens to Public on June 4
- "How Did an Employee Who Loved Samsung End Up Like This?"... Past Video of Samsung Electronics Union Chairman Resurfaces
A representative from Hi Investment & Securities stated, "To enhance investors' accessibility to the US market, we have expanded the scope of CFD trading to US stocks and plan to gradually increase the available stocks and trading hours. Utilizing 100% margin accounts involves no additional financial costs and offers tax benefits, making it an attractive investment tool."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
