Owning vs speculating

Some brokers let you buy the underlying share (you own it), while others offer CFDs (you speculate on price without ownership). The two have different rights, costs, and risks.

Ownership may include voting rights and dividends; CFDs are typically leveraged and may not pay dividends directly.

Fee structures

Stock brokers may charge commissions per trade, custody fees, or spread on CFDs. Compare based on how often you trade and whether you hold long term.

Leveraged stock CFDs carry margin and risk similar to other leveraged products.

  • Underlying shares: commissions, custody
  • CFDs: spread/commission, leverage
  • Different rights and risks

What to check

Confirm the instrument type, available exchanges, and whether dividends are handled. Verify the broker's regulation for the market you want.

Our comparison tool can place stock and multi-asset brokers side by side once data is verified.

A 'stocks' label can mean very different things (real shares vs CFDs). Confirm which you are getting.

Frequently asked questions

Are stock CFDs the same as buying shares?
No. CFDs are derivative bets on price, often leveraged, without ownership. Real shares give ownership and associated rights.
Which is cheaper?
It depends on trade size and horizon. Frequent small trades may favour low commissions; long-term holding favours low custody costs.