With a CFD, you don’t own the asset or instrument you're trading, but you can still benefit if the market moves in your favour, or make a loss should the market move against you.

When you open a CFD position, you agree to exchange the difference in an asset's price between open and close. If you think the market will rise, you go long. If you think it will fall, you go short. You never own the underlying asset.

CFDs are traded on margin, which means you only need to deposit a percentage of the full trade value to open a position. While this can increase potential returns, it also increases potential losses because your profit or loss is based on the full size of the position