Risk Warning: CFDs and spread bets are complex instruments and come with a high risk of losing money rapidly due to leverage.
Approximately 80% of retail client accounts lose money when trading in CFDs and spread bets.
You should consider whether you understand how CFDs and spread bets work and whether you can afford to take the high risk of losing your money.

What are the main risks of trading CFDs?

Lunaro Trading Team
14/02/2026

CFDs expose you to market risk, leverage risk, counterparty risk, volatility and gapping, margin call risk, and liquidity risk. Because CFDs are leveraged products, losses can exceed your initial deposit.

What is a pip in CFD trading?

Lunaro Trading Team
14/02/2026

A pip is the tradable point in CFD trading. This means your position size correlates to the pip value you change, e.g., one standard lot of FTSE equals £10 per pip movement. If the market moves 5 pips, this is a profit or loss of £50.

What are spreads in CFD trading?

Lunaro Trading Team
14/02/2026

The spread is the difference between the buy and sell price. It’s a built-in cost you pay when opening a CFD trade.

Do you provide margin-free hedging options?

Lunaro Trading Team
14/02/2026

This is dependent on the classification of your account. Retail traders in accordance with regulation cannot have margin offsets.

What does “underlying asset” refer to in CFDs?

Lunaro Trading Team
14/02/2026

The underlying asset refers to the product you are trading, such as Brent crude oil or physical gold.

Which assets are available for trading as CFDs?

Lunaro Trading Team
14/02/2026

With a CFD you can trade the following asset classes: FX, Indices, Commodities, Equities, treasuries and cryptocurrencies. Please note Crypto is not available to retail clients.

What does short selling mean in CFD trading?

Lunaro Trading Team
14/02/2026

Speculating for the price to fall on a given market.

How can I use CFDs to diversify my portfolio?

Lunaro Trading Team
14/02/2026

CFDs can be used to trade multiple asset classes such as FX, commodities, treasuries, shares, and indices. They also allow leverage and short positions for hedging and diversification purposes.

Is CFD trading legal in my region?

Lunaro Trading Team
14/02/2026

We are a UK-domiciled financial institution and have clients worldwide. However, due to certain legal and regulatory restrictions, some residents may not be permitted to open an account. Please contact support for details.

Is trading CFDs considered safe?

Lunaro Trading Team
14/02/2026

CFDs are complex and high-risk products due to their speculative nature and leverage.