What are DMA CFDs?

December 5, 2022

DMA CFDs, or Direct Market Access Contracts for Difference, are a type of financial derivative that allow traders to speculate on the price movements of various assets, such as stocks, commodities, or currencies, without actually owning the underlying asset. A CFD is a contract between two parties, the buyer and the seller, who agree to exchange the difference in the value of the underlying asset at the time the contract is entered into and the time it expires. DMA CFDs differ from other types of CFDs in that they provide the trader with direct access to the underlying market, allowing them to see the actual prices of the assets and to place orders directly on the market. This can provide advantages such as potentially better execution prices, and greater transparency.

“There is no better teacher than history in determining the future… There are answers worth billions of dollars in a $30 history book.” – Charlie Munger

This website is owned and operated by Investor Unity Pty Ltd (ABN: 90 160 624 331). Any advice included in this website or correspondence is general advice only and is based solely on consideration of the investment or trading merits of the financial products alone, without taking into account the investment objectives, financial situation or particular needs (i.e. financial circumstances) of any particular person. In addition to its internal services, Investor Unity is compensated by brokers and other third parties by way of referral/affiliate and/or general partnership arrangements, via its websites and other communications. Investor Unity is genuinely interested in your long-term trading & investment success. We advise you to take all necessary steps to ensure you have a good understanding of the products & services you’re considering investing in – particularly if they involve leverage. While Investor Unity takes every care to ensure that we only deal with the highest quality services, from throughout the industry, past performance is not a guarantee of future performance. Before making an investment or trading decision based on the general advice, the recipient should carefully consider the appropriateness of the advice in light their financial circumstances and should carefully review the PDS of the relevant financial product as provided by your investment broker. Past results are not a guarantee of future performance. Please contact us, to discuss any questions or concerns you may have- we are here to help.