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History of CFDs

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In the financial market, a CFD or contract for difference is basically a contract between the buyer and the seller. This contract stipulates that the seller will be paying the difference between the present value of an asset along with its value at the time of contract to the buyer. Here, it is to be noted that if the difference between the current value of the asset and the value of the asset at the time of contract is negative, the buyer needs to make the payment to the seller. To be very brief, CFDs are basically financial derivatives allowing traders to reap the best benefits of prices moving down or prices moving up on core financial tools.

CFDs are generally used for speculating on the short position and the long position markets. At present, CFDs are widely available in Austria, Australia, Cyprus, Canada, Germany, France, Israel, Hong Kong, Italy, Ireland, Japan, United Kingdom, Norway, The Netherlands, Poland, Russia, Sweden, Romania, Luxembourg, Singapore, New Zealand, Switzerland, South Africa, Spain, Turkey and Portugal. CFDs are not permissible in various other countries.

Brief History Associated with CFD Trading

CFD Trading is a new and highly advanced financial instrument. It was first conceived in the year 1990 and since then it has seen good growth. CFDs were first developed in London by Smith New Court- a derivative brokerage firm which was later bought by Merrill Lynch. This firm possessed a number of hedge fund customers who were in the look out of a method of short selling the market while making use of high leverage for placing larger bets. CFDs came as the best answer for such clients.

CFDs also gave the large hedge consumers the option capability of avoiding stamp duty quite similar to the London Stock Exchange members. Initially, CFDs were used for offsetting the risk of great loss from trading on sticks in London Stock Exchange. They were considered one of the most favorable financial instruments that did not require a very huge margin or exchange of physical shares.

The Technology Boom in the 1990s

The technology boom of the 1990s offered a very huge population of new and volatile stocks considered ideal for CFDs. Long term investments were made completely unwanted due to the rate at which the price changes were taking place in the tech stocks. This allowed the market traders to contemplate on the direction of the stocks by making the effective use of CFDs. GNI was the very first company that brought CFDs to the private investors.

The company did this with its creation of a highly advanced online trading system known as GNI Touch. The system allowed the small investment companies and the private investors to trade on London Stock exchange without getting direct access. At present, estimates offer clear evidence of the fact that 25% of the stock market turnover of Britain is associated to CFDs. CFDs have also started spanning different countries throughout the globe making their way to markets like Stock Exchange of Singapore and Toronto Stock Exchange.

CFDs are Highly Beneficial in Trading on Stocks in Large Amounts

CFDs serve as one of the most inexpensive methods of trading on stocks on large amounts without going through the hassle of purchasing and selling underlying stock. The CFD brokers have been successful in creating markets where investors can easily earn good amount of money on stocks that continuously rise and fall.

It is also important to note that CFDs have also eliminated the requirement of accessing live markets for speculating on the directions of different stocks. CMC Markets is one of the best financial derivatives dealers in UK offering online trading in CFDs across the world markets. It is a company that launched CFD services in the retail market in the year 2000 and at present it operates as one of the major CFD providers in the United Kingdom.

What CFDs can be Traded?

One of the most important features of CFDs is the potential of trading international indices and shares. This works even when the traders o not have direct access to the market. There are different varieties of CFDs available for the Australian, German and UK traders giving them the flexibility of indirectly trading shares of Apple, IBM and Google.

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Matthew McConaughey explains why he’s inspired by Marc Benioff’s ‘new capitalism’

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Salesforce (CRM) CEO Marc Benioff has burnished his reputation amid the COVID-19 pandemic as an outspoken advocate for a “new capitalism” that improves social welfare, and he has used his resources to develop contact-tracing technology and donate 1 million masks.

That commitment to “stakeholder capitalism” caught the attention of actor and investor Matthew McConaughey, who told Yahoo Finance that Benioff “inspired” him to embrace the notion that business ventures can both generate profit and promote the common good.

“I’m all for making money — I have good money. I’m all for fame — I’m happy to be famous,” says McConaughey, author of a new memoir called “Greenlights.” “But I’m inspired by looking at people like a [CEO] John Mackey with Whole Foods or Marc Benioff at Salesforce that go, ‘Hey, I have an idea that’s really good to do, even if it was for nonprofit, but let’s make profit off of it.”

McConaughey elaborated on the mentality embodied by Benioff: “I want to make money off this. I want to get rich off this. And how can we parlay that to being something like, ‘Oh, and it’s good for the most amount of people.”

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Government, religion, the economy and capitalism

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Mr. Selby, Mr. Bloom, and Pastor Biller have brought an interesting conversation on governing, religion and the economy to this page.

Governing. The U.S. Constitution establishes a representative Republican form of governing the USA and in each state. The power to democratically elect their representatives for governing resides in the people and the right of one person, one vote for all citizens, regardless of religious or spiritual affiliation, ethnic origin, orientation or gender. The Declaration of Independence plays no role in our governing design.

Religion. The First Amendment to the Constitution states: “Congress shall make no law respecting an establishment of religion, nor prohibiting the free expression thereof.” After the war over secession, there have been efforts to amend the Constitution to declare the USA a Christian nation. All of those efforts have failed, reinforcing the USA as a nation of religious and spiritual diversity.

The economy. Nothing in the Constitution specifies that the USA must have a certain type of economic system and certainly not that it must be capitalism, however defined. We have a wide range of choices available to us for our economy. At one extreme would be an economy where there is a totally free market system where all ownership of all property is held privately by individuals. There is no government, consequently there are no regulations and no taxes. Individuals and corporations are free to do whatever they wish as there are no constraints on their actions. It is essentially anarchy. At the other extreme is an economy where the national government owns everything and dictates all production and prices. This other extreme is equally odious as there is no individual freedom, only the government as the absolute dictator of activities.

In between these two extremes, however, we have a wide range of possibilities for our economy, politically and socially. Capitalism encompasses a fairly wide segment of that range. “Capital” can be property, plant, equipment, patents, trademarks, inventories, stocks, bonds and cash. Fundamentally, capitalism is a means of wealth accumulation for those who have sufficient capital to put it to work earning more capital. Those who have little or no free capital are employees in that wealth accumulation process.

There are, however, opportunities for imaginative entrepreneurs to break into the capitalist elite. Unfortunately, over the past 50 years in the USA, the wealth gap between the wealthiest 1% and the rest of us has risen dramatically.

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Where is Capitalism’s Superiority Now?

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HAVANA TIMES – I have been hearing capitalist propaganda’s clamoring about how this system is here forever, because it’s the best option out there. It supposedly offers the most opportunities and freedom, upholds democracy and defends human rights, while, socialism is a failure, and has no future.

However, it is becoming clearer and clearer for us to see how capitalism is marching towards a general crisis, which will inevitably lead to its demise.

From an economic standpoint, there is no way that a government can survive if the rich only get richer and the poor only get poorer. A government where thousands of workers end up unemployed every time there is a crisis. Also losing their homes because they can’t afford rent and ending up on the street like the homeless.

Others have to pay for health care, which is very expensive. If they get really sick, they end up losing everything or being stuck in debt for the rest of their life.

The same goes for education, because the only quality education systems in much of the world are private and expensive. Public universities in the US aren’t free, you have to pay, and students end up in debt for many years.

In terms of democracy, it’s just a big fat lie. A democracy is a people’s government for the people. However, in capitalism, a country is governed for capital, for the rich. The only thing ordinary people can do is vote in elections, for a candidate they often don’t know, and they have no idea what they will do once in office.

Leaders in capitalist countries fill their pockets, because pretty much all of them are corrupt. When elections favor more progressive candidates who are genuinely concerned about the general population, the Right refuses to recognize the results and turns to violence or a coup d’etat. Is this a democracy?

There are plenty of examples, but I’ll only mention the more renowned. For example, Evo Morales won the elections in Bolivia a year ago, in the first round, but was accused of fraud. This happened with the OAS getting involved, and the armed forces were incited to carry out a coup d’etat.

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