CDF indices vs future indices ??

[goose4]

I attempted to do a search but with no avail🙁

Id really appreciate an explanation on the differences between the two? And the advantages and disadvantages between the them.Im quite puzzled.

Thanks for any input😱nline2lo

Edit...Title should be CFD,Im suffer from Dyslexia.

 

[dcraig1]

CFDs are contracts created by a broker and priced by a broker. The other side of a CFD trade is taken by a broker.

A futures contract is created by an exchange and priced by an auction market that is provided by the the exchange. The other side of a futures trade is taken by another trader of some type. The exchange never takes the other side of your trade. Neither does it profit from the spread.

One exception to the above is the ASX where CFDs are exchange traded.