FXCM announced a wider launch of its Stock Basket offering to its customers this Tuesday. The company has offered six stock baskets to its retail clients.
The basket products are now available for trading by its users via its entities based in Australia and South Africa.
Already, FXCM offers foreign exchange as well as cryptocurrency baskets. But the firms stock basket products combine the shares of multiple companies from one sector into a single tradeable instrument.
Particularly, the international provider of online FX and contracts for difference trading offers six stock baskets to its retail clients. These include Big US Tech (FAANG), Esports & Gaming (“ESPORTS”), Biotech, Cannabis, China Tech (CHN.TECH), and China E-commerce (CHN.ECOMM).
The FAANG basket comprises Facebook Inc., Amazon.com Inc, Apple Inc, Netflix Inc, and Alphabet Inc. Class C (Google). By having a stock basket, traders are able to speculate on sectors. As a whole, instead of just a single company.
Brendan Callan CEO of FXCM said the stock baskets are another step in their continued journey into stock CFD trading. Baskets provide customers an easy one-stop opportunity to speculate over sectors and subsequently trade stocks related to that particular industry.
Trading stocks can often be quite a daunting experience when first entering the market. However, baskets can provide an excellent opportunity for traders to spread their investment across a number of different companies. They can hedge their risk and benefit from potential trading opportunities.
FXCM to Offer More Stock Baskets this Year
Today’s announcement comes less than a month after FXCM launched its commission-free Share CFD offering. This is enabling retail clients to trade CFDs on individual company shares like Tesla, Apple, Facebook, and others.
According to the statement published today, the FX and CFD broker plans to launch trading on more individual companies. It plans to offer more stock baskets later in the year.