Update: More Info on IronFX’s New CFD Multi-Asset Trader Platform

Yesterday, we reported about the launch of the Multi-Asset Trader, a new CFD trading platform from IronFX. The platform marks a new business unit as it targets higher net worth accounts as well as favoring stocks over CFDs. The focus on shares and CFDs of other assets by IronFX follows an existing trend in which many brokers have been launching new CFD offerings due to the product becoming a greater percentage of their volumes when forex volatilities declined in 2014.

Learning more about the Multi-Asset platform, Forex Magnates connected with IronFX, whose company representive provided several answers to questions about the product.

Why offer CFDs on a separate platform than MT4?

Where MT4 was primarily developed as a forex Trading Platform Trading Platform In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real Read this Term, our new Multi-Asset trader provides access to the widest range of instruments other than forex.

How does this offering compare with the existing CFDs being offered on MT4? And are their plans to add more CFD products on MT4 now?

Whilst we already offer the most popular CFD products, the IronFX Multi-Asset Trader can provide our traders with access to new markets and to more than 3,000 CFD instruments, through a dedicated trading platform connected to a Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term provider.

Why the large minimum deposit size of $10,000?

Historically, traders of CFDs are more experienced and more high net-worth traders who seek to trade on platforms exclusively designed for this purpose, other than the MT4 platform, which is not very popular for CFD trading.

What percentage of volumes are currently from CFDs?

Around 5% of volumes are currently on CFD products, and with the launch of the IronFX Multi-Asset trader, we aim to diversify our volumes further.

IronFX withheld from answering who the liquidity provider is. But, it is believed to be GAIN Capital, which may also be providing technology along with liquidity to IronFX. If true, it would mark an extension of GAIN Capital's CFD liquidity business which was also tapped by Spotware Systems to provide straight-through processing of CFDs on their cTrader platform. GAIN's CFD liquidity was boosted by their 2013 acquisition of GFT, with that broker's Sales Trader institutional liquidity division becoming one of the fastest growing segments of business for GAIN Capital in 2014.