Presentation on theme: "ANGLORAND Contracts for Difference Platform (CFD’s) ART Investor"— Presentation transcript:
1ANGLORAND Contracts for Difference Platform (CFD’s) ART Investor FINANCIAL SERVICES GROUPContracts for Difference Platform (CFD’s)ART Investor
2ANGLORAND FINANCIAL SERVICES GROUP Derivatives TradingTrading of derivative instruments within the Anglorand group is facilitated through two wholly owned subsidiaries of Anglorand Securities Ltd, these being Anglorand Futop (Pty) Ltd and Anglorand Asset Managers (Pty) Ltd.
3Anglorand Futop (Pty) Ltd ANGLORAND FINANCIAL SERVICES GROUPAnglorand Futop (Pty) LtdAnglorand Futop is a registered member of the South African Futures Exchange (SAFEX) and offers clients the ability to trade futures and options contracts on a wide variety of underlying assets, including individual JSE listed stocks, exchange traded funds, financial indices, currencies and agricultural commodities.Futures are contracts that are legally binding agreements, made via an electronic screen dealing system, to buy or sell the underlying asset at a specific time in the future at a specific price determined today.A futures contract can either require physical delivery of the underlying asset or be cash settled. A cash-settled contract requires a cash amount to be paid on the contract expiration day which reflects the difference between the initial futures price and the price of the underlying asset at settlement. Deliverable contracts, on the other hand, require the buyer to take delivery of the physical asset and the seller to deliver. In most cases, actual delivery seldom takes place as the contracts are closed out prior to the expiration date. A trader who has bought a futures contract can close out by selling the same number and type of futures contract he bought and vice versa.
4Anglorand Futop (Pty) Ltd ANGLORAND FINANCIAL SERVICES GROUPAnglorand Futop (Pty) LtdIn order to open a futures position one is only required to deposit a percentage of the underlying asset value as a form of collateral. This collateral, or “good faith deposit”, is known as “margin”. This gearing factor is one of several reasons why such transactions are popular with the active participants in the market. On Single Stock Futures (SSF’s) for example one could obtain an exposure to the market that is ten times higher than the cash required for margin on many of the more liquid large cap stocks listed on the JSE.Futures can be utilised by an investor to hedge his portfolio against adverse movements in the underlying markets. They can also be used by investors with higher risk appetites wishing to take advantage of high levels of gearing with a view to gaining large returns on relatively small price movements, either up or down.
5Anglorand Asset Managers (Pty) Ltd ANGLORAND FINANCIAL SERVICES GROUPAnglorand Asset Managers (Pty) LtdAnglorand Asset Managers is registered with the Financial Services Board (FSB) as a Financial Services Provider and offers clients the ability to trade Contracts for Difference (CFD’s) on many of the stocks listed on the JSE.CFD’s can be used in much the same way as futures to hedge a portfolio against adverse price movements or as shorter term investments for that portion of an investor’s portfolio that can accommodate a higher degree of risk to take advantage of similar levels of gearing to those in the futures markets.Unlike Single Stock Futures, CFD’s do not have expiry dates as the contract is for the difference in the share price whenever the client’s position is closed not for delivery of the shares at a specific future date. In this way the costs associated with rolling an expiring position forward to the next expiry date are avoided.CFD’s can be traded online by clients on Anglorand Asset Managers’ own online trading system “ART”.When a client trades CFD’s with Anglorand Asset Managers he is trading directly with Anglorand as his counterparty in an unregulated trading environment, whereas Single Stock Futures are traded via SAFEX on a strictly regulated exchange basis involving a clearing member structure to mitigate any counterparty risk.
6ANGLORAND FINANCIAL SERVICES GROUP Risks of GearingTrading derivatives exposes an investor to the possibility of far higher returns on investment than could otherwise be obtained from a conventional equities trade but by the same token an investor could incur much greater losses and trading in geared instruments should only be undertaken by investors with a full understanding of the risks involved.
7Real Time Internet Trading Mobile Trading Real Time News Research ANGLORAND FINANCIAL SERVICES GROUPART Login requires username password and PIN and uses 128 bit inscription to create a secure connection.Anglorand’s proprietary trading platform, enables clients to trade most of the liquid assets quoted on exchanges around the globe.Artrader offers:Real Time Internet TradingMobile TradingReal Time NewsResearchTechnical AnalysisPortfolio Management
8ANGLORAND FINANCIAL SERVICES GROUP The ART trading window is a fast, efficient and user-friendly platform for effective on-line trading.
9Full, real time reports available online. ANGLORAND FINANCIAL SERVICES GROUPFull, real time reports available online.
10Direct access to ART’s technical analysis tools. ANGLORAND FINANCIAL SERVICES GROUPDirect access to ART’s technical analysis tools.
11ANGLORAND FINANCIAL SERVICES GROUP Direct access to Anglorand’s secure research page from the ART platform.
12ANGLORAND FINANCIAL SERVICES GROUP Direct access to Reuters headlines and news stories from the ART platform.
13CONTACT DETAILS HEAD OFFICE – GAUTENG BRANCH – CAPE TOWN ANGLORAND FINANCIAL SERVICES GROUPCONTACT DETAILSNational Phone Number:WebsitesHEAD OFFICE – GAUTENG1st Floor, Broll PlaceSunnyside Office Park32 Princess of Wales TerraceParktown2193Telephone: (011)Fax: (011)BRANCH – CAPE TOWNUnit 1-4Beuno Vista Office ParkKendal RoadDurbanville7550Telephone: (021)Fax: (021)