To make easy for customer to obtain the
latest quotes anytime and cater for this ever-changing market, the company
offers a multi-functional smartphone trading app, which provides customers not
only with real-time quotes, trend charts and account management. Customers can shorten the
trading time by simply using the app’s ‘one-click deal’ function to confirm
their transactions after getting the real-time options quotes.
(HKBR No. 52837295)
SPOT – BASIC CONCEPTS
Spot
gold is a spot transaction, referring to the delivery of the transaction after
the transaction or delivery within a few days. Spot gold is an international
investment products, the leverage ratio in the form of contractual trading.
"Buy
Low and Sell High" means purchasing gold or silver that are undervalued and selling gold or silver that are
overvalued; just as stock trader purchases stock that is undervalued and sells
stock that is overvalued. For example, customer can buy gold if its price will
rise and to sell gold if its price will fall.
A
big benefit to bullion trading is that the customer can buy or sell gold or
silver at any time subject to available liquidity. Bullion's value fluctuates
as its supply and demand fluctuates.
GO LONG OR SHORT
Unlike
the equity market, there are no limitations on short selling in the bullion
market, no matter which way the market is moving. If the customer believes that
gold or silver price will go up, he or she can buy it. If the customer believes
that gold or silver price will fall, he or she can sell it. This means there is
no such thing as a bear market in bullion, and the customer can make (or lose)
money any time.
LEVERAGE AND MARGIN
At HPI, leverage of 20:1 allows customers to trade with
$1,000 in the market by setting aside only $50 as a security deposit. All
trades are executed using borrowed money. This allows customers to take
advantage of leverage. This means that a customer can take advantage of even
the smallest movements in currencies by controlling more money in the market
than the customer has in the account. On the other hand, leverage can
significantly increase losses. Trading bullion with any level of leverage may
not be suitable for all investors.
The specific amount that the customer is required to put
aside to hold a position is referred to as margin requirement. Margin can be
thought of as a good faith deposit required to maintain open positions. This is
not a fee or a transaction cost, it is simply a portion of the account equity
set aside and allocated as a margin deposit. In case the price movement of
the underlying asset goes against expectation, customer may be required to pay
up additional deposit.
