Choose from the world’s most active indices which feature interesting and exciting stocks. Indices are a popular instrument because they are generally considered to average out volatility because they quote the price of multiple stocks.
Over a dozen different Indices to trade.
The most obvious benefit is diversity and most financial advisors recommend this as a risk management strategy. Volatility is averaged out amongst the various companies, whereas if you are invested in just one, your entire investment is exposed to the volatility of just one company’s stock.
Another benefit, especially if you are investing in indices in different locations, is the ability to trade around the clock. This can be very helpful if you trade during certain hours, and another benefit is if something happens in one-time zone, it has the potential to effect the next market opening.
Another reason is stock markets are usually positively correlated to the health of an economy. If a country’s economy is up, so is its stock market – there are instruments though that move inversely to the health of an economy.
Safe haven currencies and precious metals usually move against the health of an economy, as investors flock to them to keep their assets safe during market volatility.