Available Trading Assets in LiteFinance

As a long-standing brokerage in financial markets, LiteFinance offers a wide range of trading instruments in the form of CFDs (Contracts for Difference). Accessing global markets through a single platform allows traders to diversify their investment portfolios and manage trading risks effectively. In this report, we examine the complete list of tradable assets, spread conditions, commissions, and the suitability of each symbol for various strategies.

What is a Trading Asset?

In financial markets, a trading asset refers to any type of financial instrument or valuable commodity that can be bought and sold, with its price determined by supply and demand. In brokers like LiteFinance, these assets are primarily provided as CFDs. This means you do not become the physical owner of the asset (like a barrel of oil or a gold bar); instead, you trade solely on its price fluctuations and profit from the difference between the buying and selling prices.

Types of Trading Assets Available in LiteFinance

The diversity of assets in this brokerage includes currency markets, stocks, indices, and commodities. Below are the technical features of each category:

1. Forex Symbols – Currency Pairs

The Foreign Exchange market is the highest-volume trading sector in LiteFinance. These assets are divided into three main categories:

• Majors: Includes powerful currencies like EUR/USD and GBP/USD, which feature the lowest spreads and highest liquidity.

• Minors: Combinations of major currencies without the US Dollar, such as EUR/GBP.

• Exotics: A combination of a major currency with the currency of a developing economy (e.g., USD/TRY). These symbols have extreme volatility and higher spreads.

2. Stocks

Stock trading in LiteFinance involves buying and selling CFDs of major companies listed on US (NYSE and NASDAQ) and European exchanges. Traders can open positions on tech giants like Apple, Google, and Tesla. A key advantage here is the ability to profit from falling prices (Short positions), which is not possible in traditional stock buying. Additionally, if your buy position is open during a dividend payout, the Dividend (minus taxes) will be credited to your account.

3. Indices in Forex

Stock indices represent the average performance of a country’s economy or a specific sector of the market. LiteFinance provides access to major global indices:

• S&P 500: The top 500 US companies and the most credible benchmark for the US economy.

• NASDAQ 100: Composed of 100 large non-financial companies (mostly tech); this index has high volatility and is a favorite for scalpers.

• Dow Jones: The industrial average of 30 large, long-standing US companies.

• DAX 40: The benchmark index for the Frankfurt Stock Exchange in Germany (the heart of the European economy).

• Nikkei 225: The primary index for the Tokyo Stock Exchange (the main representative of the Asian market).

4. Precious Metals

Precious metals are always recognized as safe havens for capital. In LiteFinance, Gold (XAU/USD) and Silver (XAG/USD) are the most popular assets in this category. Industrial metals like Platinum and Palladium are also tradable. These assets usually have an inverse correlation with the US Dollar.

5. Commodities

• Energy: This sector includes Brent Crude Oil (UKBrent), WTI Oil (USCrude), and Natural Gas (NG). Prices are heavily influenced by geopolitical news and OPEC decisions.

• Agricultural Products: LiteFinance enables trading on Coffee, Cocoa, Wheat, Corn, and Soybeans. Their fluctuations depend more on weather conditions and seasonal harvest cycles.

6. Cryptocurrencies

LiteFinance provides access to the crypto market (such as Bitcoin and Ethereum), offering high volatility and 24/7 trading availability, which is highly attractive for risk-tolerant traders.

The Impact of Capital on Asset Selection

Your account balance directly determines which assets are suitable for you to trade:

• Capital under $500: Focus should remain on Major Currency Pairs. These symbols have more predictable movements and lower margin requirements. Trading Gold or Indices with this capital significantly increases the risk of a Margin Call.

• Capital over $1,000: Trading Gold and Oil with micro-lots (0.01) becomes feasible.

• Capital over $5,000: Suitable for trading Indices and Stocks, which require more free margin to withstand volatility.

Differences in Spreads Across Asset Types

The spread is the primary cost for a trader. The following table shows an approximate comparison of spread statuses in LiteFinance ECN accounts:

Asset Commissions in LiteFinance

In LiteFinance ECN accounts, a fixed commission is charged per lot traded in addition to the spread.

• Currency Pairs and Metals: Usually subject to commission (e.g., $10 to $20 per lot, depending on the account type).

• Indices and Oil: In certain accounts, these are calculated with zero commission and only include the spread.

• Stocks: May carry a separate fee based on the transaction volume.

Important Note: In Classic accounts, the commission is zero, but the spreads are wider. Professional traders generally prefer ECN accounts with low spreads and a set commission.

Which Asset Type is Right for You?

Choosing the wrong asset is a primary cause of loss for beginner traders. Refer to the guide below:

• Beginners and Cautious Traders: Focus exclusively on Major Currency Pairs.

• Action-Oriented and Risk-Tolerant Traders: Gold and Oil (due to heavy volatility).

• Fundamental and Patient Traders: Stocks and Stock Indices.

• Pure Technical Analysts: All markets, but with a focus on assets with high technical reliability, such as EUR/USD and Bitcoin.

Conclusion

By offering a comprehensive portfolio of currency pairs, metals, stocks, and indices, LiteFinance covers the needs of most traders. The key to preserving your capital is choosing trading assets that align with your trading session, capital level, and personal strategy. For starters, focusing on one or two assets (e.g., Gold and one major currency pair) will help you better understand price behavior and prevent mental fatigue.