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Difference between CFDs and ETFs

From aaatrade.com

Some of the most commonly traded assets in the world of finance are ETFs and CFDs. An ETF (exchange-traded fund), is an investment fund that is traded on the stock market. On the other hand, a CFD (contract for difference), is a tradable contract between a buyer and a seller, who are exchanging the difference in the starting price of the trade and its value at a specific future time. Out of these two commonly traded assets, ETFs have been introduced to the world of finance earlier than CFDs have. The first-ever ETF was placed in the market in 1993, whereas CFDs entered the market during the late 1990s. ETFs are ... (full story)

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