In plain English
What Cash CFD means
“Cash” describes the reference pricing, not physical delivery or cash payment of the underlying asset. A Cash CFD is often open-ended unless the client closes it or the provider closes it under its terms. Because the exposure is rolled from one day to the next, providers commonly apply overnight financing or an equivalent daily adjustment. The underlying reference and charge calculation must be checked in the product specification.
Why it matters
Cash CFDs and Futures CFDs can quote different prices for the same market. A cash quote tends to track the current market level more closely, while a futures quote reflects a contract’s future settlement date and related market pricing. The distinction affects holding costs, expiry management, chart comparisons and how a position performs over time.
Example
A cash-index CFD is quoted at 4,800 and has a value of $2 per point. A client sells five contracts. If the quote later falls to 4,770, the 30-point movement produces a simplified gain of 5 × $2 × 30 = $300. Any overnight financing debit or credit is separate from that price result.
Quick answers
Common questions
Does a Cash CFD expire?+
It commonly has no fixed futures-style expiry, but it is subject to the provider’s terms and may be closed because of margin close-out, market events or product changes. It can also have daily financing adjustments.
Why is a Cash CFD price different from a Futures CFD price?+
They reference different market prices. A futures price reflects a later settlement date and can incorporate interest-rate, dividend, storage, supply-demand or other carrying-cost expectations, depending on the underlying.
Sources