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Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Germany 40

(.GDAXI)

Home to major stocks such as BMW, Deutsche Bank and Siemens, the DAX is one of the most popular indices in the world. Discover how the index is calculated and find out how you can get exposure via trading or investing in the Germany 40.

Germany 40 chart This market's chart. This is a visual representation of the price action in the market, over a certain period of time. You can use this to help gauge a market’s performance.

  • Costs and details
  • About
  • Related markets
  • Constituents
  • CFD
  • Spreadbetting

Minimum size 0.20

Contract size EUR 25

One Pip means 1 Index Point

Value of one Pip EUR 25 (GBP 20.85)

Margin 5%

Minimum stop distance 5

Minimum guaranteed stop distance 10

Your aggregate position in this market will be margined in the following tiers:

Tier Position size Margin
1 0 - 14 Contracts - EUR 5%
2 14 - 70 Contracts - EUR 5%
3 70 - 112 Contracts - EUR 5%
4 112 + Contracts - EUR 6%

If your aggregate position is larger than Tier 1, your margin requirement will not be reduced by non-guaranteed stops.

Please note: we have tried to ensure that the information here is as accurate as possible, but it is intended for guidance only and any errors will not be binding on us.

When can I trade the Germany 40?

You can trade the Germany 40 with us from 11.02pm on Sunday to 10pm on Friday (UK time). We also offer a Weekend Germany 40 market, which is available from 8am on Saturday to 10.40pm on Sunday (UK time). Positions open at 10.40pm on a Sunday will roll over into weekday positions when the market resumes at 11.02pm on Sunday (UK time).

How to trade or invest in the DAX

You can trade the DAX through the Germany 40, which is an IG market that tracks the movements of this index. To do this, you’ll trade using derivatives, namely CFDs or spread bets. With CFDs and spread bets, you will speculate on the price of the DAX rather than own DAX companies’ shares. Alternatively, you can invest in the shares of companies listed on the DAX and own the shares outright for as little as £5 commission.1

Derivatives are popular because they enable you to trade on both rising and falling index prices, as you don’t take ownership of any of the underlying stocks. You’ll ‘buy’ if you think the price of the index will rise and ‘sell’ if you think it will fall.

One of the other aspects of derivatives trading is that it is leveraged, which means you only need a small deposit – called margin – to get exposure to the full value of the trade. While this will magnify your profits, it’s important to note that it will do the same for your losses, as your loss (or profit) is calculated on the full value of the position, so profits or losses can easily outweigh the initial margin amount you paid.

Trading the DAX

Follow these steps to trade DAX price movements:

  1. Create an IG trading account or log in to your existing account
  2. Open the platform and enter ‘Germany 40’ in the search panel
  3. Choose your position size
  4. Select ‘buy’ or ‘sell’ in the deal ticket and confirm the trade

Investing in the DAX

To buy shares listed on the DAX, follow these steps:

  1. Create an IG share dealing account or log in to your existing account
  2. Open the platform and search for the shares you want to buy in the left panel
  3. Choose the price you want to deal at
  4. Buy the shares

Other positions taken by clients trading this market

Use this to see how IG client accounts with positions on this market are trading other markets. Data is calculated to the nearest 1%, and updated automatically every 15 minutes.

This is calculated to the nearest 1%.

  • DAILY
  • WEEKLY
  • MONTHLY

Top Germany 40 risers Shows the constituent stocks that have risen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

Top Germany 40 fallers Shows the constituent stocks that have fallen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

% Change
-2.42%
-1.89%
-1.76%
-1.63%

Top Germany 40 risers Shows the constituent stocks that have risen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

Top Germany 40 fallers Shows the constituent stocks that have fallen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

Top Germany 40 risers Shows the constituent stocks that have risen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

Top Germany 40 fallers Shows the constituent stocks that have fallen in price the most over the last 24 hours, based on the percentage change since the last close of trading. This list automatically updates in real time.

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FAQs

What does DAX mean?

DAX is short for Deutscher Aktien Index, one of the most popular indices in Europe. This index measures the performance of the Frankfurt Stock Exchange’s 30 largest and most liquid companies. These companies are weighted by market cap.

How is the DAX calculated?

The DAX is a capitalisation-weighted index, meaning that companies with a higher market cap will have a bigger influence on its price. It’s calculated using a free-float methodology, which means it only takes the number of readily available shares into account – ignoring those that can’t be bought and sold (such as those held by government). To avoid domination, a single stock cannot represent more than 10% of the index.

Prices are calculated every second, and companies are added or removed quarterly on the basis of their market cap and the size of their order book.

What makes a DAX company?

In order to be a DAX company, an organisation must have been listed on the FSE for at least three years and have shares worth at least 15% of its market cap available for public trading. It must also be part of the ‘prime standard’ sector of the FSE and sufficiently represent the German economy.

If one of the constituents’ share price drops significantly, negatively affecting the company’s market capitalisation, it could drop off the index. If share prices go up, a new company could make it onto the DAX, causing another company to lose its place.

What are DAX futures?

DAX futures are contracts that require you to trade the index at a specific price on a specific date. For example, let’s say the Germany 40 is currently trading at 13,115 and you decide to buy a futures contract that will give you a price of 13,200 in a month’s time.

After a month has passed, the index is trading at 13,335 and you settle your contract by buying it at the agreed price of 13,200. Because the closing price after a month was higher than your agreed buy price, you will pocket the difference as profit. If the closing price had fallen below the futures contract price, you would have made a loss.

How is the DAX weighted?

The DAX is capitalisation weighted, which means that the stocks with a higher market capitalisation will find a greater influence on the overall index. Representation on the Germany 40 is capped at 10% to prevent any single stock from dominating the index.

What is the DAX?

The DAX is a capitalisation weighted index made up of 30 of the biggest, most liquid constituents of the Frankfurt Stock Exchange (FSE). The companies that make up the index represent about 75% of the total market cap of the FSE.

DAX: a brief history

The DAX was launched by the Frankfurt Stock Exchange in July 1988, with a base value of 1000. The index was created as a continuation of the Börsen-Zeitung, an index started in 1959. One of its first big milestones was the 60% increase in the run-up to the destruction of the Berlin Wall in 1989. But, with tensions rising, the price began to fall again – losing 13% in seven weeks.

Despite the happenings in Germany, the index posted strong growth in its first few years, surpassing 2000 points in 1993, and 5000 in 1998. By early 2000, it showed a 27% increase in just ten weeks – mostly attributed to the high demand for tech stocks. This was the first time the Germany 40 passed the 7500 mark.

The dot-com crash had an adverse effect on the index, pushing the price to below 2500 by 2003. After the market settled, it managed to get back above the 7500 level once more, before the 2008 economic meltdown caused it to lose more than half its value. However, the Germany 40 proved to be resilient and made a comeback once again, breaking the 12,000 level in 2015.

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1 Tax laws are subject to change and depend on individual circumstances. Tax law may differ in a jurisdiction other than the UK.