The Contract for Difference of shares and stocks (CFD) provides a sort of leeway for traders and investors to trade and profit basically on the price movement while not owning the underlining shares and stocks. It’s a kind of financial arrangement under which you can trade without exchanging ownership of the trading assets.
The transaction between a buyer and a seller on the CFD is based not actually on the stocks but the movements of the share price. In effect, an upward movement of the price of share during the course of a CFD trading compel the seller to pay the buyer the difference in price, and vice versa when the price of the share goes down.
While there is a momentary change in the value of the share during the trade, the share itself does not change its ownership.