Spreadbetting

Financial spread betting has many benefits for trading stocks, indices, forex and commodities. Dealing costs are non existent because the spreadbetting bookmaker will allow free dealing as they take their commissions from their quoted spread.

In the UK and many other countries all profits from spreadbetting are tax free. This is a big advantage for traders who may have already hit their maximum amount of profit before capital gains tax is applied.

Online spreadbetting of financial markets is done in a very similar way to a standard broker, and the online trading platforms are second to none. Each stock or index will quote you a buy or sell price, you simply buy or sell the price with an amount per point. For example you could sell the Dow Jones Index at £10 per point at 10550. If the Dow Jones traded down to 10500 you would buy the Index to close the spreadbet. Your profit would be 50 points x £10 = £500.

Spreadbetting carries the same amount of risk as any other trading method. So it always wise to try out a fully functional demo account from a company first. Capital Spreads offer a totally free no obligation spread betting demo account with imaginary account margin so you can try out your methods in complete safety before opening a full account. See the link in the menu bar or go here:

»Spread Betting Demo

Financial Spread Betting was developed in the UK and is NOT available in all countries. For example, it is NOT available to USA residents. Some countries offer spread betting and other countries allow residents to have an account with a UK spread betting company and conduct business on-line. To our knowledge it is available to most European residents as well as residents in Australia and many other countries. Please check your local laws and tax regulations