Why spread bet?
Spread betting is an exciting, fast-moving and flexible way to trade on the movement of a multitude of financial instruments without using a broker, thus removing the need to pay expensive commissions or fees. We make a spread around the live, underlying market price and you can bet on whether this market will rise or fall without ever holding the physical stock.
Advantages to spread betting:NO Capital Gains Tax or stamp duty fees* – Any profits you make spread betting are free and unable to be taxed. The lack of share certificates or registration also makes administration simple and efficient.
Trade in Falling as well as Rising Markets – Spread betting allows you to short the market (sell a share that you do not own), thus enabling you to make a profit in a falling market.
Low Cost of Entry – As you do not own the share you do not need to pay the full costs of buying the physical stock when trading. Instead, you merely pay a percentage of the full deal size thus helping your money go further.
Ability to Offset Risk in an Existing Portfolio – If you have spent time and money building up an investment portfolio, you can augment these holdings with Spread betting to take advantage of short term volatility and also as a hedge to protect against any market downturns
*Tax treatment depends on the individual circumstances of each client and may be subject to change in the future.
