Spread Betting Review

TOP SPREAD BETTING BROKERSBy % Loss Comparison 2018

Compare The UK's Top Spread Betting Brokers According to Percentage Loss & Start Trading Today!

All spread betting brokers are now required by regulation to disclose the percentage of retail clients who have lost money with them. While these figures underline that spread betting is a high-risk activity, it may also be instructive to compare brokers and see who has the lowest proportion of losing clients.

 

BrokerSpreads FromMax. LeverageMin. Deposit% LossHighlightsStart Trading
InterTrader Spread Betting on Cryptocurrency0.6 ptRetail 30:1
Professional 200:1
£10064-72%
  • 100% market neutral, No Dealing Desk
  • Assistance in setting up or switching your account
  • Tight dealing spreads
  • Funds are protected in full by InterTrader’s parental guarantee

Spread Betting & CFDs carry risk. 64-72% of retail traders lose with this provider.
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City Index Spread Betting on Cryptocurrency1 pt20:2£10072%
  • Award-winning platform
  • Funds are held in segregated accounts
  • Low spreads
  • Risk management tools

Spread Betting & CFDs carry risk. 72% of traders lose with this provider.
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Core Spreads Demo Account0.7 pt (Forex)175:1£175%
  • Minimal charges
  • Range of live markets
  • Tight dealing spreads

Spread Betting & CFDs carry risk. 75% of traders lose with this provider.
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ETX Capital Spread Betting on Cryptocurrency0.6 ptRetail 30:1
Professional 200:1
£10079.6%
  • Funds are held in segregated accounts
  • Professional Clients Service
  • A wide range of financial instruments (5000+)
  • Award-winning trading platforms

Spread Betting & CFDs carry risk. 79.6% of traders lose with this provider.
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CMC Markets0.3 pt500:1£078%
  • The new ‘Next Generation Platform’

Spread Betting & CFDs carry risk. 78% of traders lose with this provider.
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AvaTrade Spread Betting on Cryptocurrency0.9 pt400:1£100Not Published
  • The trading tool range
  • Multilingual customer service
  • Funds are held in segregated accounts
  • Low spreads

Spread Betting & CFDs carry risk.
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Plus 500 Spread Betting on Cryptocurrency2 pips294:1£100Not Published
  • Risk management trading tools
  • Money is held in segregated accounts

Spread Betting & CFDs carry risk.
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Easymarkets Cryptocurrency1 pt400:1$100Not Published
  • Risk Management Tools
  • A wide range of CFD trading options (300+)

Spread Betting & CFDs carry risk.
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What is Spread Betting?

Spread betting is a form of derivative trading where traders speculate on the price movements of financial instruments. It is important to note that the trader does not take ownership of the underlying asset. Profits are generated by anticipating whether the price of the asset will rise or fall within a certain timeframe. The spread is how much you pay to open the position; the tighter the spread the easier it is to generate profits. Amongst the spread betting markets, one can find Forex Currency Pairs, Shares, Commodities, indices and Cryptocurrency.

 

Why Spread Bet?

Spread betting has multiple advantages over traditional trading. For starters, UK traders do not need to pay commissions, tax on profits, or fees on open and closed trades. Brokerages make their money from low spreads. With spread betting, you are not required to put down all the money upfront since you have margin and leverage in place. This means that you only need to place a percentage of the trade’s value down. However, leverage can also work against you if markets don’t go in your favour. Another benefit of spread betting is that profits can be generated in bullish or bearish markets. Many leading spread betting brokerages today offer negative balance protection, so you don’t go into debt.

 

How to Spread Bet?

Consider the case of the UK all-share index, the FTSE 100. If it is currently at 7,450.5 and the spread betting brokerage quotes 7,450 – 7,451, there is a fixed spread of a point. A trader who is bullish expects the price to rise and will buy the FTSE 100 index, known as an Up Bet at 7,451. If a trader believes the price will fall, known as a Down Bet, the trader sells at 7,450. Assuming you sell at 7,450 and the stake is 10 GBP per point, you simply subtract the buy price from the sell price to get the point difference. That point difference is then multiplied by the price per point to determine the profit or loss.

 

How to Choose a Spread Betting Company?

Choosing one spread betting company over another boils down to personal preferences. However, there are several key elements that traders should take into consideration, including:

Platform Functionality and Ease of Use

Rapid Order Execution and Tight Spreads

Minimal Trading Costs and Fixed Spreads

Zero or Minimal Fees for Dormant Accounts

The Credibility of the Spread Betting Brokerage

Bonuses and Promotional Offers Provided by the Brokerage

Rapid Transactions Processing for Deposits and Withdrawals

Spread Betting Regulations

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Intertrader ETX Capital Core Spreads
markets.com City Index easyMarkets CMC Markets