The advantage of spread betting, as opposed to buying shares, is that it offers one of the simplest ways to bet on markets moving downwards, as they have in recent months. Moreover, bets are free of stamp duty, while any gains are not subject to capital gains tax (CGT).
Most regular readers will be fully aware that the best way to enhance their trading account is to trade with leverage. In days gone by, the only way to leverage an equity position in the UK market was to buy or sell individual share futures or take on a call or put position with options. These days it would seem that the undisputed heavyweight for the trading community are the fantastic derivatives like spread betting and cfds. That is all well and good for short-term traders and spread betting is certainly an instrument that most of us can use to great success with the speculative part of our portfolios, but every individual should have a multi-faceted approach to wealth creation above and beyond solely trading.
Spread betting is a useful vehicle for the occasional down-bet although I have to admit I am not an advocate of short-selling. I feel that the very high profile loudly shouted aggression...
To view and download this full PLR article, you must be logged in. Registration is completely free. Once you create your account, you will be able to browse, search & downlod from our PLR articles database of over "1,57,897+" on 1,000's of niches and 200+ categories without paying a penny. Click here to signup...
