Brokers by percentage of losing accounts

[BigDeal]

@Sharky, your research has prompted me to look at the various spreadbetting companies on offer. Always keen to see if I can get a better deal.
Anyway I've added SpreadCo to the spreadbet list as I see they offer this (you already had them on the CFD list), and they are one of those rare providers who offer fixed spreads on the major indices, which is a biggy for me.
I am thinking that maybe, as you suggested above, we should add in additional columns to help traders narrow down a provider? Are you happy for anyone to add to the data in this way?
And yes, it would be very useful to have a sort facility within the data

 

[Sharky]

I am thinking that maybe, as you suggested above, we should add in additional columns to help traders narrow down a provider? Are you happy for anyone to add to the data in this way?

That was my plan, if you'd like to make a start, that would be much appreciated! Over time we can refine the columns, but for now any obvious way to differentiate in terms of eg. costs, features would be most welcome.

And yes, it would be very useful to have a sort facility within the data

I found a couple of other options we could use, without having to resort to building out something custom-made which would take a lot of time and effort. But to get things off the ground google sheets serves a purpose, and it'll be easy to migrate to a different solution later, once we have the information at hand.

Go for it!

 

[Sharky]

Also with the end of the tax year rapidly approaching, I'm working on a comparison of the Stocks & Shares ISAs on offer.

 

[Sharky]

I've added a few more obscure cfd and spread betting brokers today.

As far as I'm aware, we now have the most complete list of cfd and spread betting brokers online. As a result, we also have new UK worst brokers in terms of losing accounts, drum rolll...

Capital Index at 86.32% for CFDs, and CFDS.com/BUX Markets at 84.62% for spread betting

If you can find any broker that offers cds or spread bets, and that's not listed here: https://www.trade2win.com/brokers/cfd-spread-bet-losing-accounts/ - then please do let me know!

 

[trade2bpro]

Every broker website provides this info at the front



Why darwinex significant better performance? Because they provide analytical tools to test strategies and metrics to monitor performance. Cant see doing that other brokers..

Thanks for your info, it's new to me. Can we consider choosing a broker by this metric? Is higher rate = worse broker?

 

[Sharky]

It's probably a combination of factors, a certain broker might market to a certain segment of new trader who's more or less likely to blow up their account. One of the brokers openly admitted to me that the reason their offshore business had a much higher loss rate was the fact clients leverage more. Darwinex is probably a lot better because of the risk management baked into the systematic side of it.

 

[Windlesham1]

Why are the brokers to blame? CFDs are garbage plain and simple. Better odds playing blackjack.

 

[cassiopeia]

Has anyone a list of the spreads offered & charges such as financing which can be compared like for like?

Of course if the brokers make their own market they can manipulate the spread mid point skewing the price in the direction of movement, which substantially increases the effective spread without it being obvious.

 

[BigDeal]

Of course if the brokers make their own market they can manipulate the spread mid point skewing the price in the direction of movement, which substantially increases the effective spread without it being obvious.

Yes you are correct, and in my opinion someone looking for a broker should always look for fixed spreads, but there are only a few out there who offer this.

On the same point I would say that most brokers are quite close to the market price these days. When I started spreadbetting back in 2003/4 brokers certainly had different pricing and would be quote possible to arb, and I used to do quite well out of that, but those opportinites have gone now.

 

[trade2bpro]

Has anyone a list of the spreads offered & charges such as financing which can be compared like for like?

Of course if the brokers make their own market they can manipulate the spread mid point skewing the price in the direction of movement, which substantially increases the effective spread without it being obvious.

Your name reminds me a hero in LoL. lol

I am curious to know if the average win/loss ratio of a forex broker is higher than that of a casino. I have learned that some casinos lose money due to bonuses they offer to players, and that some table games do not provide much of an edge for the casino, except for the banker's commission. Is it appropriate to discuss gambling in this forum?

 

[BigDeal]

As a client of Trade Nation for leveraged trading I am disappointed to see they've increased their spreads on CFDs and Spreadbets. They've been pretty competitive up until now and it's a good time to shop around I guess. However they are still one of the only fixed spread providers out there I think.

I see they claim only 66% of CFD traders in the UK are losing accounts, whereas accross the world 82% are losers (providers have to declare this data quarterly)

I hope people use the broker comparisons tool which @Sharky put together (under the tools dropdown above). I will continue to update this for the brokers I use, but if others can do it for the ones they use it will remain a useful tool, and speed up any research people want to do.