Best Thread Capital Spreads

[Ross Spur]

I understand this but i answered Ross's question : "I cant see why anyone trading US30 wouldn't use City" , i think the answer is obvious , if it is about the spread then we all should trade with Worldspreads they have zero spread on the Dow .

The problem is that we all know zero spread can only be a gimmick, otherwise WS might just as well hand out wheelbarrows full of cash.

 

[stevespray]

I dont think Dow is one of WS's zero spread products.

Steve.

 

[Ross Spur]

I dont think Dow is one of WS's zero spread products.

Steve.

It's 2pt in hours, which is strange when WS was the first to offer 1pt spreads on all the main indices.

 

[gle101]

I understand this but i answered Ross's question : "I cant see why anyone trading US30 wouldn't use City" , i think the answer is obvious , if it is about the spread then we all should trade with Worldspreads they have zero spread on the Dow .

As I said, you have to take in consideration the overall performance. And the overall performance when it comes to Cityindex is, they are doing a really good job with their 1 point spread on the Dow.

 

[gle101]

It's 2pt in hours, which is strange when WS was the first to offer 1pt spreads on all the main indices.

Yes, as I remembered the Zero spread offer included the Dow. Could be they started to have second thought about it, it would have been smarter though to match city's 1 point spread. Going from Zero spread to 2 spread is quite a giant leap when it comes to the Zero spread marketing strategy.

 

[gle101]

The problem is that we all know zero spread can only be a gimmick, otherwise WS might just as well hand out wheelbarrows full of cash.

Yes you are right, I am surprised City is managing it, probably due to that the "real" spread (bias against you) is a little bit more, 1.5 point maybe.

 

[tar]

As I said, you have to take in consideration the overall performance. And the overall performance when it comes to Cityindex is, they are doing a really good job with their 1 point spread on the Dow.

That remains to be seen ...

 

[tar]

As I said, you have to take in consideration the overall performance. And the overall performance when it comes to Cityindex is, they are doing a really good job with their 1 point spread on the Dow.

That's the point , overall performance not only the spread ...

 

[gle101]

That's the point , overall performance not only the spread ...

You like playing word games.

 

[capitalspreads]

clients should not focus solely on one product or even just the spread on one product.

Capital Spreads offers tight prices in all markets (including equities), it offers very low (and flexible) margin requirements so that clients can reallocate margin from one position (where they are not at risk) by moving their stop closer to their entry point to another position where they might need it.

the overnight financing at Capital Spreads is also only 2% around the relevent base rate (most of our competitors are 2.5 to 3%)

As some comentators (who actually have accounts !) have been kind enough to point out the speed and robustness of our platforms and accuracy of our prices makes us the platform of choice for the small to medium sized investor/trader/punter.

Yes there are always those who want more (and more) and LCG invests millions each year in building faster and more functionality rich environment (did you like that bit of 'corporate speak'). But .... we can can do nothing about what really, actualy, truthfully happens. If a market moves and a position goes wrong ... then .... take your loss, think again and move on.

Simon

 

[Black Swan]

We can can do nothing about what really, actually, truthfully happens. If a market moves and a position goes wrong ... then .... take your loss, think again and move on.

Simon

Pfftt!! I always thought you and your elves moved the market in the dead of night to take out stops by one pip, which wouldnt happen if you had zero spreads like Worldspreads.

 

[tar]

Capital Spreads offers tight prices in all markets (including equities), it offers very low (and flexible) margin requirements so that clients can reallocate margin from one position (where they are not at risk) by moving their stop closer to their entry point to another position where they might need it.

the overnight financing at Capital Spreads is also only 2% around the relevent base rate (most of our competitors are 2.5 to 3%)

Simon

Now with CMC's new cfds ( Trackers ) you can choose the financing amount you want , 90% of the position or 0% , and u will pay overnight financing for the financed amount only , as i understand it if u choose 0% finance then you will not pay any financing costs .

 

[Ross Spur]

clients should not focus solely on one product or even just the spread on one product.

Capital Spreads offers tight prices in all markets (including equities), it offers very low (and flexible) margin requirements so that clients can reallocate margin from one position (where they are not at risk) by moving their stop closer to their entry point to another position where they might need it.

the overnight financing at Capital Spreads is also only 2% around the relevent base rate (most of our competitors are 2.5 to 3%)

As some comentators (who actually have accounts !) have been kind enough to point out the speed and robustness of our platforms and accuracy of our prices makes us the platform of choice for the small to medium sized investor/trader/punter.

Yes there are always those who want more (and more) and LCG invests millions each year in building faster and more functionality rich environment (did you like that bit of 'corporate speak'). But .... we can can do nothing about what really, actualy, truthfully happens. If a market moves and a position goes wrong ... then .... take your loss, think again and move on.

Simon

All fair enough, but as most of us probably concentrate on the main indices and FX pairs (as I think you've said previously), it's natural for us to focus on spreads. Zero spread can never be viable, but if, for instance, you can have 1pt US30 spread and good execution elsewhere, it wouldn't make sense to trade the same market with 2pt spread.

 

[capitalspreads]

tar

mmmm.... sounds great until you realise that over 99% of our client positions are using between 0.5% and 10% margin to finance thise positions. I leave it up to you to calculate which is better ... to be charged 2% on 100% (as we do) or up to 3% on 90% (or more)

Simon

 

[tar]

tar

mmmm.... sounds great until you realise that over 99% of our client positions are using between 0.5% and 10% margin to finance thise positions. I leave it up to you to calculate which is better ... to be charged 2% on 100% (as we do) or up to 3% on 90% (or more)

Simon

CMC charges 2% i think .

 

[lancenicolase]

clients should not focus solely on one product or even just the spread on one product.

Capital Spreads offers tight prices in all markets (including equities), it offers very low (and flexible) margin requirements so that clients can reallocate margin from one position (where they are not at risk) by moving their stop closer to their entry point to another position where they might need it.

the overnight financing at Capital Spreads is also only 2% around the relevent base rate (most of our competitors are 2.5 to 3%)

As some comentators (who actually have accounts !) have been kind enough to point out the speed and robustness of our platforms and accuracy of our prices makes us the platform of choice for the small to medium sized investor/trader/punter.

Yes there are always those who want more (and more) and LCG invests millions each year in building faster and more functionality rich environment (did you like that bit of 'corporate speak'). But .... we can can do nothing about what really, actualy, truthfully happens. If a market moves and a position goes wrong ... then .... take your loss, think again and move on.

Simon

What I find annoying with CS is that I cannot really re-allocate the margin. For example, Dow has 50 points min margin, if my position goes 100 points in my favour my margin will be 150 points. Why can't I release the funds from winning positions?

All fair enough, but as most of us probably concentrate on the main indices and FX pairs (as I think you've said previously), it's natural for us to focus on spreads. Zero spread can never be viable, but if, for instance, you can have 1pt US30 spread and good execution elsewhere, it wouldn't make sense to trade the same market with 2pt spread.

That's why I also use SpreadCo as they have 0.8 spread on the Dow. I find 5 points spread on FTSE100 out-of-market hours is too expensive with CS.

 

[capitalspreads]

re-allocate margin from winning positions.

you cannot do this becus if that winning position turns round into a losing position AND you have used this unrealised profit/margin for another trade elsewhere than you will have a negative margin position with us. This is something that we do not allow.

We never allow unrealised profits to be used to fund new positions.

If you want to do this... close the position (take your profit) reopen your postion and then you have the profit in your account.

simon

 

[lancenicolase]

re-allocate margin from winning positions.

you cannot do this becus if that winning position turns round into a losing position AND you have used this unrealised profit/margin for another trade elsewhere than you will have a negative margin position with us. This is something that we do not allow.

We never allow unrealised profits to be used to fund new positions.

If you want to do this... close the position (take your profit) reopen your postion and then you have the profit in your account.

simon

Yeah, unfortunately, with CS the only way to release the funds is to close position and then re-open it (but I have to pay the spread again). There are some brokers who allow to use the profits (I think spreadco allows it). Anyway, I need the trading funds only a few times when I was pyramiding.

Simon, you have a new tab 'Data Feeds' on the platform. What is it for? You add some stuff and don't even inform the customers.

 

[capitalspreads]

as the data feeds tab mentions it is an upgrade that is coming soon...it is for clients who wish to see data supplied by exchanges on on a per client basis.

Some exchanges charge on a 'job lot' basis..LCG pays the exchange a sum of money and they allow us to use their prices to create our markets for our clients. BUT there are a few exchanges who do not do this... these exchanges charge individually per client for access to their data and so we cannot send this out to all 60,000 of our accounts as the fee to LCG would be vast (millions of pounds a month). In these cases we charge clients to these minority of exchanges and therefore allow them access to the data.

on the point about realising a profit and re-entering the trade you can always just ring up and ask the dealers to do this on no spread at the current price.

Simon

 

[lancenicolase]

as the data feeds tab mentions it is an upgrade that is coming soon...it is for clients who wish to see data supplied by exchanges on on a per client basis.

Some exchanges charge on a 'job lot' basis..LCG pays the exchange a sum of money and they allow us to use their prices to create our markets for our clients. BUT there are a few exchanges who do not do this... these exchanges charge individually per client for access to their data and so we cannot send this out to all 60,000 of our accounts as the fee to LCG would be vast (millions of pounds a month). In these cases we charge clients to these minority of exchanges and therefore allow them access to the data.

on the point about realising a profit and re-entering the trade you can always just ring up and ask the dealers to do this on no spread at the current price.

Simon

Thank you Simon. As I mentioned before I don't need to release the funds often but it's good to know that I can close and re-open position spread-free.

Also, with data feeds, does it mean you will have more markets?