Abotrader
In general, trading 90% lose. That is the figure which is thrown about.
In Spread Betting, a reasonable assumption, is that it is higher, as it attracks new meat and those who are less experienced, while most professionals or those experienced tend to consider spreadbetting a cowboy operations and go elsewhere to enter and exit the markets.
So even if Spread become tighter, the SB's are on to an absolute winner over a reasonable sample size. Especially with the tricks they are able to employ, which go unnoticed by the masses. This might be delayed execution with selective fills, as in the Capital Spreads example and many more.
I am sure if one of the companies reduce, say the Cable spread to 2 pips, the others will follow.
I am quite suprised that the spreads have not changed much in the last 2 years.
If Capital keep Rolling Euro at 2 pips, it will be interesting to see if the others follow.
Which is better though CMC, Finspreads or Retail Broker with almost instant execution on 3 pips or Capital with 2 pips though a likely 10 / 14.5 sec delay on most entries. I guess it depends on your system a little, though I would be happy to give the 1 pip with the knowledge that I would get near instant fill, a this point in time.
Nothing worse than entering a trade and watching and waiting for a confirmation, while the market moves and you have your hands tied.