This is from a person who does very well in stock purchases but has failed miserably in spread betting:
It's well known that beginners flock around SB firms. It's also well known that professionals in the City don't spread bet, but they do trade CFDs, quite a lot. I saw somewhere that 30% of all shares traded are actually through CFDs. Most SB traders lose, because in SB, you are not only fighting against margin, but also the SB quotes, which are different from the underlying market. In contrast, you just have to beat the margin in CFD, you can trade touch prices. Admittedly, I haven't got a figure of what % of CFD traders lose.
In T2W, as of now, there are 5441 posts under SB, compared with 350 in the CFD section.
I was always told to do what the professionals do. The professionals trade CFDs.
Good bye spread betting.
It's well known that beginners flock around SB firms. It's also well known that professionals in the City don't spread bet, but they do trade CFDs, quite a lot. I saw somewhere that 30% of all shares traded are actually through CFDs. Most SB traders lose, because in SB, you are not only fighting against margin, but also the SB quotes, which are different from the underlying market. In contrast, you just have to beat the margin in CFD, you can trade touch prices. Admittedly, I haven't got a figure of what % of CFD traders lose.
In T2W, as of now, there are 5441 posts under SB, compared with 350 in the CFD section.
I was always told to do what the professionals do. The professionals trade CFDs.
Good bye spread betting.
Last edited: