how do spread betting comoanies cover their bets?

Means that you can't lose more than your stake.

Spread betting an index, you put down a deposit, but your losses aren't limited to that. Fixed odds and binary bets, the stake is the maximum amount you can lose.

ok, but that seems a bit confusing because, if fixed odds and binaries are less risky than spread betting then why are fixed odds considered gambling and spread betting not.
 
ok, but that seems a bit confusing because, if fixed odds and binaries are less risky than spread betting then why are fixed odds considered gambling and spread betting not.

Not sure what's not clear here. Spread betting is considered gambling in the UK.
 
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