Alex Johnson Blog | Spread Betting Companies. Which Is The Best One? | Talkmarkets
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Spread Betting Companies. Which Is The Best One?

Date: Sunday, February 9, 2020 11:42 PM EDT

spread betting company

There are several things that you should consider when opening a spread betting account. Some of the main factors include the size of the spread and the size of your starting bet. If you are a beginner at forex trading you may wish to find a company that offers a 10p stake per point or pip to begin with.

Many spread betting companies will offer this alongside training to begin with for a number of weeks, and they may also offer practice trading with a demo account which enables you to place practice bets without actually risking any of your actual trading account. You may find that some spread betting companies will offer a slightly larger spread to beginners and also will insist on stop losses being placed to protect your bets and position in the market.

Choosing the best spread betting company – what to consider

Have a look at each company website and see what each spread betting company offers. You may also wish to consider the exact details of the training they can offer you if you are a beginner.  For example, spread betting companies may offer you an eight week trading programme for a 10p stake per point while you learn the basics of trading, and then your stake may automatically increase to £1 per point at the end of the eight weeks.

You should also assess how user friendly their trading platform is, the size of stakes required in order to trade, and the size of the spread that the company will offer.  Some spread betting companies also offer cashback by way of a free cash deposit into your trading account when opened.  These offers vary from company to company, therefore it is worth comparing companies and finding one that you are happy with.

The size of the spread

This can be from between 1 to 5 points of pips, depending on which spread betting company you use, and your level of experience in spread betting. If you are new to spread betting the you may be offered a wider spread of points. This will affect the amount of profit that you make on each bet or trade, therefore it is essential that you know this before you start trading.

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