What is spread betting?
Spread betting is a tax-efficient, flexible way of trading on the price movements of thousands of global financial instruments. You take a position based on whether you think
the price of an instrument will rise or fall, and your profit or loss depends on if the market moves in your chosen direction or not.
Spread betting is a leveraged product, meaning you only need to deposit a percentage of the full value of your trade to open a position. Your profits and losses are amplified as they are based on the full value of your trade. Therefore, you could lose all of your capital. Read our 'What is spread betting?' article.
^Tax treatment depends on individual circumstances and can change or may differ in a jurisdiction other than the UK.