The number of spread betting companies there are these days just astounds me. Every time I check them out there are more and more. It might be difficult for a beginner to sift through all of these as they don’t know what to look for.
Do you want to do sports betting or financial betting? There are spread betting companies that do both and then there are those that specialise. You need to be 100% sure of this when you begin and stick to what you have selected for a while.
When you are searching through the companies you may be surprised to know how many are offering you the opportunity to open an account with a large amount of cashback. Yes these numbers are real but there will always be conditions that you will need to fulfil in order to receive the cashback.
Although receiving cashback is great, once you have it then that is all you get. You want to be more interested in keeping the costs of your trades down. Spread betting companies make their profits from the spreads of the trade as they don’t charge commission. This means that you want your broker to offer small spreads.
If you are doing financial trading then it is crucial that you can trade in the instrument of your choice. If you want to trade in gold then it is important that the broker offers commodities. If you want to trade in individual stocks then make sure they don’t restrict you to trading indices.
Have you thought about opening 2 accounts? It can be really useful in assessing the quality of the spread betting companies. Don’t worry about this too much when you are beginner but as you progress then this is definitely an option.
If you select the wrong one then what do you do? Well firstly don’t worry as it is not the end of the world. Just start looking at the spread betting companies again until you find the right one.
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