Spread betting is a great way to make money, partly because all of the winnings that you get are tax free. Spread betting can also be done by anyone with a low budget too and can see you see big profits. With low set up costs and low stakes it allows you to place money on the change in value of shares, indices, currencies and commodities any other financial assets. Unlike traditional investments, where you have to buy the financial asset and then sell at a later date, with spread betting you are just betting on whether the price will fall or rise. The spread refers to the difference between the price that you can buy at and the price you sell at.
For those on a low budget, spread betting can be cheaper and better than traditional investments in that money can be made when prices rise or fall, there are no broker fees involved and you don’t have to pay the full price to buy an asset. Investors can bet as little as £1 per point, which means that for every point the asset rises or falls they will make a profit of £1. This makes entry to the market much more affordable and easier for those on a budget, and on top of this you are still exposed to the same profit potential.
Affordable Trading through Tight Spreads
The best way to get started with spread betting, for those on a budget, is to find a spread betting provider that offers the tightest, fixed spreads. You will find this with companies like SpreadCo amongst a few others, and this makes it very affordable for you to trade. You simply set up an account with one of these companies, choose your trading platform and then add funds to your account. You are now able to start trading in company shares, currencies, commodities, indices or any other financial asset.
You may even find that some of these companies provide you with charts, daily updates and news on the financial markets which allows you to make smart choices in your investments. Spread betting is simple, straightforward and also very easy to do on a budget when you find the tightest spreads in the industry. In addition, you do not need to be a financial professional to see big profits, so it is certainly worthwhile setting up an account and begin betting on the movement in value of these assets.