No broker's or accountants' fees with spread betting
Financial spread betting
offers you the flexibility to have full control over your investments without having to pay expensive broker or accountants fees.
The only charge you'll face is the 'spread' - the difference between the buy and sell prices for different markets quoted on the Spreadex website - and 'funding' for when you may want to roll a daily position overnight (note that trades on futures markets do not attract funding unless you are rolling from one quarterly contract period to another).
Because spread betting on shares
is leveraged this means we are lending you money to buy the shares. There is therefore an interest rate charge based on one-month LIBOR + 3% per annum.
This is applied to the total value of the stock based around the LIBOR rate for the contract specified. I.e. if in March you enquire about the Barclays September price, our funding rate will reflect the six month LIBOR, plus a margin that we will apply.
You can, of course, keep the money elsewhere that you otherwise would have used to buy the stock.