Spread Betting is a way of trading on a financial instrument such as a Share or a Commodity without physically owning it.
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Go long or short
Markets go down as well as up. With Spread Bets you can potentially profit from falling markets as you can sell an instrument as easily as buying it. This is known as 'going short'.
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Commission free trading
With Spread Betting there is no commission to pay, no matter how often you trade.
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Spread Betting is tax free*
When you Spread Bet, all profits are exempt from Capital Gains Tax.
*Tax laws may change
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Margin trading
Spread Betting is a leveraged product. This means that you only have to deposit a fraction of the overall value of the trade. Typically margins with NatWest Index vary between 1% and 10%. Margin enables you to magnify your return on investment. However, losses will also be magnified so margin trading is not necessarily for everyone.
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Access to global markets
Spread Betting allows you to trade on a whole host of global instruments all from one account. Trade on Shares, Indices, Commodities, Sectors, Treasuries and Currencies 24 hours a day for five days a week. For a full listing of the range of markets we offer, click here.
No Stamp Duty*
Unlike traditional share dealing, Spread Betting incurs no stamp duty on dealing (in UK shares).