Potential mass exodus from Spreadbetters.

This is a discussion on Potential mass exodus from Spreadbetters. within the First Steps forums, part of the Reception category; Originally Posted by mike. spoze we will have to wait and see the outcome of the esma debate, Roll on ...

Reply
 
LinkBack Thread Tools Search this Thread
Old Jan 20, 2018, 5:38am   #31
Joined Jan 2014
Quote:
Originally Posted by mike. View Post
spoze we will have to wait and see the outcome of the esma debate, Roll on Brexit...
Brexit won't make any difference, or that's what IG told me on friday.

EUR/USD..................£611.................£4073
Germany 30...............£660................£6600
Oil – Brent Crude........£1035................£6900
Apple......................£8950................£3 2,800

To be realistic, if one cant stump up the above kind of money to trade then one shouldn't be in the game and it seems obvious why some sort of change is deemed necessary, to point blame one could start with the foolishness of trading the Swissy last year etc.

To consider that to trade the Dax @£5 a point you would need a deposit of £3300 is not out of the question for anyone serious.
Sonicscooter is offline   Reply With Quote
Thanks! The following members like this post: f2calv , mike. , Oscar Reed , darktone
Old Jan 20, 2018, 6:19am   #33
Joined Jan 2014
The problem as i see it is if they go for an outright ban on CFD's, therefore that includes spread betting.


https://www.fca.org.uk/publication/c...w-findings.pdf
Sonicscooter is offline   Reply With Quote
Old Jan 20, 2018, 9:44am   #34
Joined Jan 2014
Makes me feel poor not to have £442,000 in liquid assets and not to be part of the in crowd...

https://uk.webfg.com/news/news-and-a...--2774220.html
Sonicscooter is offline   Reply With Quote
Old Jan 20, 2018, 10:00am   #35
Joined Jul 2004
Not that i mean that trading and gambling is the same thing

But why not do something about gambling if they (EU,UK) are so concerned about people losing money?

"The report by the Gambling Commission estimated that the number of British over-16s deemed to be problem gamblers had grown by a third in three years, suggesting that about 430,000 people suffer from a serious habit.

It also found evidence of an increase in addiction among those playing controversial fixed-odds betting terminals (FOBTs), which have been criticised for allowing betting shop customers to spend up to £100 every 20 seconds."

https://www.theguardian.com/society/...mission-report
kalott is offline   Reply With Quote
Old Jan 20, 2018, 10:07am   #36
Joined Jan 2014
Simple answer and i'm not wanting to go off topic like most threads on here, so if someone loses £100 in a Bookies on a machine and that several hundred people a week do the same etc, that doesn't hit the news, what does hit the news is one Teacher losing £280,000 spread betting, nice big fat news headline.
Sonicscooter is offline   Reply With Quote
Old Jan 20, 2018, 10:25am   #37
Joined Jul 2004
I maybe should use a tin foil hat

But i think there is more to this than meet the eye?

Maybe it has something to do with next bear market that are close and they dont want traders shorting with high leverage?

I know most of the CFD,SB never hits the real market but if 99% shorting (hedging stocks) someone needs to hedge i think?

The next step would probably be a ban on short shelling (starting in USA)?
kalott is offline   Reply With Quote
Old Jan 20, 2018, 10:56am   #38
Joined Jul 2004
" the FCA said. It also intends to take "further action" against an unnamed CFD provider whose arrangements were particularly poor."

?

https://www.out-law.com/en/articles/...r-long-review/
kalott is offline   Reply With Quote
Old Jan 20, 2018, 12:26pm   #39
 
new_trader's Avatar
Joined Jan 2006
ESMA Unfair

Quote:
¹The FCA Handbook designates contracts for difference, spread bets and certain ‘rolling spot’ FX contracts as types of ‘CFD’, which in turn are a type of derivative.
I suppose that makes it clear. I sent my reply to ESMA saying that SB is an affordable way for people to learn how to trade as many can't afford DMA. I said the proposal is essentially unfair.
__________________
"It always pays a man to be right at the right time." - Jesse Livermore | Less Marx, More Mises

CLICK - My Trading Journal
new_trader is offline   Reply With Quote
Thanks! The following members like this post: tomorton , jm1054
Old Jan 20, 2018, 12:50pm   #40
Joined Jan 2014
Quote:
Originally Posted by new_trader View Post
I suppose that makes it clear. I sent my reply to ESMA saying that SB is an affordable way for people to learn how to trade as many can't afford DMA. I said the proposal is essentially unfair.
Well done Sir.
Sonicscooter is offline   Reply With Quote
Old Jan 20, 2018, 1:23pm   #41
Joined Oct 2015
thanks for the info guys
Kaeso is online now   Reply With Quote
Old Jan 20, 2018, 1:29pm   #42
Joined Feb 2009
Quote:
Originally Posted by new_trader View Post
I suppose that makes it clear. I sent my reply to ESMA saying that SB is an affordable way for people to learn how to trade as many can't afford DMA. I said the proposal is essentially unfair.
I've just submitted my reply too, said pretty much the same thing.

Ironically, increased margins won't stop someone with a large account losing a fortune, if they're intent on doing so!

I hope this isn't a "and so it begins" moment. I've always felt spread-betting was too good to be true and guessed that it wouldn't always be around in its present form. Let's hope I'm wrong.

Alternatively, there's a pretty good chance that the big companies like IG will come up with an affordable solution, otherwise it'll hit their profits massively!
jm1054 is offline   Reply With Quote
Old Jan 20, 2018, 2:05pm   #43
 
cbrads's Avatar
Joined Mar 2014
Let's see how creative they get in the face of this onerous regulation. What's to stop brokers splitting their businesses up to accommodate retail and professional clients - opening offices up in locations outside the jurisdiction of ESMA and FCA to cater for us small fry.

Last edited by cbrads; Jan 20, 2018 at 2:10pm.
cbrads is online now   Reply With Quote
Thanks! The following members like this post: jm1054
Old Jan 20, 2018, 2:16pm   #44
Joined Oct 2015
Quote:
Originally Posted by jm1054 View Post
I've just submitted my reply too, said pretty much the same thing.

Ironically, increased margins won't stop someone with a large account losing a fortune, if they're intent on doing so!

I hope this isn't a "and so it begins" moment. I've always felt spread-betting was too good to be true and guessed that it wouldn't always be around in its present form. Let's hope I'm wrong.

Alternatively, there's a pretty good chance that the big companies like IG will come up with an affordable solution, otherwise it'll hit their profits massively!
Hi JM, its interesting that this subject prompted your second post in 8.5 years!
Kaeso is online now   Reply With Quote
Thanks! The following members like this post: jm1054
Old Jan 20, 2018, 2:20pm   #45
Joined Feb 2009
Quote:
Originally Posted by Kaeso View Post
Its interesting that this subject prompted your second post in 8.5 years!
Haha! Yes, been keeping my head below the parapet, happily spread-betting and making the most of the leverage!
jm1054 is offline   Reply With Quote
Thanks! The following members like this post: Kaeso
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Similar Threads
Thread Thread Starter Forum Replies Last Post
Mortgage of Spreadbetters fast trader7 Spread Betting & CFDs 6 Aug 18, 2011 3:58pm
Where are the successful spreadbetters? rumbey Spread Betting & CFDs 51 Aug 13, 2010 1:54pm
Spreadbetters N Rothschild General Trading Chat 2 May 21, 2009 8:35pm
Spreadbetters rosewood fox First Steps 15 May 21, 2008 10:25am
Spreadbetters and LME troyresearch Spread Betting & CFDs 8 May 27, 2006 4:40pm

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)