Best Thread Capital Spreads

[sccz97]

I doubt any Sb co will offer £100 per pip without moving the quote against you or putting you on phone only trading....

JonnyT

I've done over £100 online with IG ... but surely you'd be insane or minted to be doing normal trades with that sort of size?

 

[capitalspreads]

sccz97

there are quite a few insane/minted people out there !!

jklondon

we quote robusta coffee on a 5 pip spread (march contract).... officially i think IG are 12 pips but they appear to be 14 online so i am not sure what their official spread is

Simon

 

[cj12]

I have traded with most of the S/B firms out there.frim what im seeing now I would think a lot of traders would be moving to C/S they offer the best spreads on most instruments, What I love is they margin on EUR/USD 40 quid.with DFF its 150 quid and both offer 3 pips spread on the spot price.

Thats what we like low margin and low spreads keep up the good work.simon

sun

 

[capitalspreads]

thks sun

but i must point out that the main reason for the low margin is that we insist on all positions having stops applied (which are not guaranteed). With d4f this is not the case hence they require more margin.

Of course traders should always have stops in mind but our mandatory stop policy does not suit all dealers.

Simon

 

[cj12]

Simon

I think it's a fair system that you place a stop loss 80% of the margin requirement. And these days most traders place a stop in the market.

It's suites me. I don't have to tie all my capital in the account. Like i say I can trade 5 pound a point on 200 pound margin with C/S where I used to deal with steal4free sorry deal4free it would cost me 750 pound to trade 5 pound a point,

I usually only risk 15 pips on a trade and in this case I would only need 75 pound to trade EURUSD with C/S. but I would still need 750 pound margin to trade with DFF although im only risking 15 pips.

I like it good stuff.C/S

Sun

 

[jklondon]

sccz97

there are quite a few insane/minted people out there !!

jklondon

we quote robusta coffee on a 5 pip spread (march contract).... officially i think IG are 12 pips but they appear to be 14 online so i am not sure what their official spread is

Simon

Thanks Simon - IG are in fact 12 online( or at least I paid this on a recent trade) 5 is significantly better im amazed. Its a shame I cant see all your prices on your test system however I am pretty tempted to open an account regardless so you might be hearing from me very soon.

Rgds
JK

 

[gullible]

Sun123,

Are the margin requirements same for the cable?. I agree it must be very attractive to be able to bet £5 per point with that sort of margin.

 

[capitalspreads]

minimum margin requirement on the rolling cable is 60 , on the daily it is 40 and on the qtrly it is 60

simon

 

[jaykay3]

Simon,

Regarding your new look platform - please can you revert back to showing the Total Open Profit & Loss (shown in bottom right hand corner) in colours ie black when a profit and red when a loss. It was a good 'quick glance' indicator of how a trade was doing but is now confusing when both profit or loss is shown as 'black'

Cheers

JAYKAY

 

[capitalspreads]

jaykay

yes we noticed that it is being changed back again.

simon

 

[gullible]

minimum margin requirement on the rolling cable is 60 , on the daily it is 40 and on the qtrly it is 60

simon

Simon,

Thank you for a prompt andmost helpful response.

regards

gull

 

[jsd]

Simon can you introduce Commissioned spreads? idea being tighter spread to client, your tightest but with a commision payable on winning trades ie 1-2 % etc. How about it? can you see it working? or give the clients the option of either or. Regular spread or Commissioned spread Trade. FX and Index. maybe.

jsd.

edit addition- commission likely to be between 5/10 % of winning trades to be viable ?

 

[jklondon]

nice idea - but not sure if its feasible from a Business Model point of view in general i.e should the revenue of a SB company depend on the success of the clients ? - maybe something to offer to regular clients who have a proven record of success..would be interesting to evaluate this idea against your client data..

 

[jsd]

hmmm, well i see it as good for all. new learning traders will pay smaller tuition costs, the spreadbet client base will dramatically increase , the idea that over time the spreadbet companies will be assisting clients to become successful they can feed off this success by the 10% commissioned spread on winners and also gorge more by front running their own positions. they could probably go to 20 % commissioned spread still attractive for spreadbetters whilst its tax free providing they offer very tight spreads. Couldnt see why people would have bother with direct access

Capital Spreads Commission Spread Trading "Giving You The Edge In The Markets"

 

[zatinus]

0.3% spread on UK equities

Hi CapitalSpreads,

Hope you can answer this one for us

the Blades was nice enough to start a thread comparing SB prices by different providers, the thread can be found here: http://www.trade2win.com/boards/showthread.php?p=150832#post150832

The real question I have is that from the data obtained by him and some quotes I checked from your demo system, the spread on UK equities seems to be on average closer to 0.6% than the advertised 0.3%.

Hoping you can shed some light on this for us.

 

[the blades]

Hi CapitalSpreads,

Hope you can answer this one for us

the Blades was nice enough to start a thread comparing SB prices by different providers, the thread can be found here: http://www.trade2win.com/boards/showthread.php?p=150832#post150832

The real question I have is that from the data obtained by him and some quotes I checked from your demo system, the spread on UK equities seems to be on average closer to 0.6% than the advertised 0.3%.

Hoping you can shed some light on this for us.

Zatinus, (also posted on other thread)

I have done some more digging here - The CS literature states 0.3% for FTSE 100 co's, 0.5% for FTSE 250 co's.

I must add that most of my trades would be FTSE 250, bringing CS more in line with the actual figures. I will ammend the SS and also include details of FTSE 100, 250 or above.

It seems I may have not been clear enough to the CS rep.

Sorry for any confusion.

UTB

 

[capitalspreads]

zatinus blades etc

i must remember to look at the demo site more often..

but on a spread calculation basis .... the quarterly bid/offer will often appear to be more than .3% because you must remember that the March price is calculated upon a forward price and interest rates will have a slightly different affect on the bid than the offer. Once the forward price is calculated then we add our spread of .3% to the market spread. So even if there was only one day to go till expiry (and therfore would have no interest rate effect) the bid/offer of our spread bet would be the market bid/offer plus our spread which on an absolute calculation would make the 'total' bid/offer spread wider than 0.3% (because the market spread is in the price as well) Actually alot of our quarterlies have less than 0.3% spread.

You can see it better on our rolling bets (which are not yet on the demo site but will be soon) these are quoted on a spread of 0.1% over market bid/offer so a share with a bid offer of 485.5 - 486.0 on level 2 would be quoted on our site as 485.3 -486.3. I think that you will find that in most cases the extra spread we quote is less than the brokerage you would pay on trading the real shares (let alone the stamp duty etc)

Simon

 

[BroadSword]

Something that might be of interest to others:

I placed an order via website to sell EUR/USD at 1.3032, stop at 46. Market moved against me, printing on Cap Spreads' system and charts up to 42 bid, i.e. offer would be 1.3045.
Well, I got stopped at 46 for a loss of 14 pips, so partly to check my own understanding, I rang up and said that I thought I'd been stopped out a bit keenly 1 pip inside my stop.

They were obviously really busy, but the dealer I spoke to was really helpful and explained about how forex wasn't an exact science, they have a number of feeds etc etc. I knew all this, but what I didn't know was that their charts and prices for forex were not in exact agreement necessarily because the chart was from one provider and the prices made from a range of providers (I hope I've got that right!).

Anyway, he identified that the market had gone to 42 bid 45 offer and that the stop was (his words) 'perhaps a bit harsh'

Anyway subject to me understanding that there was no precedent here of being refunded everytime you lost money (!), he refunded the loss and put me back into the original trade.

Very impressive service indeed....

 

[LevII]

Simon

You can see it better on our rolling bets (which are not yet on the demo site but will be soon) these are quoted on a spread of 0.1% over market bid/offer so a share with a bid offer of 485.5 - 486.0 on level 2 would be quoted on our site as 485.3 -486.3. I think that you will find that in most cases the extra spread we quote is less than the brokerage you would pay on trading the real shares (let alone the stamp duty etc)

Never was very good at sums, but does not 485.5 - 486.0 give a market spread of .5, 485.3 -486.3 a total spread of 1 making your spread .5 not .3?

What is your additional spread on US stocks?

 

[cj12]

Something that might be of interest to others:

I placed an order via website to sell EUR/USD at 1.3032, stop at 46. Market moved against me, printing on Cap Spreads' system and charts up to 42 bid, i.e. offer would be 1.3045.
Well, I got stopped at 46 for a loss of 14 pips, so partly to check my own understanding, I rang up and said that I thought I'd been stopped out a bit keenly 1 pip inside my stop.

They were obviously really busy, but the dealer I spoke to was really helpful and explained about how forex wasn't an exact science, they have a number of feeds etc etc. I knew all this, but what I didn't know was that their charts and prices for forex were not in exact agreement necessarily because the chart was from one provider and the prices made from a range of providers (I hope I've got that right!).

Anyway, he identified that the market had gone to 42 bid 45 offer and that the stop was (his words) 'perhaps a bit harsh'

Anyway subject to me understanding that there was no precedent here of being refunded everytime you lost money (!), he refunded the loss and put me back into the original trade.


Very impressive service indeed....

Good on capitalspread Although this should have not happen but they did refunded your loss and put you back into the original trade..I now steal4free would not offer you this. They would make 101 excuses.

CJ