Cost of spread betting

[the blades]

latest trades attached - again It seems I'm in a limited bunch who arent being ripped off by the SB company..........

 

[whale01]

Dear sir,
I am new to futuresand others except buy and sell stocks,shares.I would like to learn about futures,spreads,forex and others.Thank you.

 

[Splitlink]

latest trades attached - again It seems I'm in a limited bunch who arent being ripped off by the SB company..........

Hi Blades,

I can only assume that those getting ripped off by SB companies are not trading my instruments, which are LSE shares.

Business is slow today, but I have no problems (yet) with Fins. I made 14 points on the Index this morning but am down a bit with my share trading.

Split.

 

[the blades]

Hi Blades,

I can only assume that those getting ripped off by SB companies are not trading my instruments, which are LSE shares.

Business is slow today, but I have no problems (yet) with Fins. I made 14 points on the Index this morning but am down a bit with my share trading.

Split.

Eyup Split,

Aye, it's UK shares for me too.

I'm about to start trading US stocks as well and the spreads / coverage available make SB impractical for my "methods". I'm opening an IB account at the moment so I'll be able to draw comparisons. Mind, the charge on UK stocks is £6 either way (plus stamp duty) so this will definitely be a US only venture.

Whale - could you be a bit more specific about what you're interested in? I think your answers will be elsewhere on T2W but if you think I can help, pm me.

UTB

 

[Splitlink]

Eyup Split,

Aye, it's UK shares for me too.

I'm about to start trading US stocks as well and the spreads / coverage available make SB impractical for my "methods". I'm opening an IB account at the moment so I'll be able to draw comparisons. Mind, the charge on UK stocks is £6 either way (plus stamp duty) so this will definitely be a US only venture.

Whale - could you be a bit more specific about what you're interested in? I think your answers will be elsewhere on T2W but if you think I can help, pm me.

UTB

If you are going to IB and intend to try index trading one way is with Eurostoxx (excuse spelling).
Exchange costs are cheaper and in Euros and price per contract is 10 Euros, which helps the pocket a bit until you get settled. I preferred European exchanges because of the hours.

Split

 

[the blades]

latest trades added with same conclusions.......

UTB

 

[henry766]

dear blades , I also trade U.s. stocks , but with cmc , ( 5 cents total spread usually, on about 270 stocks), have used ib before , obviousley cheaper , but unless $25 000 in account, trading frequency limited and margin only *2, I'd be interested in your opinion?

 

[the blades]

dear blades , I also trade U.s. stocks , but with cmc , ( 5 cents total spread usually, on about 270 stocks), have used ib before , obviousley cheaper , but unless $25 000 in account, trading frequency limited and margin only *2, I'd be interested in your opinion?

Hello Henry,

funnily enough, I've just opened an IB account to trade US stocks. IG have the best coverage but killer spreads (1% approc + market), and CMC don't cover the smaller companies that I follow.

Unfortunately, I think you've covered your best 2 options, unless someone knows better :?: .

All the best.

UTB

 

[henry766]

Hi Blades , think that about covers it , accept like you say ig are expensive , though I thought spread with cfd's was more like 0.3% ish on s&p 500 ( guessing a bit ) but swissdirekt are" Stock CFDs are traded on a competitive market maker price +/- 0.10% included in the bid/ask spread, with no additional commissions (above 10000 $US)."


"included in the bid ask spread is a bit of a grey one to me" as i think they mean on the spread you actually see on thier platform which could be on top of mkt spread , whats more i'm pretty sure +/-0.1% means an actual spread of 0.2% ( +mkt spread i think), i tried something similer with e trade a while back and "small print charges on thier fixed price cfd appeared ( same platform as swissdirkt and saxo bank), but yes if i had $25 000 i would simply go ib route if daytrading , trades over a few days still limited buy margin of 2:1!!

 

[the blades]

Hi Blades , think that about covers it , accept like you say ig are expensive , though I thought spread with cfd's was more like 0.3% ish on s&p 500 ( guessing a bit ) but swissdirekt are" Stock CFDs are traded on a competitive market maker price +/- 0.10% included in the bid/ask spread, with no additional commissions (above 10000 $US)."


"included in the bid ask spread is a bit of a grey one to me" as i think they mean on the spread you actually see on thier platform which could be on top of mkt spread , whats more i'm pretty sure +/-0.1% means an actual spread of 0.2% ( +mkt spread i think), i tried something similer with e trade a while back and "small print charges on thier fixed price cfd appeared ( same platform as swissdirkt and saxo bank), but yes if i had $25 000 i would simply go ib route if daytrading , trades over a few days still limited buy margin of 2:1!!

Hello Henry,

I calculate the additional charge by subtracting the spread that was quoted on the previous deal to my quote (data from ample) - though in fairness to CMC there's very little difference between this and their spot price,

IB seems the only viable route for me trading US stocks, as CFD's wont be available on a lot of the companies I'm trading, and I'm not after the margin.

Latest deals attached (some missed previously);

Cheers,
UTB

 

[henry766]

Hi Blades , I must admit I do like margin , have you any experience with options on ib , I believe you can have your bid or ask price automatically adjusted inline with underlying stock price , with a little patience could give nice fills ( think you have to select "box" or "box auctions/exchange")+ i've read you get "price improvement "about half the time according to boys on elite board, mind you like problem with cfd's think options only liquid ish on about six or seven hundred ish stocks ( depending on what one considers tradeable), ( to be fair cmc spread includes mkt spread and is very cheap compared to just about all others i believe) cheers

 

[the blades]

Updated file attached.


An example from the spreadsheet;

If you use SB co 4 (CMC), for any bet (leave index blanks, so it will count all bets), you pay a Spreadbet charge of 0.26% above the market spread of 0.21%. This is the same as a commission charge of £2.56 for a conventional £2,000 deal. (forgetting stampy duty and tax savings, if applicable)

Pretty damn good, IMHO.

The annual interest, which would reflect any skewing of prices, is 3.13% - in other words LIBOR minus the effect of dividends.

If only I could get the same deal on US stocks, the IB acount would close tomorrow

UTB

 

[henry766]

Dear Blades , I think on most U.S stocks cmc is actually cheaper than 0.26% ( .2 on 25$ stock and .1 on a 50$stock) though IB probably still cheaper , and cmc also only has about 320 ish stocks listed , not sure about interest though .

 

[the blades]

Dear Blades , I think on most U.S stocks cmc is actually cheaper than 0.26% ( .2 on 25$ stock and .1 on a 50$stock) though IB probably still cheaper , and cmc also only has about 320 ish stocks listed , not sure about interest though .

thanks Henry - my problem is that they don't offer the coverage - most of the stocks I'm interested in fall outside this. And IB are bloody cheap!!

Cheers,
UTB

 

[henry766]

Very true!!

 

[the blades]

latest deals attached

UTB

 

[paulm555]

Glenn dont ever use intellitrend -heard too many bad reports

 

[the blades]

once again, whilst seemingly "everyone" is shafted by their spreadbetting company, I inexplicably manage to avoid all those skewed prices

 

[the blades]

Updated, FWIW;

 

[Pippppin]

the blades...

on a slightly different tack, the blades are at home to the most underperforming club in British football on Saturday. Are you confident the blades will avoid the drop?

(I notice that the Magpies have only won once at Bramall Lane in 30 years...)