Different trading accounts on offer

[fxrookie24]

Can someone please tell me what kind of trading account you can get and what the main differences are in layman terms? Am coming across all these different sites but the terminology really goes over my head!!

Would be greatly appreciated; the key differences between CFD, Spread betting accounts (are there any more account types out there?!

Thanks

 

[lucas_king]

In very simple terms, there are 3 main types of accounts - Shares, CFDs and Spreadbetting.

Shares – traditional style of trading / own shares / paid stamp duty / only go long

CFDs – Trade on margin/leverage / don’t own shares / can go short

Spreadbetting - Trade on margin/leverage / don’t own shares / can go short / tax free profits

There are lots of arguments for each product, I have used all 3 and they all have their positives and negatives, however I would recommend CFDs or spread betting over physical shares.