Worst Case Scenario !! Risk

brook22

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I have noticed that when comparing online platforms the risk is significantly NOT the same in all cases.
For example in comparing plus500 to capital spreads clearly the spread is less in capitalspreads and therefore would seem a better option.

BUT and it is a big BUT - with capital spreads potentially in the worst case scenario one could be liable for the whole amount of the underlying instument but with plus500 you cannot lose more money than is in your account at any one time.

To me this could make big difference as the risk is substantially reduced.

Comments please
 
I have noticed that when comparing online platforms the risk is significantly NOT the same in all cases.
For example in comparing plus500 to capital spreads clearly the spread is less in capitalspreads and therefore would seem a better option.

BUT and it is a big BUT - with capital spreads potentially in the worst case scenario one could be liable for the whole amount of the underlying instument but with plus500 you cannot lose more money than is in your account at any one time.

To me this could make big difference as the risk is substantially reduced.

Comments please
Yes you are right about this, but the worst case scenario will probably never happened if you adopt proper risk & money management in the first place.
 
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