Spreadex: Financial Spread Betting and the advantages

The financial spread betting experts SPREAD EX FINANCIAL SPREAD BETTING HOW TO THINK LIKE A TRADER LOSSES CAN EXCEED DEPOSIT POOR EXCHANGE RATES 3. RISING INTEREST RATES FALLING SHARE PRICES Problem: You're off to the States but are 1 getting a poor exchange rate to the pound Potential solution: Place an FX trade buying GBP/USD. If the pound recovers against the dollar you'll be in the money too. If the pound falls further, your spread bet will lose money but you'll still have a better exchange rate! Problem: Interest rates look set to go up meaning your tracker mortgage will too Potential solution: Place a sell spread bet on Short Sterling. If interest rates - and LIBOR - go up, your spread bet will make a profit. If interest rates fall, your spread bet will lose money - but you'll still be saving on your mortgage! 3. Problem: You've got shares in that big high street bank, but they're plummeting in value Potential solution: Open a sell spread bet on that same bank. If shares keep falling, you'll make money on the spread bet. If the bank's shares rise in value, your spread bet will lose money - but your physical shares will be worth more! STATISTICS Top Spreadex spread betting winners in the 12 month period to the end of July 2012 Profit recorded by top Spreadex trader Average profit from top 10 Spreadex traders £1,032,705 £528,003 Average profit from top 50 Average profit Spreadex traders from top 100 £175,042 Spreadex traders £96,525 Remember spread betting losses can exceed deposit. Not all traders end up in profit. Markets traded via bets and bet value in the 12 month period to the end of July 2012 45 40 35 30 % bets 25 20 % bet value 15 10 Shares Bonds Indices Number of UK investors who placed at least 1 financial spread bet in a 12 month period 92,000 12 months to the end of July 2012 88,000 12 months to the end of July 2011 4.55% increase of active spread betters Source: Investment Trends July 2012 Leveraged Trading Report HOW SPREADEX WORKS Apply online at spreadex.com and Select the market The market price will you are interested in, e.g. find Light Crude oil under 'Commodities', show a lower 'sell' you could be free to trade on the global or 'bid' price and a higher 'buy' or 'ask' price markets in minutes then 'Energies' 4 Sell if you think the E.g. if you buy Spot, However, if the pound market will fall in GBP/USD at 1.6100 and weakened and fell to price or buy if you the pound strengthens to 1.6200 you would make 100 x your stake 1.6000 you would lose 100 x your stake think it will rise in price BENEFITS OF SPREADEX Leveraged access to trade on global market prices Pay no capital gains tax or stamp duty on profits* Profit from falling as well as rising market prices Avoid paying broker or accountant fees RISK WARNING NOTICE *Spread betting is not currently subject to UK stamp duty or capital gains tax. However, tax laws may well change in the future. Tax treatment depends upon the individual circumstances of each client. Spread betting carries a high level of risk to your capital and can result in losses larger than your initial stake/deposit. It may not be suitable for everyone, so please ensure you fully understand the risks involved. Tel: 01727 895000 | Website: www.spreadex.com Spreadex Limited, The Ziggurat, Grosvenor Road, St Albans, Hertfordshire, AL1 3AW Spreadex Ltd is registered at the above address in the UK. Registered Company Number: 03720378 Spreadex Limited is authorised, regulated and registered (number 190941) by the Financial Services Authority The financial spread betting experts SPREAD EX %24 Commodities 15