Why Spread bet?
Spread Betting Trading Centre: What do you think is the principal reason your customers spread bet - e.g. hedging short-term deals, capital gain, etc.?
E*TRADE: The primary reason is to achieve capital gains. Our customers use their spread betting account to make a quick trade after they have identified a trading opportunity in the market.
Spread Betting Trading Centre: What do you think about the market’s performance this year?
E*TRADE: Interestingly, we have seen volume increases as the FTSE has corrected so it means people must have been hedging long stock positions and selling short.
Volume-wise, the energy and commodity sectors are doing very well, as are currencies.
Spread Betting Trading Centre: What are your predictions for the market for the next couple of months?
E*TRADE: The rising interest rates and behaviour of the consumer are something to watch closely.
Spread Betting Trading Centre: Are there any big changes in the market you are expecting?
E*TRADE: A significant change will come in September when spread betting adverts will be allowed on television, allowing retail brokerages to market to a larger audience.
Page 1 How E*trade started | Page 2 Why Spread Bet
