Betfair Spread Betting
Where Can I Spread Bet on Betfair?
At the moment, you are able to speculate without commissions or brokers' fees on Betfair by trading with any of the following spread betting providers:
|Broker Ratings - Sponsored by IG
A look at the latest Betfair broker ratings:
|21-Sep-15||Neutral||Exane BNP Paribas||3208||3000||-6.50%|
|03-Sep-15||Reduce||Numis Securities Ltd||3232||2100||-35.00%|
|06-Aug-15||Underperform||Exane BNP Paribas||2783||2100||-24.50%|
|22-Jun-15||Underperform||Exane BNP Paribas||2393||2100||-12.20%|
|05-Jun-15||Sell||Numis Securities Ltd||2505||2100||-16.20%|
For the latest UK broker ratings see Daily Trading Tips.
Where Can I Spread Bet on Betfair for Free?
Trading the markets always involves risk. Having said that, if you would like to open an entirely free Test Account, that lets you trial spread betting, then please see below.
When deciding which investment option might work for you, also remember that spread betting, in the UK, is exempt from stamp duty, income tax and capital gains tax*.
If you're trying to find a free online spread trading platform then you should note that investors are able to spread bet on Betfair with no brokers' fees or commissions via:
If you'd like to open a completely free Demo Account that lets you trial online spread betting, and markets like Betfair, then you can always look at:
Each of the spread trading companies listed above currently provide a risk free Test Account that lets investors gain experience with a variety of orders, review charts and test trading strategies.
How to Spread Bet on Betfair?
If you are looking to invest in UK listed companies such as Betfair then one possibility could be spread betting on the Betfair share price.
Looking at a site like Selftrade Markets, you can see that they have priced the Betfair Rolling Daily market at 750.0p - 753.0p. This means an investor could spread trade on the Betfair shares:
Going higher than 753.0p, or
Going lower than 750.0p
Whilst financial spread betting on FTSE 350 shares you trade in £x per penny. Therefore, if you risked £2 per penny and the Betfair shares move 23p then that would change your P&L by £46. £2 per penny x 23p = £46.
Rolling Daily Equities Markets
Be aware that this is a Rolling Daily Market which means that there is no predetermined settlement date for this market. If a trade is still open when the markets close at the end of the day, it will just roll over into the next trading session.
If your trade does roll over and you are speculating on the market to:
Rise - then you would normally pay a small financing fee, or
Fall - then you'll usually receive a small credit to your account
To learn more please read Rolling Daily Spread Betting.
Betfair Rolling Daily - Shares Trading Example
Now, if we think about the spread of 750.0p - 753.0p and make the assumptions:
Then you might decide that you want to buy at 753.0p and risk, for example, £4 per penny.
- You've done your analysis of the company, and
- Your analysis suggests the Betfair shares look like they will push above 753.0p
Therefore, you make a profit of £4 for every penny that the Betfair shares increase and go higher than 753.0p. Of course, it also means that you will make a loss of £4 for every penny that the Betfair market goes below 753.0p.
Thinking of this in a slightly different way, if you ‘Buy’ a spread bet then your profit/loss is calculated by taking the difference between the final price of the market and the price you bought the spread at. You then multiply that price difference by the stake.
With this in mind, if after a few trading sessions the shares rose then you might consider closing your spread bet so that you can secure your profit.
So if the market rose then the spread, set by the spread trading firm, might move up to 779.4p - 782.4p. In order to close your spread bet you would sell at 779.4p. So, with the same £4 stake you would calculate your profit as:
Your profits (or losses) = (Final Level - Initial Level) x stake
Your profits (or losses) = (779.4p - 753.0p) x £4 per penny stake
Your profits (or losses) = 26.4p x £4 per penny stake
Your profits (or losses) = £105.60 profit
Trading equities, by spread betting or otherwise, is not always easy. With this example, you had bet that the share price would increase. Of course, it can also go down.
If the Betfair stock began to drop then you might choose to close your spread bet in order to restrict your losses.
So if the market fell to 723.6p - 726.6p then this means you would close your trade by selling at 723.6p. Accordingly, your loss would be:
Your profits (or losses) = (Final Level - Initial Level) x stake
Your profits (or losses) = (723.6p - 753.0p) x £4 per penny stake
Your profits (or losses) = -29.4p x £4 per penny stake
Your profits (or losses) = -£117.60 loss
Note - Betfair Rolling Daily spread betting price accurate as of 31-Oct-12.
Where Can I Find Live Prices and Charts for Betfair?
Should you want to review real time trading charts and prices for Betfair, you generally require a spread trading account. Note that opening any such account is normally dependent on credit, status and suitability checks.
Should your new account be accepted then, when you log in, you will be able to review the charts and the current prices. Usually, these will be free, however, the catch is that you are likely to receive the occasional call or email from the spread betting company.
Of course, if you do decide to trade then, before you start, you should note that financial spread trading carries a significant level of risk and it is possible to incur losses that exceed your initial investment.
Despite the fact that the charting packages can vary across the industry, in order to aid your trading, they usually have valuable tools and features such as:
The charts offered by InterTrader also include more advanced features:
- A number of different time intervals - 3 minutes, 1 hour, 1 day etc.
- Different display options - line, candlestick and OHLC charts
- Tools for adding features - Trendlines, Fibonacci Arcs, Fans and Time Zones
Sample Financial Spreads trading chart
- Back Testing tools and Tailored Indicators
- Helpful chart overlays - Bollinger Bands, Exponential Moving Average, Price Channels etc.
- Technical indicator charts - True Strength Index, Williams %R, Accumulation Distribution etc.
- Email alerts that trigger when the markets hit a certain level
The spread trading firms listed below let their clients have access to real time trading charts and prices:
Betfair Spread Betting, sponsored by FinancialSpreads.com.
You can spread bet on Betfair with
'Betfair Spread Betting' edited by DB, updated 22-Feb-17
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