Why is forex trading so popular in the UK?
We can see that forex trading is still a thing in many countries but why is it still so popular in Great Britain in particular? What is that makes Brits trade forex?
1. London is the financial capital of Europe. Whether you like it or not, London is still there and kicking. This makes the UK the major hub for financial institutions and forex brokers in particular. independentinvestor.com/forex/brokers/…
2. FCA regulation. After the Brexit so many expected forex and other brokers to leave London and move somewhere else. What really happened? More international brokerages applied for the FCA regulation. Like it or not... FCA is the name in the industry.
3. Location. Europe is in the middle... right between the Far East and the Americas. British forex traders can easily trade during the peak times as the time zone is so convenient.
Conclusion: it's the financial shrewdness which makes British people turn to financial markets.
It's almost a must to have an office in the UK for any reputable and regulated forex broker with an easy access across the world.
What is the deference between Contracts For Difference and financial spread betting?
Let's get the main points right and see what they have in common and where they actually differ.
spread betting vs CFDs independentinvestor.com/cfd/cfds-vs-sp…
1. Both, spread betting and CFDs, offer a wide range of markets to trade; you literally can trade practically anything with both instruments - indices, shares, commodities, cryptos, forex, etc. It's incredible, you can trade almost anything.
2. Tax Treatment. That's where it gets interesting as both offer tax advantages as you don't actually hold physical assets but and this is a big but, there's absolutely no tax on your profits from financial spread betting.
What is the best spread betting broker?
This is the questions many might be asking and there is no right or wrong answer.
But there are ways to find the best spread betting companies and here are some tips: independentinvestor.com/spread-betting…
1. Regulation. Make sure your financial spread betting broker is regulated by the FCA. The FCA do their best to protect spread betting traders and anybody involved in trading financial markets to make sure people only trading with reliable brokers.
2. Spreads and overnight charges. Those will play a huge role in your trading career as every single penny you pay in charges is a penny saved and thus profit. Make sure you compare and read reviews about spread betting brokers.
Is CFD trading really popular and where?
What makes CFDs so special and why in some countries they are so popular? Let's have a look at the countries where Contracts For Difference are popular.
It's no surprise that in these countries broker competition is fierce.
United Kingdom: it is no surprise that CFDs are very popular in the UK. British have a rich history of investing money in shares and other financial instruments and CFDs offer an easy way to trade a wide range of products. independentinvestor.com/cfd/brokers/uk/
Australia: it's hard to say why CFDs are so popular there, maybe it's because of the close ties to the UK but it is a fact that CFDs are popular in Australia.
It is no surprise that it's home to some of the best and most trusted CFD brokers in the world. independentinvestor.com/cfd/brokers/au…
When it comes to finding a spread betting broker, we all want to have a reliable one so we could concentrate on our trading rather than dealing with the problems.
The thread covers the aspects of finding a good and reliable spread betting company. #trading independentinvestor.com/spread-betting…
Research
You only want to deal with a good broker so it would be a good idea to check forums and review sites to see what other spread bettors have to say about companies you are considering. It will take just a few minutes of your time but will pay off in the long run.
Spreads
Broker market is very competitive and spread traders surely benefit from this as spread betting providers had to cut their spreads to almost 0. If you're a long term trader you also have to pay overnight financing on top of spreads.
When it comes to choosing a CFD brokers, it's important to compare brokers to see what platforms and features they offer and how competitive their spreads are.
Here are some of the most competitive CFD providers by country