The Basics of Tax-Free UK Financial Spread Betting

Financial Spread Betting (or Trading) offers a tax free method of speculating on financial markets.

Quite simply, if you think a particular index, share, commodity, currency or sector will rise, you place an UP bet. This also referred to as a Long position or a buy.

On the other hand if you think the particular market will fall you place a DOWN bet (commonly referred to as a Short position or a sell).

The amount of profit you make or money you lose depends on how right or wrong you were and how much you risked per point.

At the time of placing the bet you decide how much you would like to risk per point. This can be as small as