It’s a short update today because, well, I do have a life.
I wanted to highlight the fact that spread betting removes currency exposure from your trading. British spread bettors can bet on a US (or other country) stock or index, or a dollar-denominated commodity, without worrying about their “investment” falling merely as a result of the fluctuating GBP / USD exchange rate. Let the spread betting company worry about that aspect, while you sit back and watch your “investment” growing in line with the underlying on a simple pounds-per-point basis whatever currency those ‘points’ are denominated in.
So that’s one less thing to worry about with a spread betting account when you choose from these providers.
I was reminded to remind you about this aspect of spread betting when I re-read the list of spread betting benefits in the Introduction to the second edition of Malcolm Pryor’s Financial Spread Betting Handbook.
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Disclaimer: this posting is for general education only; it is not trading advice.