How Our Products Work
What is the Spread?
When you view the price of an instrument whether you are using Spread Betting, CFDs or Forex you will see a sell price and a buy price. If you were viewing the price of Vodafone for example it would look like this:
Vod 1.25/1.55
The price to the left is the sell price (bid) and the price to the right is the buy price (offer). The difference between these two prices is the Spread so in this example the spread is 0.30.
When you trade shares with a traditional broker, or when exchanging currency to go on holiday you will also encounter a bid offer spread.
What is Margin? What is Financing?