Spread betting is a tax-free*, derivative financial trading instrument.
In simple terms, it’s a financial product that enables you to gain exposure to the global financial markets without physically owning the underlying asset – indices, cryptocurrencies or forex. In this way, it is very similar to a CFD product, however, it provides the trader with an extremely tax-efficient way to gain exposure to these financial markets.
Spread betting allows you to speculate on financial markets such as currencies, indices, or commodities and it gives you the freedom to go either long or short in that asset class. It allows you to speculate for example on whether a certain share might go up or down and you will profit according to the degree to which you are right.