Millions of people enjoy a flutter on horse racing. And some of those people – the lucky ones – make a few pounds from their winning bets.
But now another kind of betting is becoming more and more popular – betting on the financial markets. And it has one very important advantage over most other kinds of betting – because thousands, tens and even hundreds of thousands of pounds can be won!
The theory behind betting on the financial markets is very much the same as with horse racing. Your aim is simply to bet on the performance of the financial markets with a bookmaker. Other than that it is no more difficult to get started, and needs no more money, than horse race betting. If you can bet on the Grand National then you can get involved in financial betting – only you stand to win much, much more – and not just once a year but every day!
Is financial betting or spread betting gambling?:
It is gambling because the trader is not trading. He is taking, and the spread betting provider is accepting, a bet on which way the instrument is going to move. There is no possession, as in the case of buying a future for delivery on the exercise date. A spread betting company may put your bet into the purchase of a contract or, if it thinks that it is safe to do so, just hold your cash and keep it all himself if you lose or pay you back if you win.
I want to be clear that I use an spread betting firm, consider it as trading because it is close enough to make little difference to me, but I accept it for what it is. If you spreadbet sensibly and within your means, not becoming emotionally attached, then in my opinion it is only slightly more ‘gambling’ than trading shares ‘proper’.
Here are some more advantages of financial betting:
- You can do it all from home – part time. With financial betting you don’t even have to go to a bookmakers to get information and place bets. You can do it all from your home or office using the newspapers, Teletext or the Internet and a phone. You need very little time. Most financial traders devote just a few hours a week to financial betting.
- It’s cheap to bet. There is no commission and no other fees or charges to pay when you place a bet. The bookmaker pays the betting duty! So you get the full cash value of your bet.
- It’s tax free! All your winnings are currently paid totally free of any tax or other deductions. Because you don’t actually buy into the financial markets but only bet on them there is no stamp duty to pay.
- You can control the risk you take, by choosing whether to bet on risky markets or less risky markets. (The more risk you take the more you stand to make!)
- Careful study of form and techniques can really pay off. And, unlike horse race betting where information is kept ‘hush-hush’, there is masses of information available to help you make betting decisions, much of it free. In the financial markets insider trading is illegal, so you have access to exactly the same information as the big city traders!
- You can use credit effectively. Once you are well established you can effectively bet money that you do not actually have, and make large gains without having to produce your stake money up front. (But, remember, you can also lose money you do not have as the system also works in reverse.)
- You win both ways! You can win just as much by predicting that the financial markets will fall as you can if you predict that they rise. If you physically buy shares and they fall you can only lose – and no one wins anything by backing the loser in a horse race. But with financial betting you can even make a lot of money from a financial disaster!
To get started you do not need :
- Experience. Many people start in financial betting with no previous experience of the financial markets, or even any interest in them. You can pick up what you need to know as you go along, increasing your stakes as you become more skilled. Some people who are interested in horse race betting also find they are attracted to financial betting, but it’s not necessary to have any knowledge of that type of betting, as there are as many differences as there are similarities.
- Qualifications. Many of the most successful city traders are people without qualifications, often they don’t even have any GCSE’s. Knowing the right strategies and developing a ‘feel’ for the markets is more valuable than any paper qualification.
- Money. Because of the way in which you can use leverage in financial betting you don’t need a lot of money to make a lot of money. You can start with a stake as low as 50p or £1. (Although £5 is a more reasonable starting stake.)
- Equipment, or other overheads. There are no heavy front-end costs to stop you getting started in this opportunity. If you have a computer with access to the Internet then you’ll find it invaluable for collecting financial information – but it’s not essential. All the information you’ll need is available in magazines and newspapers which you can even get free. All you need to start trading is a telephone!
To get started you will need :
- Dedication. If you are going to make serious money from the financial markets then you must be dedicated to what you want to do. Once you have opened a trade you must follow its progress and see it through. With financial trading you can’t expect to sit back and hope ‘luck’ will be on your side.
- Commitment. While it is true that you can make a lot of money in a few days (or even a few hours) by betting on the financial markets your biggest and best rewards will come in the weeks and months ahead. So, and although it depends on the markets you actually choose to bet on, it is always best to take your time and plan for the long term.
- Information. Information is the key to success in financial betting. You need to know what’s happening where and how to use that information. In this manual we’re going to reveal how the financial markets work, what information you need to succeed and where to get it. I am also going to reveal little known techniques and strategies you can use to try and predict the performance of the financial markets …. techniques and strategies that are almost as good as having your own crystal ball!