Please take a brief look, and understand why so many traders live in ‘quiet desperation’ to quote from Pink Floyd.
Number of CFD firms in the UK has doubled since 2010
It also shows that these companies hold around £3.5bn in clients money (and remember from the FCA’s analysis this morning it revealed around 82pc of investors lose money).
FCA Gets busy but is it misplaced?
Are CFDs So Awful?
Cash for Debt, sorry, Contracts for Difference require you to be right, they can be hugely leveraged and are very hard to make money with. In my opinion. So 18% of clients make money but you can probably think they are making 10% on their accounts, whereas the losers are getting smashed to bits, so 100%+ losses would not be untypical. Possibly. It’s such a tragedy that people get a tiny bit of knowledge and then think they are a ‘player’ in the markets, when it seems they are just cannon fodder. The sites make people think they are real players.(Like those casino advertisements)
A Level Playing field
It is hoped that options trading gives us more of a chance as we are trading probabilities not absolutes. Yes the market is traded by the smartest minds. Yes, the dumb money pays way too much for options. We have the inside track on an options value. Company reports mean little, you cannot buy a stock based on its latest results. The information is out of date. We can be up to the second with pricing an option by calculation. What happens in the stockmarket is a mystery that we don’t need to care about. Italy’s banking crisis was a big trading scam-the markets rose as they wanted to wrongfoot the slightly informed punter. Options give us control……and profits!
