PRODUCTS

The multi award-winning platform enables our clients to trade over 30,000 assets across a diverse range of investment tools including Shares, CFDs, Options, Corporate and Government Bonds, ETFs, Trusts, and FX.
Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
  • Creating a unique investment and/or trading strategy;
  • Informing of actionable ideas;
  • Proactive on-going monitoring of investments/trades;
  • Regular portfolio reviews
Our brokers and research team combine to provide specialist coverage of the UK stock market: FTSE 100, FTSE 250 and AIM.
Our coverage extends to all major stock markets: developed (Europe, US, Asia), emerging (BRICS) and developing (Africa).
 
 
 

PRODUCTS

The multi award-winning platform enables our clients to trade over 30,000 assets across a diverse range of investment tools including Shares, CFDs, Options, Corporate and Government Bonds, ETFs, Trusts, and FX.
Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
• Creating a unique investment and/or trading strategy;
• Informing of actionable ideas;
• Proactive on-going monitoring of investments/trades;
• Regular portfolio reviews
Our brokers and research team combine to provide specialist coverage of the UK stock market: FTSE 100, FTSE 250 and AIM.
Our coverage extends to all major stock markets: developed (Europe, US, Asia), emerging (BRICS) and developing (Africa).

Equities

The multi award-winning platform enables our clients to trade over 19,000 equities across multiple global exchanges.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable equity ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
 
Global reach
Select from over 19,000 equities on 36 global stock exchanges.
Wide range of markets
You can invest in developed, emerging and frontier markets.
Powerful tools
Our equity research tool offers independent, forward-looking estimates, analyst data and more, while the technical analysis tool give an overview of your stock’s movement and helps manage your strategy.
Stocks of collateral
Use your stock portfolio value as collateral to trade margined products such as CFDs, options and forex.
Global reach
Select from over 19,000 equities on 36 global stock exchanges.
Wide range of markets
You can invest in developed, emerging and frontier markets.
Powerful tools
Our equity research tool offers independent, forward-looking estimates, analyst data and more, while the technical analysis tool give an overview of your stock’s movement and helps manage your strategy.
Stocks of collateral
Use your stock portfolio value as collateral to trade margined products such as CFDs, options and forex.

CFDs

The multi award-winning platform enables our clients to trade over 10,000 CFD instruments, including singe stocks, indices and commodities, with access to Worldwide markets.

Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique trading strategy;
◦ Informing of actionable CFD ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
You can use CFDs to:
Broaden your portfolio: enabling you to invest in new asset classes or financial markets.
Protect your portfolio: enabling you to hedge your portfolio to offset any potential loss in the value of your physical investments.
CFDs have become an increasingly popular product amongst investors attracted by their many advantages. However, whilst margin means you can potentially magnify your investment returns, it can also lead to losses exceeding your initial deposit.
A CFD (Contract for Difference) is an agreement to exchange the difference in the value of a financial product from the time the contract is opened until the time at which it is closed. The difference in value is the contract for difference.
A CFD is a derivative product that has a value based on an underlying asset. Therefore, the investor never actually owns the underlying asset, but rather receives revenue based on the market price changes of that asset.
A CFD is a tradable instrument that mirrors the movements of the underlying asset. You can use CFDs to trade on live market price movements, allowing you to take a position on the future value of an asset, whether you think it will go up or down. CFDs are a margined product, which unlike traditional equities, means you only have to put down a small deposit of the total value of the investment.
CFDs are used to speculate on the future movement of market prices or as a risk management tool.
You can speculate on the future movement of an underlying asset/financial market, regardless of whether it is rising or falling. You can go long (buy), allowing you to potentially profit from rising prices, or short (sell), allowing you to potentially profit from falling prices.
As a risk management tool, you can sell short to hedge your portfolio and offset potential loss in the value of your physical investments.

CFDs

The multi award-winning platform enables our clients to trade over 10,000 CFD instruments, including singe stocks, indices and commodities, with access to Worldwide markets.

Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique trading strategy;
◦ Informing of actionable CFD ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
You can use CFDs to:
Broaden your portfolio: enabling you to invest in new asset classes or financial markets.
Protect your portfolio: enabling you to hedge your portfolio to offset any potential loss in the value of your physical investments.
CFDs have become an increasingly popular product amongst investors attracted by their many advantages. However, whilst margin means you can potentially magnify your investment returns, it can also lead to losses exceeding your initial deposit.
A CFD (Contract for Difference) is an agreement to exchange the difference in the value of a financial product from the time the contract is opened until the time at which it is closed. The difference in value is the contract for difference.
A CFD is a derivative product that has a value based on an underlying asset. Therefore, the investor never actually owns the underlying asset, but rather receives revenue based on the market price changes of that asset.
A CFD is a tradable instrument that mirrors the movements of the underlying asset. You can use CFDs to trade on live market price movements, allowing you to take a position on the future value of an asset, whether you think it will go up or down. CFDs are a margined product, which unlike traditional equities, means you only have to put down a small deposit of the total value of the investment.
CFDs are used to speculate on the future movement of market prices or as a risk management tool.
You can speculate on the future movement of an underlying asset/financial market, regardless of whether it is rising or falling. You can go long (buy), allowing you to potentially profit from rising prices, or short (sell), allowing you to potentially profit from falling prices.
As a risk management tool, you can sell short to hedge your portfolio and offset potential loss in the value of your physical investments.

Key Features of CFDs




Go long or short
You can go long (buy) a CFD, allowing you to profit from rising prices, or short (sell), allowing you to profit from falling prices. If you think a market is set to rise, you go long (buy) at the higher offer price. If you think the market is set to fall, you go short (sell) at the lower bid price.


Direct Market Access (DMA)
You can trade live prices by trading directly into the underlying order book of global exchanges. Your orders are sent straight to the exchange and you can trade inside the market spread. DMA also allows you to participate in opening and closing auctions.


24-hour access
Unrestricted view only access to your account 24 hours 7 days a week.


Fast execution
The multi-award winning online platform provides live prices and you can open and close positions at the click of a mouse.


Low commissions
Typically lower commission rates compared to traditional equities.


Suitable for short-term trading
CFD margin and their low cost attributes enable you to potentially capitalise on short-term market volatility.


Wide range of markets
You can trade CFDs on a huge range of markets, including: shares, indices, commodities, options, forex, interest rates and many more.


Professional risk management
Use stop losses, limit orders and contingent orders, such as ‘one cancels the other’ (OCO) and ‘if done’.


No fixed time period
CFDs don't have an expiry date so you can keep positions open as long as you want provided the margin requirement is met. Overnight funding charges apply.


Trade on margin
Meaning you only have to put down a small deposit of the total value of the investment.


No stamp duty
A CFD is a derivative product which has a value based on an underlying asset. Therefore, the investor never actually owns the underlying asset, which means there is no stamp duty to pay.


Tax efficient
Depending on your circumstances, you can use any losses you incur to offset against your capital gains tax (CGT) liabilities.

CFDs are a popular alternative to equities:

Feature CFD Trading Share dealing
Ability to go long - take advantage of rising prices Yes Yes
Ability to go short - take advantage of falling prices Yes
Ability to hedge - go short and mitigate against potential losses in your shares portfolio Yes
Free from Stamp Duty* Yes
Pay Capital Gains Tax* - CGT to be paid on profits Yes Yes
Leveraged trading - gain a large exposure for a fraction of the value Yes
Immediate dealing - instant trading both in and out of a market Yes Yes
Access to other asset classes - such as Indices, FX etc Yes
Access to global shares - trade over 12,000 different shares from around the world Yes Yes
Receive dividend and interest adjustments (Dividend is payable if short the CFD) Yes Yes
Physical ownership - benefits include the ability to attend AGMs Yes

Access a wide range of markets

Single stocks - Select from over 10,000 single stock CFDs across global markets.
Stock indices - Select from over 30 Index-tracking CFDs like FTSE 100, Dax 30, Dow Jones 30, S&P 500.
Commodities - Select from the most liquid commodity markets within energy, agriculture, metals, softs and emissions. You can get direct exposure to the underlying commodity with CFD benefits.
Options - Select from 280 of the most liquid CFD options on single stocks and indices.
Forex - Select from a broad range of major, minor and exotic CFD currency pairs in micro lots or market sizes.
Bonds - Select from over 7,000 government and corporate bonds.
ETFs & ETCs - Select from a vast and growing number of CFD exchange-traded funds (ETFs) and exchange-traded commodities (ETCs).
Charges
There are two types of charges on open CFD positions:
A percentage commission on the total monetary value of each opened and closed position.
A daily financing charge on open positions, which is applied at a pre-determined rate linked to LIBOR (London Interbank Offered Rate). You pay to finance long CFD positions and may receive funds on short CFD positions in lieu of deferring sale proceeds.

Other important factors of CFDs

Trade on margin and margin calls
There are two types of margin:
Initial margin (deposit) is fixed depending on the underlying product and overall perceived risk in the market at that time.
Variation margin is then 'marked to market' and is applied to open positions. It can either have a negative or positive effect on your overall cash balance, depending on whether the open CFD positions are in a loss-making or profitable position. The margin requirement must always be met. Failure to meet the margin requirement will lead to trades being forcibly closed.
Both the profit and loss and margin requirement is calculated constantly in real time and shown via your online platform. Because you only have to put down a small deposit of the total value of your investment, you must maintain the minimum margin level at all times. A margin call is made automatically when the amount of money you have deposited drops below the minimum margin level. You may need to cover this margin with additional capital otherwise you risk your open positions being liquidated.
Corporate actions on CFDs
The economic effect of a corporate action on the underlying asset is reflected in the CFD instrument and includes dividends, stock splits and rights issues. However, it doesn’t apply to non-economic corporate actions such as voting rights.
Dividend payments have an effect on the price of an underlying asset. The online platform provider takes this into account and will adjust your open position to reflect the corporate action. On the ex-dividend date when the economic effect is felt on the underlying asset: typically 90% of the dividend is paid on an open long CFD position and 100% of the dividend is deducted from an open short CFD position.

CFDs are a popular alternative to equities:

Feature CFD Trading Share dealing
Ability to go long - take advantage of rising prices Yes Yes
Ability to go short - take advantage of falling prices Yes
Ability to hedge - go short and mitigate against potential losses in your shares portfolio Yes
Free from Stamp Duty* Yes
Pay Capital Gains Tax* - CGT to be paid on profits Yes Yes
Leveraged trading - gain a large exposure for a fraction of the value Yes
Immediate dealing - instant trading both in and out of a market Yes Yes
Access to other asset classes - such as Indices, FX etc Yes
Access to global shares - trade over 12,000 different shares from around the world Yes Yes
Receive dividend and interest adjustments (Dividend is payable if short the CFD) Yes Yes
Physical ownership - benefits include the ability to attend AGMs Yes

Access a wide range of markets

Single stocks - Select from over 10,000 single stock CFDs across global markets.
Stock indices - Select from over 30 Index-tracking CFDs like FTSE 100, Dax 30, Dow Jones 30, S&P 500.
Commodities - Select from the most liquid commodity markets within energy, agriculture, metals, softs and emissions. You can get direct exposure to the underlying commodity with CFD benefits.
Options - Select from 280 of the most liquid CFD options on single stocks and indices.
Forex - Select from a broad range of major, minor and exotic CFD currency pairs in micro lots or market sizes.
Bonds - Select from over 7,000 government and corporate bonds.
ETFs & ETCs - Select from a vast and growing number of CFD exchange-traded funds (ETFs) and exchange-traded commodities (ETCs).
Charges
There are two types of charges on open CFD positions:
A percentage commission on the total monetary value of each opened and closed position.
A daily financing charge on open positions, which is applied at a pre-determined rate linked to LIBOR (London Interbank Offered Rate). You pay to finance long CFD positions and may receive funds on short CFD positions in lieu of deferring sale proceeds.

Other important factors of CFDs

Trade on margin and margin calls
There are two types of margin:
Initial margin (deposit) is fixed depending on the underlying product and overall perceived risk in the market at that time.
Variation margin is then 'marked to market' and is applied to open positions. It can either have a negative or positive effect on your overall cash balance, depending on whether the open CFD positions are in a loss-making or profitable position. The margin requirement must always be met. Failure to meet the margin requirement will lead to trades being forcibly closed.
Both the profit and loss and margin requirement is calculated constantly in real time and shown via your online platform. Because you only have to put down a small deposit of the total value of your investment, you must maintain the minimum margin level at all times. A margin call is made automatically when the amount of money you have deposited drops below the minimum margin level. You may need to cover this margin with additional capital otherwise you risk your open positions being liquidated.
Corporate actions on CFDs
The economic effect of a corporate action on the underlying asset is reflected in the CFD instrument and includes dividends, stock splits and rights issues. However, it doesn’t apply to non-economic corporate actions such as voting rights.
Dividend payments have an effect on the price of an underlying asset. The online platform provider takes this into account and will adjust your open position to reflect the corporate action. On the ex-dividend date when the economic effect is felt on the underlying asset: typically 90% of the dividend is paid on an open long CFD position and 100% of the dividend is deducted from an open short CFD position.

CFD Examples

Example 1: An Equity CFD trade

In this example we show an equity based CFD trade.
The share price of Barclays is 220. We believe that the share price will rise and so decide to take a long CFD position. The market price is 219.80 bid and 220.00 offered.

Buy 100 Barclays CFDs at offer price100 x 220.00 = £22,000.00
Margin deposit requirement (open position x margin %). In our example, Barclays CFD is 5% margin£22,000.00 x 0.05 = £1,100

Outcome A: winning trade

The next day Barclays share price has risen to 225.00. The market price is 224.80 bid and 225.00 offered. The trade has moved in our favour and we decide to close the position and take profit.

Sell 100 Barclays at bid price100 x 224.80 = £22,480.00
The position is now closed and so the margin requirement is now zero0
Gross profit is the difference between the value of the opening and closing positions£22,000.00 - £22,480.00 = £480.00
In summary, we have had to deposit £1,100 to cover margin on the trade and made a profit of £480.
The above example does not include commission and financing charges.


Outcome B: losing trade

The next day Barclays share price has fallen to 215.50. The market price is 215.20 bid and 215.50 offered. The trade has moved against us and we decide to close the position and take a loss.

Sell 100 Barclays at bid price100 x 215.20 = £21,520.00
The position is now closed and so the margin requirement is now zero0
Gross loss is the difference between the value of the opening and closing positions£22,000.00 - £21,520.00 = -£480.00
In summary, we have had to deposit £1,100 to cover margin on the trade and made a loss of £480.
The above example does not include commission and financing charges.

Example 2: An Index based CFD Trade on the FTSE 100 Index

In this example we show an index based CFD. The FTSE 100 Index is at 6199. We believe that the Index will go down and we decide to take a 'short' position. The market price is 6199 and 6200 offered.

Sell 10 CFDs at bid price (£10 per index point) 10 x 6199 = £61,990.00
Margin deposit requirement (open position x margin %). In our example, FTSE 100 CFD is 0.5% margin£61,990.00 x 0.005 = £309.95

Outcome A: winning trade

The next day the FTSE 100 has fallen to 6130. The market price is 6129 bid and 6130 offered. The trade has moved against us and we decide to close the position and take a loss.

Buy 10 FTSE 100 CFDs at offer price10 x 6130 = £61,300.00
The position is now closed and so the margin requirement is now zero£0
Gross profit is the difference between the value of the opening and closing positions£61,990.00 - £61,300.00 = £690.00
In summary, we have had to deposit £306.50 to cover margin on the trade and made a profit of £690.
The above example does not include dealing costs and financing charges.

Outcome B: losing trade

The next day the FTSE 100 has risen to 6268. The market price is 6267 bid and 6268 offered. The trade has moved in our favour and we decide to close the position and take a profit.

Buy 10 FTSE 100 CFDs at offer price10 x 6268 = £62,680.00
The position is now closed and so the margin requirement is now zero0
Gross loss is the difference between the value of the opening and closing positions£61,990.00 - £62,680.00 = -£690.00
In summary, we have had to deposit £306.50 to cover margin on the trade and made a loss of £690.
The above example does not include dealing costs and financing charges.

Extended Settlement Trading

Clients of Clear Capital Markets have the ability to purchase shares on an extended settlement basis. This facility is known as a T+20 transaction. T+20 transactions offer our Clients the ability to use the current value of their shares and cash on account as collateral. This allows them to purchase shares on “credit” for 20 business days, giving them the opportunity to profit from short term volatility or to hedge existing positions.
This extended settlement period means the shares do not need to be paid for until the 20th business day after the purchase. If the shares are sold before the end of the 20 business days, the resulting profit of loss will be credited or debited from the client account, on the 20th business day after the initial purchase. In certain instances the T+20 can be ‘rolled’ before settlement for a further 20 business days, however there is a charge to do so.
Risk Warnings
◦ If you buy a share on a T20 extended settlement, you will receive the shares today but not have to pay for them for 20 business days.
◦ If you do not have the funds available to settle a T20 transaction within 20 business days, the shares will need to be sold at settlement.
◦ If the sale price is lower than the purchase price, you will be responsible for any shortfall.
◦ If you close a T-20 transaction after just 2 days whether in profit or loss, the funds will not be settled into your account until day 20 regardless of closing the trade early.
◦ A roll of a T+20 will occur standard rate of commission charges, a small difference between the buying and selling price and also stamp duty where applicable.

Extended Settlement Trading

Clients of Clear Capital Markets have the ability to purchase shares on an extended settlement basis. This facility is known as a T+20 transaction. T+20 transactions offer our Clients the ability to use the current value of their shares and cash on account as collateral. This allows them to purchase shares on “credit” for 20 business days, giving them the opportunity to profit from short term volatility or to hedge existing positions.
This extended settlement period means the shares do not need to be paid for until the 20th business day after the purchase. If the shares are sold before the end of the 20 business days, the resulting profit of loss will be credited or debited from the client account, on the 20th business day after the initial purchase. In certain instances the T+20 can be ‘rolled’ before settlement for a further 20 business days, however there is a charge to do so.
Risk Warnings
◦ If you buy a share on a T20 extended settlement, you will receive the shares today but not have to pay for them for 20 business days.
◦ If you do not have the funds available to settle a T20 transaction within 20 business days, the shares will need to be sold at settlement.
◦ If the sale price is lower than the purchase price, you will be responsible for any shortfall.
◦ If you close a T-20 transaction after just 2 days whether in profit or loss, the funds will not be settled into your account until day 20 regardless of closing the trade early.
◦ A roll of a T+20 will occur standard rate of commission charges, a small difference between the buying and selling price and also stamp duty where applicable.

Options

The multi award-winning platform enables our clients to trade over 280 of the most liquid options on single stocks and indices.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique trading strategy;
◦ Informing of actionable option ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
You can use options to:
Broaden your portfolio: enabling you to invest in new asset classes or financial markets with limited risk.
Protect your portfolio: enabling you to hedge your portfolio to offset any potential loss in the value of your physical investments.
Options have become an increasingly popular product amongst investors attracted by their many advantages.
An option is a contract that gives the buyer (the holder) the right, but not the obligation, to buy (a call option) or sell (a put option) an underlying asset or financial market at a certain strike price, on or before a specified expiry date.
An option is a derivative product. It is a contract that has a value based on an underlying asset.
The option buyer has three choices: take up the option before the specified expiry date, let it expire and become worthless or trade out of the option at a profit or loss. The cost to buy the option is called the premium and represents the limited risk.
Options are used to speculate on the future value of an underlying asset/financial market or as a risk management tool.
You can speculate on the future movement of an underlying asset/financial market, regardless of whether it is rising or falling. You can buy a call option, allowing you to profit from rising prices, or buy a put option, allowing you to profit from falling prices. To succeed, you have to be correct in determining the direction of the underlying asset and both the magnitude and timeframe of the price move.
As a risk management tool, you can buy a put option to hedge your portfolio and offset any potential loss in the value of your physical investments.

Options

The multi award-winning platform enables our clients to trade over 280 of the most liquid options on single stocks and indices.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique trading strategy;
◦ Informing of actionable option ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
You can use options to:
Broaden your portfolio: enabling you to invest in new asset classes or financial markets with limited risk.
Protect your portfolio: enabling you to hedge your portfolio to offset any potential loss in the value of your physical investments.
Options have become an increasingly popular product amongst investors attracted by their many advantages.
An option is a contract that gives the buyer (the holder) the right, but not the obligation, to buy (a call option) or sell (a put option) an underlying asset or financial market at a certain strike price, on or before a specified expiry date.
An option is a derivative product. It is a contract that has a value based on an underlying asset.
The option buyer has three choices: take up the option before the specified expiry date, let it expire and become worthless or trade out of the option at a profit or loss. The cost to buy the option is called the premium and represents the limited risk.
Options are used to speculate on the future value of an underlying asset/financial market or as a risk management tool.
You can speculate on the future movement of an underlying asset/financial market, regardless of whether it is rising or falling. You can buy a call option, allowing you to profit from rising prices, or buy a put option, allowing you to profit from falling prices. To succeed, you have to be correct in determining the direction of the underlying asset and both the magnitude and timeframe of the price move.
As a risk management tool, you can buy a put option to hedge your portfolio and offset any potential loss in the value of your physical investments.

Key Features of Options




Go long or short
Buying a call option allows you to profit from rising prices, whilst buying a put option allows you to profit from falling prices.

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Live streaming prices
Trade on live streaming prices for full transparency.


24-hour access
Unrestricted view only access to your account 24 hours 7 days a week.


Fast execution
The multi-award winning online platform ensure live prices and you can open and close positions at the click of a mouse.


Low volume based commissions
The more you trade the lower the cost-per-trade.


Trade on volatility
Position yourself in rising, falling and sideways markets.


Suitable for short-term trading
Trade on margin and competitive premium cost enable you potentially capitalise on short-term market volatility.


Wide range of markets
You can trade options on a huge range of markets, including: shares, indices, commodities, forex, interest rates and many more.

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Time frames to suit you
Daily, weekly, quarterly options available.


Professional risk management
Use options to hedge against potential downside risk in both your current profitable position or in the value of your physical portfolio.


Trade on margin
Meaning you only have to put down a small deposit of the total value of the investment.


No stamp duty
An option is a derivative product which has a value based on an underlying asset. Therefore, the investor never actually owns the underlying asset, which means there is no stamp duty to pay.
 

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Option rights
The option holder doesn't have any rights associated with the underlying asset, such as voting or dividend rights.


Tax efficient
Depending on your circumstances, you can use any losses you incur to offset against your capital gains tax (CGT) liabilities. Please seek independent financial advice.
 

Access a wide range of markets

Daily or long-term:
i. Daily options
Daily options are options that expire at the close of the underlying market on the same day you place the trade.
A Daily FTSE 100 option opened at 10.00am will be closed at the official settlement time of the FTSE 100 at 16.30pm.
Daily options allow you to take a short-term view on the volatility and/or directional movement of the underlying market. By anticipating the underlying market will move substantially on a particular day, you can benefit regardless of the direction of the move.
ii. Long-term options
We offer a range of long-term option including weekly, monthly and quarterly.
Market options:
i. Share options
Select from a wide range of share options that give you exposure to changes in option share prices. They cannot be exercised by or against you, and therefore, will not result in the physical delivery of shares. We quote on a range of share options across the UK, US and European markets, including FTSE 100 shares and a selection of leading US shares. A stock option contract represents 100 shares of the underlying share.
ii. Stock index options
Select from a wide range of options based on leading stock indices, including daily options on both the FTSE 100 and EUR/GBP.
iii. Forex options
Select from a wide range of daily options on the majority of the most popular forex pairs. We offer call and put options on USD/JPY, EUR/USD, GBP/USD, USD/CHF and EUR/GBP. Options expire at 2pm Chicago time based on the spot rate.

Access a wide range of markets

Daily or long-term:
i. Daily options
Daily options are options that expire at the close of the underlying market on the same day you place the trade.
A Daily FTSE 100 option opened at 10.00am will be closed at the official settlement time of the FTSE 100 at 16.30pm.
Daily options allow you to take a short-term view on the volatility and/or directional movement of the underlying market. By anticipating the underlying market will move substantially on a particular day, you can benefit regardless of the direction of the move.
ii. Long-term options
We offer a range of long-term option including weekly, monthly and quarterly.
Market options:
i. Share options
Select from a wide range of share options that give you exposure to changes in option share prices. They cannot be exercised by or against you, and therefore, will not result in the physical delivery of shares. We quote on a range of share options across the UK, US and European markets, including FTSE 100 shares and a selection of leading US shares. A stock option contract represents 100 shares of the underlying share.
ii. Stock index options
Select from a wide range of options based on leading stock indices, including daily options on both the FTSE 100 and EUR/GBP.
iii. Forex options
Select from a wide range of daily options on the majority of the most popular forex pairs. We offer call and put options on USD/JPY, EUR/USD, GBP/USD, USD/CHF and EUR/GBP. Options expire at 2pm Chicago time based on the spot rate.

Options Examples

Example 1: Buying a CALL option

Barclays is trading at 300p a share. Mr Smith feels it is undervalued here and would like to get some long exposure with limited risk. He wants to buy 5000 shares in Barclays with limited risk so decides to buy 5 contacts of the At The Money, front month X300 CALL options for a premium of 10p. Total premium paid is £500 (5000 x 10p).

Possible Outcomes

Outcome A:
Barclays issues an extreme profits warning and the share price falls to 200p. At expiry Barclays is trading lower than the strike price so Mr Smith discards the option losing the total premium paid. Total loss £500.


Outcome B:
A major US bank comes in with a takeover offer for Barclays and the share prices rockets to 400p. At expiry Mr Smith has the right to buy Barclays for 300p so will exercise the option. Mr Smith now takes delivery of the shares paying 300p for them and sells them in the open market for 400p giving a total profit of: 400p (current price) - 300p (strike price) - 10p (premium) = 90p. 90p x 5000 = £4500.


Outcome C:
Barclays has a quiet month and at expiry is trading at 307p. Mr Smith will still exercise the option as it is in the money but not cleared the premium paid. Mr Smith takes delivery of the shares paying 300p and sells in the market for 307p giving a total loss of: 300p (strike price) + 10p (premium) = 310p paid. 310p - 307p = 3p. 3p x 5000 = £150 total loss.


Outcome D:
Barclays shares move up to 330p and Mr Smith feels they will not go any further so decides to close the option out. The options premium has increased to 38p as it now has 30p intrinsic value but slightly less time value. Mr Smith closes the option and realises a profit of: 38p - 10p (premium) = 28p. 28p x 5000 = £1400. Options on CFDs will be cash settled as shares are not deliverable.

The information given is for European style options.

The above example does not include dealing costs.
Example 2: Buying a PUT option

Barclays is trading at 300p a share. Mr Jones feels it is overvalued here and would like to get some short exposure with limited risk. He wants to short 5000 shares in Barclays with limited risk so decides to buy 5 contacts of the At The Money front month X300 PUT options for a premium of 10p. Total premium paid is £500 (5000 x 10p).

Possible Outcomes

Outcome A:
Barclays issues an extreme profits warning and the share price falls to 200p. At expiry Barclays is trading lower than the strike price so Mr Jones will exercise the option. Mr Jones has the right to sell Barclays at 300 and can buy them back at 200p giving a profit of: 300p (strike) - 10p (premium) - 200p (current price) = 90p. 90p x 5000 = £4500.


Outcome B:
A major US bank comes in with a takeover offer for Barclays and the share prices rockets to 450p. At expiry the option will be out the money so Mr Jones discards the option losing the total premium paid. Total loss £500.


Outcome C:
Barclays has a quiet month and at expiry is trading at 293p. Mr Jones will still exercise the option as it is in the money but not cleared the premium paid. Mr Jones has the right to sell Barclays at 300p and can buy them back at 293p giving a loss of: 300p (strike) - 293 (current price) = 7p. 10p (premium) - 7p = 3p. 3p x 5000 = £150 total loss.


Outcome D:
Barclays shares move down to 270p and Mr Jones feels they will not go any further so decides to close the option out. The options premium has increased to 38p as it now has 30p intrinsic value but slightly less time value. Mr Jones closes the option and realises a profit of: 38p - 10p (premium) = 28p. 28p x 5000 = £1400.
Options on CFDs will be cash settled as shares are not deliverable.

The information given is for European style options.

The above example does not include dealing costs.
 

Bonds

The multi award-winning platform enables our clients to trade on live prices for full transparency with actual trading occurring off exchange.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable bond ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews

Bonds

The multi award-winning platform enables our clients to trade on live prices for full transparency with actual trading occurring off exchange.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable bond ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
 
A bond is a debt security issued by governments, municipals and companies to raise funds.

An investor is the bondholder and based on the terms of the bond will typically receive an interest payment (coupon) from the bond issuer at fixed intervals (annual, semiannual or monthly) over the life of the bond and repayment of the amount borrowed (principle) at the end of the loan period (maturity).
The bondholder can sell the bond before the maturity date and receive both the market price of the bond and accrued interest up to the time of sale.

Bonds are mostly traded over the counter (OTC) with our platform providers acting as counterpart. Only specific bonds are publically traded with bid & offer prices.
A bond is a debt security issued by governments, municipals and companies to raise funds.

An investor is the bondholder and based on the terms of the bond will typically receive an interest payment (coupon) from the bond issuer at fixed intervals (annual, semiannual or monthly) over the life of the bond and repayment of the amount borrowed (principle) at the end of the loan period (maturity).
The bondholder can sell the bond before the maturity date and receive both the market price of the bond and accrued interest up to the time of sale.

Bonds are mostly traded over the counter (OTC) with our platform providers acting as counterpart. Only specific bonds are publically traded with bid & offer prices.
Global reach
Select from over 7,000 bonds from 26 countries and in 21 different currencies.
Wide range of markets
You can invest in a wide range of sovereign, government and corporate bonds including emerging markets and frontier regions.
Trading desk access
With bonds traded off-exchange you have direct access to our trading desk.
Bonds of collateral
Use up to 95% of your bonds value as collateral to trade margined products such as CFDs, options and forex.
Global reach
Select from over 7,000 bonds from 26 countries and in 21 different currencies.
Wide range of markets
You can invest in a wide range of sovereign, government and corporate bonds including emerging markets and frontier regions.
Trading desk access
With bonds traded off-exchange you have direct access to our trading desk.
Bonds of collateral
Use up to 95% of your bonds value as collateral to trade margined products such as CFDs, options and forex.

ETFs/ETCs

The multi award-winning platform enables our clients to trade over 5,000 ETFs & ETCs across multiple global exchanges.

Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable ETF & ETC ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
An ETF (Exchange Traded Fund) is an investment product traded on stock exchanges similar to equities and experience price changes throughout the trading day.
These funds consist of a selection or ‘basket’ of related assets designed to track the performance of an entire index, geographical market, industry sector, commodity, bond or currency.
The investment fund owns the underlying assets in proportion to their weighting and trades close to its net asset value. It divides ownership of those assets into shares and shareholders are entitled to a proportion of the funds profits, such as earned interest or dividends paid.
An ETC (Exchange Traded Commodity) is a variation on the ETF. They are an investment vehicle that tracks the performance of an underlying commodity or basket of commodities i.e. energy, precious metals, softs and agricultural products.

ETFs/ETCs

The multi award-winning platform enables our clients to trade over 5,000 ETFs & ETCs across multiple global exchanges.

Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable ETF & ETC ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
An ETF (Exchange Traded Fund) is an investment product traded on stock exchanges similar to equities and experience price changes throughout the trading day.
These funds consist of a selection or ‘basket’ of related assets designed to track the performance of an entire index, geographical market, industry sector, commodity, bond or currency.
The investment fund owns the underlying assets in proportion to their weighting and trades close to its net asset value. It divides ownership of those assets into shares and shareholders are entitled to a proportion of the funds profits, such as earned interest or dividends paid.
An ETC (Exchange Traded Commodity) is a variation on the ETF. They are an investment vehicle that tracks the performance of an underlying commodity or basket of commodities i.e. energy, precious metals, softs and agricultural products.

Key Features of ETFs




Low cost structure
ETFs are passively managed by tracking an index meaning fewer transaction costs, low management fees and no stamp duty.


Efficient portfolio diversification and risk management
Get a balanced portfolio with a basket of diversified securities through a single product and gain underlying exposure to a variety of asset types such as stocks, bonds, indices, commodities, forex.


Better market access
Get direct access to markets, regions, sectors and asset types that are otherwise hard to reach through individual securities.


Simplicity
Create a portfolio via a single transaction compared to several trades in individual equities.


Increased transparency
See the individual instruments your ETF holds. ETFs also trade on public stock exchanges, so you can track their performance and trade throughout the trading day.


Alternative to mutual funds
ETFs typically have higher daily liquidity and both lower fees and capital gains tax liabilities than mutual funds.


Established and fast-growing market
Join a mainstream industry with over $3 trillion of assets under management.


Tax efficient
ETFs are structured for tax efficiency so investors only realize potential capital gains tax when they sell. ETFs can be shielded from capital gains tax by placing them in a SIPP or ISA account.
 


Trade on margin
Leveraged ETFs utilize derivatives meaning you only have to put down a small deposit of the total value of the investment e.g. a 2X gold ETF would gain 2% for every 1% gain in the price of gold. It would also lose 2% for every 1% move in gold.


Go long or short
Inverse ETFs track the opposite return of that of the underlying asset allowing you to profit from falling prices e.g. an inverse gold ETF would gain 1% for every 1% fall in the price of gold.


Suitable for short-term trading
Their low cost structure and ability to trade on margin enable you to potentially capitalise on short-term market volatility.

ETF Examples

By the end of 2015, ETFs offered over 1,800 different products, covering almost every conceivable market, region, sector, asset type and trading strategy. For a list of the most popularly traded ETFs, please click here.

Forex

The multi award-winning platform enables our clients to trade a broad range of major, minor and exotic currency pairs in micro lots or market sizes.

Our personal service ensures that each client is assigned his or her own broker regardless of the bespoke service they choose.
Our dedicated brokers are on hand to help guide our clients every step of the way from:
◦ Creating a unique investment and/or trading strategy;
◦ Informing of actionable forex ideas;
◦ Proactive on-going monitoring of open positions;
◦ Regular portfolio reviews
 
Forex (FX or foreign exchange) involves simultaneously exchanging of one currency for another at current or determined prices.

The forex market is a global decentralized marketplace with no physical location and currencies are traded over-the-counter (OTC) worldwide amongst the major financial centers by a global network of banks, dealers and brokers.
It provides an important function for a range of parties: central banks, governments, corporates and individuals. It facilitates international trade and investment by allowing companies that earn money in one currency to pay for goods and services in another.

Currency prices are constantly fluctuating in value against each other due to various economic and political factors: interest rates, inflation, government policy, employment figures and demand for imports and exports.
Forex (FX or foreign exchange) involves simultaneously exchanging of one currency for another at current or determined prices.

The forex market is a global decentralized marketplace with no physical location and currencies are traded over-the-counter (OTC) worldwide amongst the major financial centers by a global network of banks, dealers and brokers.
It provides an important function for a range of parties: central banks, governments, corporates and individuals. It facilitates international trade and investment by allowing companies that earn money in one currency to pay for goods and services in another.

Currency prices are constantly fluctuating in value against each other due to various economic and political factors: interest rates, inflation, government policy, employment figures and demand for imports and exports.

Key Features of Forex




Why trade forex?
Forex trading enables you to actively speculate on the relative strength of one currency against another. You can potentially profit by actively speculating on which way prices are likely to move in the future.


Go long or short
You can go long (buy) or short (sell) in the forex markets. For example, you can buy euros and simultaneously sell US dollars if you think the euro is destined to increase in value against the US dollar, and visa versa.


Wide range of markets
Trade a broad range of majors, minors and exotic currency pairs in micro lots or in market sizes.


24 hour trading
Open 24 hours a day from Monday to Friday.


Large liquidity
The largest financial market with daily cumulative cash values in excess of US$5.5 trillion per day providing deep liquidity and tight spreads.


Ease of access
The large number of participants and cumulative quantity of currency traded means it’s a very easy market for anyone to access.


Trade on margin
Meaning you only have to put down a small deposit of the total value of the investment.


Suitable for short-term trading
Trade on margin and with low spreads enables you to capitalize on short-term market volatility.


No stamp duty
Forex CFDs mean there is no stamp duty to pay.

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Direct Market Access (DMA)
Full market transparency and trade live prices.


Low spreads
Spreads from 0.8 points on major FX pairs.


Low volume based commissions
The more you trade the lower the cost-per-trade.
 


Sharp execution
The multi-award winning online platform ensures your trades are filled with optimal accuracy and low slippage.


Risk management
Monitor the live exposure of all your assets through our online platform. The sophisticated risk management tools give you an overview of your trading potential by displaying your margin utilization, profits/losses and more in real time.


Multiple order types
Implement your unique trading strategies with access to both simple and more advanced order types. Combine orders such as: market, limit, stop or trailing stop with OCO (one-cancels-the-other) and ‘if done’ capabilities and various order placement requirements.
Currency pairs
Major currency pairs are the most popular currency pairs such as EUR/USD, USD/JPY and GBP/USD. GBP/USD is known as 'cable' in reference to the transatlantic telegraph cable that originally transmitted the exchange rate.
Minor currency pairs are less popular currency pairs and usually contain the euro (EUR), sterling (GBP) or the Japanese yen (JPY). They are also known as cross-currency pairs or currency crosses.
Exotic currency pairs are pairs containing one major currency with a currency from a small or emerging economy. For example, USD/MXN (US dollar and Mexican peso) or EUR/PLN (euro and Polish zloty).
Regional currency pairs set currencies from their respective regions against one another or pair them with other global currencies. For example, Australasian pairs and Scandinavian pairs.
Trade structure
Forex prices are quoted in currency pairs because you are effectively buying one currency while selling the other.
Each currency in the pair is quoted by a three-letter currency code i.e. EUR/USD (euro against the US dollar) or USD/GBP (the US dollar against sterling).
The first currency listed is labeled the base currency or primary currency.
The second currency listed is labeled the quote currency or counter currency.
A forex price indicates how much one unit of the base currency will buy of the quote currency.
E.g.
EUR/USD = 1.11679 means one euro is worth 1.11679 dollars.
If you bought one euro you would have to sell 1.11679 dollars.
If you sold one euro you would receive 1.11679 dollars.
Forex
Forex quotes have two prices: a selling price (bid price) and a buying price (offer price). The spread is the difference between the two prices that represents the broker fee. The bid price is the price at which you sell one unit of the base currency. The offer price is the price you pay to buy one unit of the base currency.
Using the example quote on the left for EUR/USD:
The bid price is the amount you would receive in dollars (1.11679) for selling each euro. It represents the maximum price the broker would be willing to pay for euros in return for selling US dollars.
The offer price of 1.11699 dollars is the amount of US dollars you would pay to buy each euro. It represents the minimum price the broker would be willing to sell euros in return for buying US dollars.
Forex price movements are triggered by currencies either appreciating in value (strengthening) or depreciating in value (weakening). For example, the price of EUR/USD falling would indicate the base currency (Euros) was depreciating and the quote currency (US dollars) was appreciating.
When trading forex prices you:
Buy a currency pair if you believed the base currency will appreciate (strengthen) in value against the quote currency.
Sell a currency pair if you believed the base currency will depreciate (weaken) in value against the quote currency.
Pips (percentage in points)
Forex price movements are measured in points and most currency pairs are quoted to 5 decimal places with the 4th decimal place referred to as a ‘pip’. E.g. A EUR/USD pair price movement from 1.43551 to 1.43561 means it has climbed by 1 pip (6-5).
Yen-based currency pairs are an exception and are displayed to 2 decimal places.
Currency pairs
Major currency pairs are the most popular currency pairs such as EUR/USD, USD/JPY and GBP/USD. GBP/USD is known as 'cable' in reference to the transatlantic telegraph cable that originally transmitted the exchange rate.
Minor currency pairs are less popular currency pairs and usually contain the euro (EUR), sterling (GBP) or the Japanese yen (JPY). They are also known as cross-currency pairs or currency crosses.
Exotic currency pairs are pairs containing one major currency with a currency from a small or emerging economy. For example, USD/MXN (US dollar and Mexican peso) or EUR/PLN (euro and Polish zloty).
Regional currency pairs set currencies from their respective regions against one another or pair them with other global currencies. For example, Australasian pairs and Scandinavian pairs.
Trade structure
Forex prices are quoted in currency pairs because you are effectively buying one currency while selling the other.
Each currency in the pair is quoted by a three-letter currency code i.e. EUR/USD (euro against the US dollar) or USD/GBP (the US dollar against sterling).
The first currency listed is labeled the base currency or primary currency.
The second currency listed is labeled the quote currency or counter currency.
A forex price indicates how much one unit of the base currency will buy of the quote currency.
E.g.
EUR/USD = 1.11679 means one euro is worth 1.11679 dollars.
If you bought one euro you would have to sell 1.11679 dollars.
If you sold one euro you would receive 1.11679 dollars.
Forex
Forex quotes have two prices: a selling price (bid price) and a buying price (offer price). The spread is the difference between the two prices that represents the broker fee. The bid price is the price at which you sell one unit of the base currency. The offer price is the price you pay to buy one unit of the base currency.
Using the example quote on the left for EUR/USD:
The bid price is the amount you would receive in dollars (1.11679) for selling each euro. It represents the maximum price the broker would be willing to pay for euros in return for selling US dollars.
The offer price of 1.11699 dollars is the amount of US dollars you would pay to buy each euro. It represents the minimum price the broker would be willing to sell euros in return for buying US dollars.
Forex price movements are triggered by currencies either appreciating in value (strengthening) or depreciating in value (weakening). For example, the price of EUR/USD falling would indicate the base currency (Euros) was depreciating and the quote currency (US dollars) was appreciating.
When trading forex prices you:
Buy a currency pair if you believed the base currency will appreciate (strengthen) in value against the quote currency.
Sell a currency pair if you believed the base currency will depreciate (weaken) in value against the quote currency.
Pips (percentage in points)
Forex price movements are measured in points and most currency pairs are quoted to 5 decimal places with the 4th decimal place referred to as a ‘pip’. E.g. A EUR/USD pair price movement from 1.43551 to 1.43561 means it has climbed by 1 pip (6-5).
Yen-based currency pairs are an exception and are displayed to 2 decimal places.

Forex Examples

Example 1: Buying EUR/GBP

EUR/GBP is trading at 0.84950/0.84960

We believe the price of EUR/GBP will appreciate (rise) and so decide to buy €100,000.
The margin deposit requirement is the total value of the position multiplied by the margin rate of 0.2%.
i.e. ((0.2% x (€100,000 x 0.84955)) = €169.90


Outcome A: winning trade
The price rises to 0.84390/0.85540. We decide to close the long trade by selling at 0.85530.
The price has moved 57 points (0.85530/0.84960) in our favour.
Our profit is ((€100,000 x 0.85530) – €100,000 x 0.84960)) = €570


Outcome B: losing trade
The price falls to 0.84390/0.84400. We decide to close the long trade by selling at 0.84390.
The price has moved 57 points (0.84960/0.84390) against us.
Our loss is ((€100,000 x 0.84960) – €100,000 x 0.84390)) = €570

Example 2: Selling EUR/GBP

EUR/GBP is trading at 0.84950/0.84960

We believe the price of EUR/GBP will depreciate (fall) and so decide to sell €100,000.
The margin deposit requirement is the total value of the position multiplied by the margin rate of 0.2%.
i.e. (0.2% x (€100,000 x 0.84950)) = €169.90


Outcome A: winning trade
The price falls to 0.84450/0.84460. We decide to close the short trade by buying at 0.84460.
The price has moved 49 points (0.84950/0.84460) in our favour.
Our profit is ((€100,000 x 0.84950) – €100,000 x 0.84460)) = €490


Outcome B: losing trade
The price rises to 0.885430/0.85440. We decide to close the short trade by buying at 0.85440.
The price has moved 49 points (0.84950/0.85440) against us.
Our loss is ((€100,000 x 0.84950) – €100,000 x 0.85440)) = €490


Holding costs
If we hold our position past 10pm UK time our account will be debited or credited at the prevailing holding rate.
If we have bought a high yielding currency, then we will generally receive interest.
If we have bought a low yielding currency, then we will generally be charged interest.

The above examples do not include dealing costs.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 70% and 80% of Retail investor accounts lose money when trading CFDs on average with our platform providers. You should consider whether you understand how CFDs, FX or any of our other products work and whether you can afford to take the high risk of losing your money. Find out more.

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