Spread betting on commodity futures such as oil and gold with Cantor Index offers you the opportunity to bet these exciting and often volatile markets, from as little as £1 per unit movement.
Spread betting on commodities offers a number of advantages over other forms of dealing in commodities, including the ability to place bets significantly smaller than if you were to trade the underlying futures market. Spread betting also allows you the use of stop losses and limit orders to control your risk.
Cantor Index offers spread betting on an extensive range of commodities. The prices of some commodities can move very substantially, very quickly so it is very important that you know as much as possible about the commodity on which you are intending to bet.
The Cantor Index quote on the December Gold contract is 6004 - 6014 (quoted to $0.10).
Opening bet: You think that the price of gold will rise, so you buy £5 per point at the offer price of 6014.
Your prediction turns out to be correct as after some time the price of gold has increased, so you decide to close your bet.
The new Cantor Index quote is 6123 - 6133.
Closing bet: You sell £5 per point at the new bid price of 6123.
| Total profit = | (6123 - 6014) x £5 |
| 109 x £5 | |
| £545 |
However if the price of gold had fallen and our new quote was 5915 - 5925, you would have made a loss.
| Total loss = | (5915 - 6014) x £5 |
| -99 x £5 | |
| -£495 |
For information on our markets, including spread and NTR factor, please visit the Market Information Sheets
Spread bets are high-risk products; you need deposit only a small percentage of the value of the bet. However, your losses may substantially exceed that deposit very rapidly and thus require you to make additional deposits at short notice to maintain your bets. Spread bets are not suitable for all customers. Before betting, you should ensure you fully understand the risks and seek independent financial advice if necessary.
Cantor Index Limited is authorised and regulated by the Financial Services Authority, FSA register number 194414.
These products are not intended for people under the age of 18 or for US residents.
Our Customer service hours are 8.00am - 6.00pm, Mon - Fri.
Telephone: 020 7894 8050
Email: cs@cantorindex.co.uk