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Marginal
Trading > This page
The Intelligent Way to Trade Shares
Margin trading facilities are currently available
for the top 350 UK shares, over 500 leading US shares and several hundred
major European shares. Margin trading has substantial advantages over
normal share dealing:
Gearing
You can take a position in a stock without having to put up the full contract
value. Instead, you put up a margin deposit as collateral. The margin
is normally around 10% of the contract value.
The ability to go
short
You can go long or short of any share that we quote. Other methods of
shorting stock are usually inconvenient and expensive.
Low transaction costs
There is no commission or stamp duty to pay. The only charge is our dealing
spread.
Small minimum deal sizes
The minimum contract value for a margin trade is only £10,000.
Immediate dealing
We quote you a price and you can deal immediately; there is no irritating
wait for an execution.
Risk Warning:
Margin Trades carry a high level of risk to your capital. Only speculate
with money you can afford to lose. Margin Trading may not be suitable
for all investors, so ensure that you fully understand the risks involved,
and seek independent advice if necessary.
Recommended further reading:
Introduction
to Marginal Account
Margin: Borrowing money to pay for
stocks
Debit Balance and Margin
Interest Rates
Margin Requirements
Margin account - diversified
portfolio
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