Frequently Asked Questions

Use the collapsible menus below to find the answers to any questions you may have.

Apply for an Account
- How do I apply for an account?
  Accounts are subject to status, but to apply for an account, please complete our online application form. This can be found as a link on the home page (Apply for an account). This should take no more than 10 minutes. You will be asked to select the type of currency you wish to trade in, so be sure that you select the currency you require. We then conduct an electronic check to confirm your identity and address.
  
  If we are unable to electronically confirm your identity and address, we will require documentation in order to activate your account. If this is the case or if we require any additional information, we will send you an email with details of what we require.
- What type of account can I have?
  Capital Spreads offer deposit accounts, which means that you can begin betting once you have deposited funds into your account.
  
  If you would like to hold an account in another currency (Sterling/US Dollar/Euro) or if you are interested in holding a corporate account, please contact our customer support team: support@capitalspreads.com or +44 (0)20 7456 7020 .
- Can somebody else trade on my account?
  Yes, you can nominate a family member or friend by completing a Power of Attorney form. Click here to download the Power of Attorney form.
- Can I recommend a friend?
  
  If you have a friend that is interested in opening a Capital Spreads account we can offer you both a cash reward for the introduction. Once your friend's account has been opened and the terms and conditions below have been met, we will credit both accounts. Please contact us to claim your reward!
  
  Please note the following about our Refer a Friend scheme:
  
  1. To qualify for the Refer a Friend offer you must be a registered account holder of Capital Spreads.
  
  2. You must have an existing personal/business relationship with the person you would like to refer and it is your understanding that they would be interested in receiving information about products provided by London Capital Group (LCG).
  
  3. The referred friend must be a new user to Capital Spreads (not having previously held a Capital Spreads or other London Capital Group account) Accounts are opened subject to status, not all applicants will be successful in their application.
  
  4. To qualify for the offer £250 must be deposited and five opening non equity trades must be made (for each referral) before receiving £100 credit to your spread betting account. Your friend must also deposit £250 and make at least five opening non equity trades.
  
  5. The £100 cannot be withdrawn from the account for 3 months. The £100 can be used to offset debt to LCG however LCG will not be able to action a refund where the account balance is below the £100 credit. We will not be liable for any losses of more than £100 that you may incur as a result of trading with the £100.
  
  6. The referral credit must be claimed within 1 month of the friend's account being activated.
  
  7. Referrals to London Capital Group are limited to a maximum of 5 per live account holder and can only be used once when referring a friend to Capital Spreads. This means that if you have referred a friend to one LCG account, you cannot refer the same person again on another LCG account. If you would like to refer more friends please contact our Marketing Department to discuss a Marketing Agent Agreement marketing@capitalspreads.com.
  
  8. Capital Spreads reserve the right to exclude you from this scheme if we believe you have tried to benefit from fraudulent activities or bets not made in good faith of the offer. Capital Spreads are not obliged to provide a reason for such exclusion.
  
  9. Capital Spreads reserve the right to withdraw this promotion at any time.
  
  10. You cannot refer yourself, a family member or a member of the same household.
  
  11. This offer is not open to employees of Capital Spreads or employees of any other company engaged in direct competition with Capital Spreads.
  
  12. This offer cannot be used in conjunction with any other account opening offer.
  
  13. Once this has been completed you and your friend must email support@capitalspreads.com in order to claim your £100.
- What are Limited Risk Accounts?
  
  At Capital Spreads we want to help minimise the risks of trading. We have therefore designed an account where all your positions will have an associated Guaranteed Stop Order attached to them. This means that, should the market move against you, we will guarantee to close all your positions at a pre-specified exact point. In other words, for every trade you open with a Limited Risk Account you must specify a guaranteed stop to cover the maximum possible loss on that trade. This way you cannot lose more than you have initially invested.
  
  Depending on your level of experience and financial situation you may be steered towards this account when you apply. Once you have gained some experience you are welcome to contact Customer Support to request to swap your account to a standard account. This means you will have the option of placing Guaranteed Stop Orders if you wish but these will not be mandatory.
  
  As mandatory Guaranteed Stop Orders are essentially a form of insurance against market gaps, they come at a small cost. This will be a premium that will be debited from your account when you place a trade. You should also note that by opting for a Limited Risk Account your Stop will need to be placed further away from your entry level than if you selected a standard account where Guaranteed Stop Orders are not mandatory. Please also be aware that you will not be able to amend orders or place any new orders with guaranteed stops outside of our market hours.
  
  Details of the premiums and minimum distances can be found by clicking on the "I" button on the trade ticket which will take you to the Market Information sheet.

Funding Your Account

How much do I need to deposit?
We do not require you to deposit funds into your account until you wish to trade.

To calculate the minimum deposit required to open a trade, you will need to review the Minimum IMR information, which can be found on the Market Information ticket linked to each product. Please look at the Managing Account section of this document for more specific details on how to calculate your minimum deposit or refer to the online User Manual.

You can credit your account in a variety of ways which are detailed below. Please note that due to money laundering regulations enforced by the Financial Services Authority, we are unable to accept funds from any other source than the account holders own funds.

Deposit money by Debit/Credit card

You can deposit funds securely online or by telephone using a debit or credit card. There is a 2% charge for payments made by credit card. If you did not register a card when you opened your account, you can do so by clicking the Credit My Account button and then Add Card. Alternatively, you can call the Customer Support team on +44 (0)20 7456 7020 .

We accept all major debit and credit cards. We do not accept American Express and some International visa Electron cards.

As a credit card customer you should be aware of changes to the way some credit card companies charge for online betting transactions. Gambling transactions, which have until now been treated in the same way as any other purchase, will be treated as cash advances by some credit card companies. Cash advances are usually subject to a higher rate of interest than standard transactions, so you should check the terms and conditions of your card carefully

Registering your card details

If you enter your card details for the first time but do not make a payment, a pre-authorisation service will temporarily take 0.01p from your bank account and only appear on your bank account for a short time before dropping off. This amount will never actually be removed from your bank.

After you have registered your card once, you will not need to re-register this card unless your card expires or it is inactive for over 12 months.

Deposit money via Bank Transfer

You can deposit funds directly into our bank account by making a bank transfer from a bank account in your name. Please ensure you use your full name and Capital Spreads account number as a reference. Due to money laundering regulations, we cannot accept cash deposited into our bank account. Any funds credited in this way will not be added to your account and could result in significant delays on any refund. Please be aware that large deposits of cash into our accounts by any client may generate an enquiry to the relevant authorities.

Some international transfers will incur a fee charged by your bank or ours. Any charges will come out of the amount that you transfer and therefore we will only credit your spread betting account with the funds that we receive. We cannot be held accountable for any bank charges.

Our bank accounts are held at Barclays Bank, 1 Churchill Place, London, E14 5HP. The details of our bank accounts are below:

To make a Deposit

All Currencies share the following details:
Account Name: London Capital Group T/as Capital Spreads
Swift Code: BARCGB22
Sort Code: 20-77-67

Please check the grid below for the relevant account number and IBAN.

Deposit Currency	Account Number:	IBAN:
Sterling	70721778	GB40 BARC 2077 6770 7217 78
Euros	69703833	GB90 BARC 2077 6769 7038 33
US Dollars	75872800	GB76 BARC 2077 6775 8728 00
Norwegian Kroner	56768744	GB60 BARC 2077 6756 7687 44
Swedish Kroner	53132388	GB18 BARC 2077 6753 1323 88
Danish Kroner	47496022	GB55 BARC 2077 6747 4960 22
South African Rand	62405000	GB83 BARC 2077 6762 4050 00
Australian Dollars	56768633	GB50 BARC 2077 6756 7686 33
Hong Kong Dollars	53132299	GB93 BARC 2077 6753 1322 99

Deposit Funds via cheque

Please make your cheque payable to London Capital Group and send it to 2nd floor, 6 Devonshire Square, London, EC2M 4AB. We will not credit your account until your cheque has cleared. This usually takes 5 working days.

Unfortunately, we cannot accept banker’s drafts. If you are going to deposit funds using a building society cheque and it does not have your name on the cheque, we will need to see a receipt stamped by the building society to say that the money from that cheque came from an account in your name.

Cheques drawn on a bank outside of the UK can take up to 4-6 weeks to clear. Any commission charged by our bank, or yours, for processing an international cheque will come directly out of the funds from the cheque deposited and therefore only the funds credited to our bank account will be credited to your spread betting account.

Deposit money by debit/credit card
You can deposit funds securely online or by telephone using a debit or credit card. There is a 2% charge for payments made by credit card. If you did not register a card when you opened your account, you can do so in the Payments section of the trading platform. Click on the Credit My Account button, then Continue and then Add Card. Alternatively, you can call the Customer Support team on +44 (0)20 7456 7020 .

We accept all major debit and credit cards. We do not accept American Express and some International visa Electron cards.

As a credit card customer you should be aware of changes to the way some credit card companies charge for online trading transactions. Gambling transactions, which have until now been treated in the same way as any other purchase, will be treated as cash advances by some credit card companies. Cash advances are usually subject to a higher rate of interest than standard transactions, so you should check the terms and conditions of your card carefully.
Registering your card details

If you enter your card details for the first time but do not make a payment, a pre-authorisation service will temporarily take 0.01p from your bank account and only appear on your bank account for a short time before dropping off. This amount will never actually be removed from your bank.

After you have registered your card once, you will not need to re-register this card unless your card expires or it is inactive for over 12 months.

Deposit money via bank transfer

Our bank accounts are held at Barclays Bank, 1 Churchill Place, London, E14 5HP. The details of our bank accounts are below:

All Currencies share the following details:

Account Name: London Capital Group T/as Capital Spreads

Swift Code: BARCGB22

Sort Code: 20-77-67

Please check the grid below for the relevant account number and IBAN.

Deposit Currency	Account Number:	IBAN:
Sterling	70721778	GB40 BARC 2077 6770 7217 78
Euros	69703833	GB90 BARC 2077 6769 7038 33
US Dollars	75872800	GB76 BARC 2077 6775 8728 00
Norwegian Kroner	79371277	GB88 BARC 2077 6779 3712 77
Swedish Kroner	57189400	GB78 BARC 2077 6757 1894 00
Danish Kroner	48500722	GB78 BARC 2077 6748 5007 22
Hong Kong Dollar	76748655	GB09 BARC 2077 6776 7486 55
Australian Dollar	63910200	GB64 BARC 2077 6763 9102 00
SA Rand	45542466	GB86 BARC 2077 6745 5424 66

Deposit funds via cheque

Please make your cheque payable to Capital Spreads and send it to Capital Spreads, 2nd floor, 6 Devonshire Square, London, EC2M 4AB. We will not credit your account until your cheque has cleared. This usually takes 5 working days.

Unfortunately, we cannot accept banker's drafts. If you are going to deposit funds using a building society cheque and it does not have your name on the cheque, we will need to see a receipt stamped by the building society to say that the money from that cheque came from an account in your name.

Cheques drawn on a bank outside of the UK can take up to 4-6 weeks to clear. Any commission charged by our bank, or yours, for processing an international cheque will come directly out of the funds from the cheque deposited and therefore only the funds credited to our bank account will be credited to your spread betting account.
Are my funds deposited online securely?
To improve the security of the card payments you make into your spread betting account and following industry standards, we operate Verified by Visa & MasterCard® SecureCodeTM for some card types. These schemes, known collectively as 3D Secure, are designed to improve the way that your card payments are authenticated and to reduce the likelihood of card fraud.

If you have previously enrolled for these services with your bank and we require your card type to use 3D Secure, you will simply be prompted for your 3D Secure password when you next make a payment into your spread bettingaccount.

If you have not yet enrolled in Verified by Visa or MasterCard® SecureCodeTM, you may be prompted by your bank to enrol before a payment can be made. This will be done quickly and securely on your bank's website before seamlessly bringing you back to the payment page to continue with your transaction.

Please be assured that when inputting your 3D Secure details you are communicating directly with your bank via a secure link. The information that you enter is not disclosed to London Capital Group. To complete your payment, you will be briefly redirected to a secure screen hosted by your card issuer.
How do I arrange a refund?

If you would like a refund from your Capital Spreads account, please call us or email us advising us of the amount you wish to receive and confirming the last 4 digits of the card you would like us to refund.

Our company policy states that any funds deposited must go back to the original source. For example, if you deposited funds using a card we would transfer your funds back to this card. Whilst we will action refunds as quickly as possible and normally the same business day, once the funds leave your Capital Spreads account the banking system usually takes up to 3 - 5 working days to return the funds back into your bank account. In some rare cases the banking system might take longer to process your refund, so if this is the case please contact Customer Support.

Please note that MasterCard do not accept refunds from gaming organisations. If you deposit funds using a MasterCard we will make refunds to a bank account in your name, or to the default bank account details registered on your spread betting account. It is possible that we may require proof of your Bank Account details to establish that the account is in your name. This should be in the form of an original bank statement dated within the last three months. The statement should include your name, account number and, for international clients, an IBAN or Swift Code. We may also need sight of the card in question via faxed or scanned documentation.

If you are an international customer and you have used a MasterCard to credit your account or made an international transfer, there is a charge of £20 or the equivalent currency amount for refunds under £1000.00. For UK customers we would refund your money via BACS and this will take three working days with no charge.

Please note that due to transaction costs, Capital Spreads reserve the right to refuse any refund under £50.00 (or the equivalent currency amount) unless you are closing your account. Please bear this in mind when requesting a refund.

Making a Trade
- How do I place a trade?
  Capital Spreads provides a variety of products to trade on between the hours of 23:00 on Sunday until 21.15pm on Friday (UK time). You can make your spread trades online or by telephone.
  
  For guidance on how to trade using the Capital Spreads online trading platform, please use our online User Manual.
  
  If you wish to trade by telephone, our dealing line is +44 (0)20 7456 7010. If you have any problems or questions, you can call our Customer Support team on +44 (0)20 7456 7020 . Please refer to our Product Information Sheets for specific trading hours of individual products.
- Will I be trading on the prices I see online?
  Once you’ve clicked the TRADE button you will be offered the option to buy or sell. Once you have made your trade, it will be processed immediately. You should receive confirmation within a couple of seconds, or you will receive a message informing you that the trade has been declined. If the trade is declined, the reason why will also be displayed.
- What hours can I trade?
  Spread betting
  We are open for trading from Sunday 23:00 until Friday 21:15, UK time. You can find details of the trading hours for individual products if you click on the “I” information button to the right of each product or you can find a full, detailed list of all contract specifications if you click here to see our Market Information Sheets: Market Information
- What products do you offer?
  We offer a full range of products including Indices, shares, commodities, currencies, bonds and interest rates. You can find full details of the products we offer if you click here to see our Market Information Sheets: Market Information
- 24 hour Trading
  The Capital Spreads normal trading hours are Sunday 23:00 to Friday 21:15, UK time. This means that our Capital Spreads is available around the clock. Customer Support hours are 08:00 to 19:00 UK time.
  
  We quote many of our markets overnight, in particular the FTSE, Wall St, Nikkei and other indices, FX and some commodities. It is possible that you could have any orders filled during the time that we are quoting these markets.
  
  For full details of the trading hours of our markets please see the Market Information Sheets: Market Information
- How much margin will the system take when I make my trade or if I move my stop?
  When making a trade the system will look for three things.
  
  1) If you only have the minimum funds available then the stop loss will automatically be generated at 80% of the minimum IMR (initial margin requirement). You can find the minimum IMR for all of our products on the product information.
  
  2) If you have more funds than the max CGSL (computer generated stop level) for that market - the system will allocate the stop at 80% of the max CGSL for that product, leaving you with extra funds as available margin.
  
  E.g. for FTSE Rolling Daily, the max CGSL is 150 so if you were trading £1 a point and you had £200 on your account, the system would only use up £150 as margin with your stop loss 120 points away. In this scenario, you would be left with £50 available margin to make other trades.
  
  3) If you had more funds on your account than the minimum IMR but less than the max CGSL, the system will take all the funds on the account as margin and the stop will be calculated at 80% of these funds.
  
  You can of course amend the automatic stop that is generated by clicking on "Order Book" and then on the "AMEND" button. Moving your stop in closer will free up your margin but the system will always charge you the min IMR for that trade regardless of how close you place your stop to your entry level. If you move your stop further away you will need enough margin to cover your stop. This can be calculated by multiplying the amount of points your stop loss is away from your entry level by a further 25%. For example if you have your stop 100 points away from your entry level, you will need £125 in your available margin to cover that particular stop.
  
  If you have a Guaranteed Stop Order attached to an open position then the amount of margin taken will be the total capital you have at risk. For example, if you buy £1 per point of the UK 100 Rolling Daily and you have a guaranteed stop loss 50 points away, the system will use up only £50 of trading resources.
- Can I place a Guaranteed Stop Order?
  At Capital Spreads you can guarantee your automatic Stop Loss by selecting it to be a Guaranteed Stop Order. With a Guaranteed Stop Order you can trade safe in the knowledge that, should a market gap through your stop level, you will not suffer any extra losses from slippage and you will be stopped out at the level you requested.
  
  But there is a premium and minimum distance for selecting your automatic Stop Loss to be guaranteed. For example, the premium (which is a multiple of your stake) and minimum distance for the UK 100 Rolling Daily is 2 and 30 respectively, so if you bought £5 per point a 5900.0, your account would be debited £10 (2 x £5) and your guaranteed stop would have to be a minimum of 31 points away (the minimum distance is the number specified, plus the market’s spread).
  
  It is also possible to specify that any stop loss linked to a New Order is a Guaranteed Stop Order. In this case the premium is not applied until the New Order is filled.
  
  You can place or amend a Guaranteed Stop Order at any time when the underlying market is open and any amend to the level has to be at least the minimum distance (minimum, plus the market’s spread) from the current quote.
  
  If you close a position that has a Guaranteed Stop Order attached, then the premium is not recredited to your account. To find out what the premiums and minimum distances are please see the Market Information.
- Can I place a Trailing Stop?
  Trailing Stops are a risk management tool that allow you to manage your risk without restricting your potential profit. They can help you to secure your gains as the market moves in your favour and give you added flexibility as they automatically track your profitable positions. This means you don't have to continuously think about monitoring your position and moving your stop manually.
  
  A Trailing Stop can be added when placing a trade by ticking the "Trailing" box on the trade ticket. You can also amend an existing stop order to be set to trailing from Order Book by clicking on the AMEND button.
  
  Once you have ticked the "Trailing" box you need to set the distance you want your Trailing Stop away. If the market then moves in your favour, the Trailing Stop will move in that direction at a set size of increments. For details of the minimum distances and set size of increments applicable to Trailing Stops please the order section of the trade ticket.
  
  Please note that Trailing Stops are not guaranteed so you may still be subject to slippage in volatile market conditions, so it is not possible to have both a Trailing Stop and a guaranteed stop. There are no extra charges for selecting your stop order to be trailing.
  
  Trailing stops are not available on all markets, please check on the order section of the trade ticket.
  
  Example of a Trailing Stop
  
  Here is an example of how one might use a Trailing Stop. Buy £10 per point of GBP/USD Rolling Daily at 1.6050. The level of the stop order is set at 1.6030 and the "Trailing" box is ticked. If the market moves in your favour (higher) then the Trailing Stop will move in that direction according to the set size of increments applicable to that market. If it is set to increments of 10 points (you can find this out from the Market Information Sheets), then if your GBP/USD Rolling Daily position moves higher by 10 points (to 1.6060), your Trailing Stop will jump up 10 points to 1.6040.
  
  If GBP/USD Rolling Daily continues to rally without retracing, then for every 10 points it rises, your Trailing Stop will carry on stepping higher in increments of 10 points.
  
  If at some point GBP/USD Rolling Daily does turn lower, then your Trailing Stop will remain in place at the last level it has stepped to, acting as a normal stop order.

Closing a trade
- How do I close my trade?
  Your trade is valid until our market expiry time. Please see our Market Information Sheets for last dealing times and settlement details of individual markets.
  
  If you decide to close your position before it expires, you can close it manually in one of two ways. The simplest way is to click on the “Open Positions” button to view your open trade. You will see a CLOSE button on the right hand side. If you click this button, you will only be given one option either a buy or a sell i.e. an equal and opposite trade.
  
  Alternatively, you can close your position by finding the original product that you traded, entering and equal stake size and then making a trade in the opposite direction. For example if you make a £5 buy to open, you will need to make a £5 sell to close.
  
  Your bet may also be closed if your automatic Stop-Level is hit or Limit Order is executed.
  
  Any profits/losses incurred are realised upon the bet closure. Please refer to the online User Manual for guidance on how to manually close a bet .
- Can I partially close my position?
  Yes, you can partially close a position. Please refer to the online User Manual for further details.

Managing your Positions
- What happens when a share goes ex-dividend?
  The morning after a share goes ex-div the price of the share will drop by the amount of the dividend (approximately). If a quarterly contract discounts the dividend, it will have already been removed from the price quoted, so there will be no effect on the price quoted between the day before ex-div and the day after it.
  
  Capital Spreads do not discount the dividend for Rolling Daily or Quarterly contracts as part of the price. In respect of declared dividends, a cash adjustment will be made with reference to any dividend or distribution attributable to any relevant security on which a trade is based, and shall be made and calculated as follows:
  a. where your Position would result in a credit to your account (for example a Buy position in an equity which goes ex-dividend) we shall adjust the account balance in your favour by the gross dividend adjusted with applicable haircut percentage of Gross dividend (Standard adjustment for UK shares is 80% of Gross dividend), and multiplied by the Transaction Size; or
  
  b. where your Position would result in a debit to your account (for example a Sell position in an equity which goes ex-dividend) we shall adjust the account balance in our favour by the gross dividend adjusted by the applicable haircut percentage(Standard charge for UK shares is 100% of Gross dividend), and multiplied by the Transaction Size.
  
  For example, if Lloyds bank goes ex-div with a declared dividend of 7.5p, a client who was long (buy) position of £10 a point would receive £10x7.5x80% or £60. A client who was short the same amount (i.e. £10 a point) in Lloyds would be debited with £75 (£10x7.5x100%)
  
  UK shares usually trade ex-div on the Wednesday morning if paying a dividend, and ceteris paribus, the value of these shares will go down by the dividend amount. This has a direct affect on any of the indices the particular share may be a constituent of. Although most shares go ex-div on Tuesday evening there will be exceptions when companies may make payments (whether dividend, return of capital etc) on days other than this. In these cases the relevant amendment will be made on the day on or a day before the effective date.
  
  In the case of Rolling Daily contracts on the indices, Capital Spreads will make a dividend adjustment to clients' accounts the day on which or before the index constituents’ trade ex-dividend. We will credit clients who have long (buy) positions and debit clients with short (sell) positions. Haircuts (due to charges on gross amounts due to tax, clearing charges etc.) may be applied to cash adjustments.
- How are the Daily UK 100 and Wall Street prices calculated?
  This is a common question for spread betting companies as it does cause some confusion with clients.
  
  All major indices quoted by Capital Spreads have a Futures market related to them (i.e. the UK 100 has the LIFFE FTSE Futures market). This Future trades at a price which reflects the underlying market plus some adjustments. These adjustments are calculated from the theoretical value of dividends payable between today and the expiry of the Future AND the cost of carry for the index over the same period.
  
  This Adjustment is called the 'Fair Value'. Capital Spreads will adjust the Daily Cash price of each index by it's own Fair Value number each day. Capital Spreads links the Rolling Daily quote to the relevant future concerned and offsets the quote by the current Fair Value. Therefore the Rolling Daily price is moved by the Futures price and not vice versa, this is because the underlying cash price is a lagging market indicator which does not react in a timely manner to market moving news.
  
  For UK shares we price our bid using the underlying market bid and the offer from the underlying market offer. Capital Spreads 's spread is then added around the underlying market bid/offer to create ‘our quote’. On a day to day basis the difference between our bid and the underlying market bid will remain the same as will the difference between the offer prices. If the underlying market bid/ask spread widens/narrows then our quote will widen/narrow with it.
  
  We derive the future individual share prices (quarterly markets) by taking the underlying market price and adding the cost of carry from the trade date until the expiry date and removing any dividends/capital repayments on those shares which go ex-div/make payments between the trade date and the expiry date.
- How do we derive our FX prices?
  We subscribe to a data feed which gives us the best bid and offer in the market from several major banks in any given currency pair. The best bid might be from one bank, and the best ask might be from another bank. We take the best of each (i.e. the highest bid and the lowest offer) and put our spread (which remains fixed) around this spread.
- Why are the prices I can see different to yours?
  There is no single exchange on which all FX trades are transacted, and so there is never a single price at which you can say that a given currency pair is trading. Bank “A” might sell cable to Bank “B” at 1.7750, whilst at exactly the same time Bank “C” might sell cable to Bank “D” at 1.7755. Bank “A” may record its trades to a database to which Data Vendor “X” has access, whilst Bank “C” might record its trades on a separate database to which Data Vendor “Y” has access. For this reason, it is highly possible for 2 different data vendors to be showing 2 different prices at exactly the same time in the same currency pair.
- On the FX, do we round up if the spread is 3?
  No. If the market spread is 1, we add one to each side so that our spread is 3. And even if we did, the net result is irrelevant. Say, for example, we rounded up on a 3-tick spread. If you went long you'd pay that extra half a tick on the way in, but you'd gain it on the way out. Whether we rounded up or down, the spread is still 3 ticks! Plus, you are still exposed to the same currency price movements - if cable rallies 10 ticks, you will make 10 ticks whether the price you traded at was rounded up or down.
- How does fractional pip pricing work?
  We have improved the way we price FX pairs to greater reflect the underlying interbank market by adding an extra integer to many of the quotes.
  
  The reason for doing this is to make our FX prices more accurate and thus give you a better and more accurate price to trade on.
  
  How will this work?
  
  On some trade tickets the very last number in the price may be a smaller digit. This smaller digit is not the actual tick size of the price, but simply an extra integer i.e. 1/10th of a point. Therefore, as a general rule, you will be trading on the last large figure of the price quoted, as you were before, but with the additional benefit of seeing an extra (smaller) digit for greater accuracy.
  
  If we take an FX market such as GBP/USD, for example. Rather than quoting this market to four decimal places as a price of 1.5850-1.5852, we have added a smaller integer to make the quote five decimal places. In the example below, if you bought £1 per point of GBP/USD Rolling Daily at 1.58505and sold £1 to close at 1.58510, your profit would be 50p.
  
  The extra digit has been applied to FX markets only at this time.
  
  The benefit to you
  
  Prior to us making this change, the buy price was rounded to the last tradable digit. Now, with the additional decimal place, you will see and be able to trade on a more accurate price.
  
  Our spreads remain some of the tightest in the industry and what’s more, our spreads are tighter for longer. So, when we say we have a 1 point spread on EUR/USD we’ll quote a rate with a 1 point spread 24 hours a day.*
  
  *LCG has the right to vary Overnight Financing interest rates, spreads or commission rates on any contract or vary the Size specifications without notice especially in, but not limited to, volatile market conditions and/or illiquidity of the Underlying Market. At LCG's discretion quoted spreads made via the telephone may differ from the spreads available on an OTP or a DTP.

Overnight financing

What is a Rolling Daily contract?

Our innovative Rolling Daily contracts provide a cost-effective solution for short-medium term trading. These contracts do not expire at the end of the day but are automatically ‘rolled over’ to the next trading day.

Any corresponding orders are also rolled over automatically. An overnight financing rate is applied on a daily basis.

The standard benefits of spread betting still apply, such as the ability to go long or short and tax free profits, as well as other benefits.

Advantages

Tighter spreads
Available on indices, equities and FX markets
Cost-effective solution for short-medium term trading
Potential payment due to overnight financing
Automatic order rollover facility
Familiarity of trading underlying market but with benefits of futures-style trading

Dividend adjustments

The morning after a share goes ex-div the price of the share will drop by approximately the amount of the dividend. Dividend adjustments are credited to long positions and debited from short positions held at the close of business on the day before the ex-dividend date.

If you are long, you will receive 80% of the dividend and if you are short, you will be debited 100% of the dividend.

Payment is credited/debited to your account on the ex-dividend date. Dividend adjustments apply to equity and index markets.

Overnight financing

Rolling Daily contracts incur a debit or credit for each day that they are held overnight.

Whilst it is normal for equity and index long positions to incur a debit and for short positions to receive a credit when overnight financing is applied, there are times when you may be debited for a short position, for example when interest rates are very low (NB overnight financing for FX positions is different).

For a position held on a Friday or prior to a non-business day, financing will be applied according to the number of days until the subsequent business day.

For example, for a position that is rolled from a Friday to a Monday, financing will be applied for 3 days. Any profits/losses are realised when the position is closed.

How is the financing calculated?

The overnight financing for a rolling position can be calculated using this formula:

F =	[ (Price / U) x Stake x I] / B
F =	Overnight Financing
P =	Closing price
U =	Unit risk
S =	Stake

I = applicable interest rate:	long positions:	RFR + 2%
	short positions:	RFR – 2 %

B = day basis (365)

Relevant Funding Rate (RFR):

Shares & Indices: The RFR is generally equivalent to the base rate of the underlying currency of the country of the market concerned. If you are long of a share/index contract, this equates to real market cash exposure and so interest may be charged on this cash value for each day that the position is held open overnight. If you are short of a share/index contract, an interest return may be paid on these equivalent cash funds.
E.g. the RFR for a short rolling daily contract on Google may be based on the US Fed Funds Rate minus 2%.
Currencies: The RFR is calculated as the funding rate corresponding to the 2nd currency minus the funding rate corresponding to the 1st currency. E.g. the 1st currency of GBP/USD is sterling and the second is the US dollar. Therefore, if USD rates were 2% and GBP rates were 4.75% then the RFR for GPB/USD would be 2% - 4.75% or minus 2.75% (a negative differential)

For example, if the funding rates were as follows:

GBP:

4.75%

EUR:

2.0%

USD:

2.0%

The rates used for the examples above are indicative and are not necessarily representative of correct rates.
The RFR of the following currency pairs would therefore be calculated as:

FX Pair	RFR
EUR/GBP	2.75%	(4.75% - 2.0%)
GBP/EUR	–2.75%	(2.0% – 4.75%)
EUR/USD	0%	(2.0% – 2.0%)

Note: Remember to add 2% to the RFR for long positions and minus 2% for short positions.

Unit risk:

The smallest movement on the relevant contract that equates to a profit/loss change that is the same as your stake. E.g. on GBP/USD a movement of 0.0001 in the price would mean a profit /loss shift on your trade of the full stake and so the unit risk would be 0.0001.

EXAMPLES

1. Shares

UK Shares

BUY £10 per point of a Rolling Daily contract.

Unit risk	1	(4.75% + 2%)
Applicable interest rate	6.75%
Closing price	750.10p

A £10 long position which has a closing price of 750.10p would be equal to £7,501 market exposure (this equates your trade to the number of shares you would have to buy from your stockbroker to create the same market risk, a £10 trade = 1000 UK shares).

(750.10 / 1) x 10 x 6.75% = £506.32

This is the annual cost of borrowing £7,501 at 6.75%.

Divide this by 365 to reach the daily charge:
£506.32 / 365 = £1.39

As you are long of a share, your account would be debited £1.39 for the overnight funding.

US Shares

Unit risk	0.01	(2% + 2%)
Applicable interest rate	4%
Closing price	$26.49

[ (26.49 / 0.01) x 10 x 4% ] / 365 = £2.90
Your account would be debited £2.90 for the overnight financing.

2. Indices

UK Indices

SELL £10 of UK 100 Rolling Daily

Unit risk	1	(4.75% - 2%)
Applicable interest rate	2.75%
Closing price	4722

[ (4722 / 1) x 10 x 2.75% ] / 365 = £3.56
Your account would be credited £3.56 as overnight financing.

US Indices

BUY £1 of Wall Street Rolling Daily

Unit risk	1	(2% + 2%)
Applicable interest rate	4%
Closing price	10350

[(10350 / 1) x 1 x 4%] / 365 = £1.13
You are debited £1.13 for holding this position overnight.

3. Currencies

BUY £10 of GBP/USD Rolling Daily

Unit risk	0.0001	(2% – 4.75% + 2%)
Applicable interest rate	– 0.75%
Closing price	1.8550

[ (1.8550 / 0.0001) x 10 x – 0.75% ] / 365= –3.81
Your account would be credited £3.81 as overnight financing.

Normally, for a buy position you would be charged the overnight financing but because this calculation has returned a negative number, you will actually receive this amount.

SELL £5 of GBP/USD Rolling Daily

Unit risk	0.0001	(2% – 4.75% – 2%)
Applicable interest rate	– 4.75%
Closing price	1.8550

[ (1.8550 / 0.0001) x 5 x –4.75% ] / 365 = –12.07
Your account would be debited £12.07 as overnight financing.

Please note that as with the previous example of a long position, this has returned a negative number but in this case, as this is a sell position, instead of you receiving the money you will be paying it.

The rates used for the examples above are indicative and are not necessarily representative of correct rates.

Advantages

Tighter spreads

Available on indices, equities and FX markets

Cost-effective solution for short-medium term trading

Potential payment due to overnight financing

Automatic order rollover facility

Familiarity of trading underlying market but with benefits of futures-style trading
Overnight financing

Rolling Daily contracts incur a debit or credit for each day that they are held overnight.

Whilst it is normal for equity and index long positions to incur a debit and for short positions to receive a credit when overnight financing is applied, there are times when you may be debited for a short position, for example when interest rates are very low (NB overnight financing for FX positions is different).

For a position held on a Friday or prior to a Capital Spreads non-business day, financing will be applied according to the number of days until the subsequent Capital Spreads business day.

For example, for a position that is rolled from a Friday to a Monday, financing will be applied for 3 days. Any profits/losses are realised when the position is closed.

How is the financing calculated?

The overnight financing for a rolling position can be calculated using this formula:

F =	[ (P / U) x S x I] / B
F =	Overnight Financing
P =	Closing price
U =	Unit risk
S =	Size or Stake
B =	day basis (365)

I = applicable interest rate:	long positions:	RFR + 2%
	short positions:	RFR - 2%

Relevant Funding Rate (RFR):

Shares & Indices: The RFR is generally equivalent to the base rate of the underlying currency of the country of the market concerned. If you are long of a share/index contract, this equates to real market cash exposure and so interest may be charged on this cash value for each day that the position is held open overnight. If you are short of a share/index contract, an interest return may be paid on these equivalent cash funds.

E.g. the RFR for a short rolling daily contract on Google may be based on the US Fed Funds Rate minus 2%

Currencies: The RFR is calculated as the funding rate corresponding to the 2nd currency minus the funding rate corresponding to the 1st currency. E.g. the 1st currency of GBP/USD is sterling and the second is the US dollar. Therefore, if USD rates were 2% and GBP rates were 4.75% then the RFR for GPB/USD would be 2% - 4.75% or minus 2.75% (a negative differential)

For example, if the funding rates were as follows:

GBP:

4.75%

EUR:

2.0%

USD:

2.0%

The rates used for the examples above are indicative and are not necessarily representative of correct rates.The RFR of the following currency pairs would therefore be calculated as:

FX Pair		RFR
EUR/GBP	2.75%	(4.75% - 2.0%)
GBP/EUR	- 2.75%	(2.0% - 4.75%)
EUR/USD	0%	(2.0% - 2.0%)

Note: Remember to add 2% to the RFR for long positions and minus 2% for short positions

Unit risk:

Overnight financing examples for Spread Betting

1. Shares

UK Shares

BUY £10 per point of a Rolling Daily

Unit risk	1	(4.75% + 2%)
Applicable interest rate	6.75%
Closing price	750.10p

(750.10 / 1) x 10 x 6.75% = £506.32

This is the annual cost of borrowing £7,501 at 6.75%.

Divide this by 365 to reach the daily charge:
£506.32 / 365 = £1.39

As you are long of a share, your account would be debited £1.39 for the overnight funding.

US Shares

Unit risk	0.01	(2% + 2%)
Applicable interest rate	4%
Closing price	$26.49

[(26.49 / 0.01) x 10 x 4%] / 365 = £2.90
Your account would be debited £2.90 for the overnight financing.

2. Indices

UK Indices

SELL £10 of UK 100 Rolling Daily

Unit risk	1	(4.75% - 2%)
Applicable interest rate	2.75%
Closing price	4722

[(4722 / 1) x 10 x 2.75%] / 365 = £3.56
Your account would be credited £3.56 as overnight financing.

US Indices

BUY £1 of Wall Street Rolling Daily

Unit risk	1	(2% + 2%)
Applicable interest rate	4%
Closing price	10350

[(10350 / 1) x 1 x 4%] /365 = £1.13
You are debited £1.13 for holding this position overnight.

3. Currencies

BUY £10 of GBP/USD Rolling Daily

Unit risk	0.0001	(2% - 4.75% + 2%)
Applicable interest rate	- 0.75%
Closing price	1.8550

[(1.8550 / 0.0001) x 10 x - 0.75%] / 365= -3.81
Your account would be credited £3.81 as overnight financing.

Normally, for a buy position you would be charged the overnight financing but because this calculation has returned a negative number, you will actually receive this amount.

SELL £5 of GBP/USD Rolling Daily

Unit risk	0.0001	(2% - 4.75% - 2%)
Applicable interest rate	- 4.75%
Closing price	1.8550

[(1.8550 / 0.0001) x 5 x -4.75%] / 365 = -12.07
Your account would be debited £12.07 as overnight financing.

The rates used for the examples above are indicative and are not necessarily representative of correct rates.

Overnight financing examples for CFDs

1. Shares

UK Shares

BUY 1000 CFDs

Unit risk	1	(4.75% + 2%)
Applicable interest rate	6.75%
Closing price	750.10p

A 1000 CFD long position which has a closing price of 750.10p would be equal to £7,501 market exposure (this equates your trade to the number of shares you would have to buy from your stockbroker to create the same market risk, a 1000 CFD trade = 1000 UK shares).

750.10 x 1000 x 6.75% = 50,632p (£506.32)

This is the annual cost of borrowing £7,501 at 6.75%.

Divide this by 365 to reach the daily charge:
£506.32 / 365 = £1.39

As you are long of an share, your account would be debited £1.39 for the overnight funding.

US Shares

Unit risk	0.01	(2% + 2%)
Applicable interest rate	4%
Closing price	$26.49

[26.49 x 1000 x 4%] / 365 = $2.90
Your account would be debited $2.90 for the overnight financing.

2. Indices

UK Indices

SELL 10 CFDs of UK 100 Cash CFD

Unit risk	1	(4.75% - 2%)
Applicable interest rate	2.75%
Closing price	4722

[4722 x 10 x 2.75%] / 365 = £3.56
Your account would be credited £3.56 as overnight financing.

US Indices

BUY 1 CFD of Wall Street Cash CFD

Unit risk	1	(2% + 2%)
Applicable interest rate	4%
Closing price	10350

[10350 x 1 x 4%] / 365 = $1.13
You are debited £1.13 for holding this position overnight.

3. Currencies

BUY 10 CFDs of GBP/USD spot CFD

Unit risk	0.0001	(2% - 4.75% + 2%)
Applicable interest rate	- 0.75%
Closing price	1.8550

[(1.8550 / 0.0001) x 10 x - 0.75%] / 365= -3.81
Your account would be credited £3.81 as overnight financing.

Normally, for a buy position you would be charged the overnight financing but because this calculation has returned a negative number, you will actually receive this amount.

SELL 5 CFDs of GBP/USD spot CFD

Unit risk	0.0001	(2% - 4.75% - 2%)
Applicable interest rate	- 4.75%
Closing price	1.8550

[(1.8550 / 0.0001) x 5 x -4.75%] / 365 = -12.07
Your account would be debited £12.07 as overnight financing.

The rates used for the examples above are indicative and are not necessarily representative of correct rates.

Can I roll over my future contract positions?

Capital Spreads also offers the facility to rollover futures contracts. If you chose to roll any quarterly or monthly contracts, you will need to contact us shortly before our expiry date to leave a rollover instruction. For equities, Capital Spreads will close the existing trade spread free (at just the market price) and offer the subsequent quarter at half of the spread. For indices, commodities and Forex contracts, Capital Spreads will close the trade at our midpoint and offer the subsequent quarter at the corresponding level. Please note that on rollover of futures contracts, the existing trade is closed, realising any profits or losses incurred and a new position is subsequently opened.

Managing Your Account
- How can I view my previous trades?
  You can see details of the trades that you have made and that have been settled if you click on the Trade History section of your account.
  
  This information will be held on your account for 3 months. If you require further details of all the trades you have made, please contact Customer Support at support@capitalspreads.com
- How can I view my Open Positions?
  Details of any open positions can be found if you click on Open Positions. If you have more than one trade in the same product, please click the "I" button and this will give you a detailed breakdown of your position in this product.
  
  The automatic stop-loss order that is linked to your open position can be found if you click on the Order Book button. This section also holds details of any new orders or limit orders.
- How do I change my contact info?
  If a problem occurs on your account, it is important for us to be able to contact you. Please ensure that your email address is always up to date and, if necessary, please check to ensure that your inbox has not exceeded its limit. We send all contract notes via email and it is your responsibility to provide us with the correct contact details. Your contract notes are proof of the trades that you have made and if you have any kind of query we will ask you for copies of your contract notes.
  
  If you move house, please contact Customer Support by email or telephone to advise us of your new address. If we are unable to confirm your new address electronically we will require some documentation, details of which will be provided at the time.
- How do I change my password?
  If you wish to change your password, please call us and we will conduct a security check to confirm your identity and then generate an email with a temporary password. You can use this to log into your account and can then change your password to something more memorable. Your password will then be securely encrypted in our system.
- I've forgotten my username/password
  If you have forgotten your username or password, please call us or if you are unable to do so, please email us. We will send you some information that will remind you of your username or password. We are unable to send passwords via email for security reasons.
- How do I monitor my account?
  Log into your account and click on Account Summary. You will see details of the most recent closing trades you have conducted and details of any profit/loss.
- Do I get a contract note?
  You will receive a contract note via email for each trade you make whether you trade online or by telephone.
- Will I receive a statement?
  You can view your statement of account online once you have logged into your account.

Complaints Procedure
- Making a Complaint
  If you have a complaint, please contact our Customer Support team either by telephone on +44 (0)20 7456 7020 or via email to: support@capitalspreads.com. Alternatively, you may write to us with your complaint to:
  
  Customer Support
  Capital Spreads 2nd floor, 6 Devonshire Square, London, EC2M 4AB
  
  Very often problems may arise as a result of misunderstandings and can be easily resolved by our Customer Services staff. However, we recognise that there may be occasions when you feel that our service has not met your expectations and you wish to raise this with us more formally.
  
  In this case, please, contact our Compliance Officer either by email, in writing or by telephone.
  
  London Capital Group
  2nd floor, 6 Devonshire Square, London, EC2M 4AB
  Telephone: +44 (0)20 7456 7000
  Email: compliance@londoncapitalgroup.com
  
  If you are not satisfied with our response, you are entitled to contact the Financial Ombudsman for an independent view.You can access the FOS Leaflet at http://www.financial-ombudsman.org.uk/publications/consumer-leaflet.htm
  
  Financial Ombudsman Service
  South Quay Plaza
  183 Marsh Wall
  London E14 9SR
  Telephone: 0845 080 1800
  www.financial-ombudsman.org.uk
  
  They will provide you with a form to complete with details of your complaint. To be eligible for the service, you will need to submit details of the complaint within six months of the date of our final response to you. Please note that the Financial Ombudsman Service can only consider complaints, which we have not been able to resolve to your satisfaction through our own internal procedures.
  
  If you have a complaint, please contact our Customer Support team either by telephone on +44 (0)20 7456 7020 or via email to: support@capitalspreads.com. Alternatively, you may write to us with your complaint to:
  
  Customer Support
  Capital Spreads 2nd floor, 6 Devonshire Square, London, EC2M 4AB
  
  Very often problems may arise as a result of misunderstandings and can be easily resolved by our Customer Services staff. However, we recognise that there may be occasions when you feel that our service has not met your expectations and you wish to raise this with us more formally.
  
  In this case, please, contact our Compliance Officer either by email, in writing or by telephone.
  
  London Capital Group
  2nd floor, 6 Devonshire Square, London, EC2M 4AB
  Telephone: +44 (0)20 7456 7000
  Email: compliance@londoncapitalgroup.com
  
  If you are not satisfied with our response, you are entitled to contact the Financial Ombudsman for an independent view.You can access the FOS Leaflet at http://www.financial-ombudsman.org.uk/publications/consumer-leaflet.htm
  
  Financial Ombudsman Service
  South Quay Plaza
  183 Marsh Wall
  London E14 9SR
  Telephone: 0845 080 1800
  www.financial-ombudsman.org.uk
  
  They will provide you with a form to complete with details of your complaint. To be eligible for the service, you will need to submit details of the complaint within six months of the date of our final response to you. Please note that the Financial Ombudsman Service can only consider complaints, which we have not been able to resolve to your satisfaction through our own internal procedures.

Spread betting	CFD trading
Capital gains are tax free*	Subject to Capital Gains Tax (CGT)*
Losses cannot be offset for CGT purposes*	Losses can be offset for CGT purposes*
All contracts expire**	No expiry (except future contracts)
Use a currency to trade in of your choice	Currency based in country of origin i.e. if you trade Vodafone on the FTSE, you trade in £. If you trade Google on NYSE, you trade in $
Trade using a stake of £/$/€ etc per point	Trade a number of CFDs per point

Frequently Asked Questions

Apply for an Account

Funding Your Account

Deposit money by Debit/Credit card

Registering your card details

Deposit money via Bank Transfer

To make a Deposit

Deposit Funds via cheque

Making a Trade

Closing a trade

Managing your Positions

How will this work?

The benefit to you

Overnight financing

Advantages

Dividend adjustments

Overnight financing

How is the financing calculated?

Relevant Funding Rate (RFR):

Unit risk:

EXAMPLES

Managing Your Account

Complaints Procedure

Other Questions

Ready to get started?

Any Questions?