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Is my money safe with a Spread Betting firm
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Yes, all UK based spread betting firms operating from within the UK are fully regulated by the Financial Services Authority (FSA).

The FSA's main responsibility is to maintain confidence in the financial system and to secure an appropriate degree of protection for consumers.

Be careful though as some spread betting firms are based in places like Malta or Cyprus. See my review of the 2 best UK spread bet brokers.

No advice offered
The FSA's regulation of spread bet firms prohibits them from offering or pushing financial advice. So the brokers are not allowed to recommend a trade, or advise a client to take profits at a certain level etc.

However, if a client wants or needs advice on the most suitable style of spread bet for their trading view, this is allowed. For example -

Is my money safe when deposited with a spread bet broker
The FSA requires all spread betting firms to hold their client funds in a bank account which is segregated from the spread betting firm's main business account.

Also the FSA's compensation scheme means that any cash up to £48,000 held with a broker is insured should the firm fail or have serious financial problems.

WARNING! - Spread Bet Broker Advice

There are good spread bet brokers and there are bad ones.

Having a good broker won't guarantee you profits but a bad broker will probably lead to losses as a combination of their gamesmanship and suspect software takes its financial toll.

So who do I recommend?

Simple, the 2 brokers I personally use for my own spread betting (and I've used them for years) -

FREE Report : How to Learn Spread Betting and Prosper
How to build the all-important trading experience
Where to get trading help and advice
Which broker to use and why
Simple 2 month training plan to follow
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