I would say that overall City Index is a better spread betting broker than CMC Markets, especially if you are trading a broad range of shares, particularly smaller cap shares. CMC Markets is more focussed on the most liquid markets like EURGBP and idices with tight pricing. But, for an all-round service, City Index is a better broker for most UK traders.
City Index Spread Betting Review
Name: City Index Spread Betting
Description: City Index is one of the best spread betting brokers and is suitable for all types of traders looking for a tax-efficient way to speculate on the financial markets. City Index also won our “best trader tools” award in 2023.
70% of retail investor accounts lose money when trading CFDs with this provider.
Overall City Index’s spread betting platform is one of the best around with competitive pricing, a wide range of markets to trade, and some very good added value tools to help traders seek out opportunities and improve their trading strategy.
- Spread betting markets available: 12,000
- Minimum deposit: £100
- Account types: CFDs & spread betting
- Equity overnight financing: 2.5% +/- SONIA
- Pricing: Shares 0.08%, FTSE 1, GBPUSD 0.9
Spread bets at City Index are available on 12,000 markets including, 23 equity indices, thousands of UK and international stocks and ETFs, 19 commodities, bonds, and interest rates, and an industry-leading 182 FX pars. City Index also has an options desk for spread betting on index and populare stock options.
When I tested City Index’s spread betting account there were two things that made it stand out, SMART Signals and Performance Analytics.
SMART Signals, is one of the best trading signal services out there and is developed in-house by City Index. The idea is that the algorithm scans the market for price patterns and highlights upcoming trading opportunities. It differs from the standard offerings from Autochartist and Trading Central, by being fully integrated giving you the ability to trade via a single click, as well as being fully transparent by displaying the previous P&L per asset.
The other spread betting tool, that is unique to City Index is Performance Analytics. Whilst other brokers provide post-trade analysis, When StoneX (City Index’s parent company) acquired Chasing Returns, they were able to exclusively provide a huge amount of data to help their customers stick to a trading plan and provide insights into what can make them a better spread bettor.
As with most spread betting brokers, City Index clients trade via two-way bid-offer prices the difference between the bid and offer representing the spread. These vary by product and contract but in the FTSE 100 index City charges a minimum spread of 1 index point and on the Germany 30 or Dax it charges 1.20 points. You can trade Spread Bets on leading equity indices up to 24 hours per day. For stock trading, spreads of 0.8% for UK and 1.8 cents per share are built into the price.
- Wide range of spread betting markets
- Trading signals
- Post-trade analysis
- No DMA spread betting
- No investing account
Research & Analysis
- Expert opinion: City Index reviewed & rated