Spread bet on base metals?

[TinBrick]

I've been looking around the main spread betting firms and can't find one that offers these markets - at the moment I'm particularly interested in lead and tin.

 

I already have an investment in the JP Morgan Global Natural Resources fund, which is about one third in base metals, and it has done very well so far this year, but I'm considering an investment directly in some of these commodities. My preferred vehicle is spread betting - does anyone know of a firm which offers these markets?

 

Alternatively, what are the other main options for direct investment in these types of commodity for the small private investor?

[frizzers]

Phone up your spread better and ask them if they do it. Most will find a feed. But, interestingly, I couldn't find one who would let me bet on the Zimbabwe exchange.

 

Don't use IG. they are crooks.

[TinBrick]

Don't use IG. they are crooks.

 

Hmmm . . . I am using IG - why are they crooks?

[No6]

Phone up your spread better and ask them if they do it. Most will find a feed. But, interestingly, I couldn't find one who would let me bet on the Zimbabwe exchange.

 

Don't use IG. they are crooks.

It would be nice to be able to take a long bet on that market and sit back, we would all be rich in a year. I doubt whether anyone will give quotes for Zimbabwe as it seems to be a one way bet - upwards because of inflation and money supply that is out of control. No one in their right mind would take the other side of that trade and short the market, as it's the only hedge against inflation the Zimbabwe people, or the fortunate few that can trade it, have.

[drbubb]

Hmmm . . . I am using IG - why are they crooks?

 

In fast markets, they play games with pricing to the detriment of clients.

- Or at least that is the rumor. But I have heard that of other firms too

 

This is one reason I tend to avoid all spread betting firms, and use them rarely.

 

I prefer to trade Energy and Mining stocks that are DRIVEN BY commodity prices.

I then tend to trade off my views of the underlying commodity prices

 

## I am moving this thread to the trading section ##

[TinBrick]

In fast markets, they play games with pricing to the detriment of clients.

- Or at least that is the rumor. But I have heard that of other firms too

 

This is one reason I tend to avoid all spread betting firms, and use them rarely.

 

I prefer to trade Energy and Mining stocks that are DRIVEN BY commodity prices.

I then tend to trade off my views of the underlying commodity prices

 

Well, yes, I have often read complaints from people doing very short-term intra-day trades trying to scalp points that spread betters (including IG, but not just them in particular) have a habit of nudging prices in their favour when clients are trying to fill orders. I have no idea whether the complaints have any basis in fact or whether they're just rationalisations for poor trading decisions.

 

I don't trade like that myself though - all my current positions are on stock market indices which I have open for weeks or months at a time. I would have thought that even if a firm was skewing the market in its favour, it could have only a very limited effect over those sorts of timeframes.

 

My two main reasons for using spreadbetting are the tax advantages and convenience. Do you see any other disadvantages for using spreadbetting to invest in the types of market you mention above?