Welcome to Sharenet Spread Trading
Global Trader, the international market leaders in Spread Trading and Contracts for Difference Trading; the world’s fastest growing and most flexible alternative financial instruments offers the investor:
Global Trader offers Spread Trading on thousands of the most actively traded local and international financial instruments including currencies, commodities, interest rates, indices and equities.
ADVANTAGES OF SPREAD TRADING
Cheaper Costs - When you buy a stock you pay 100% of price of the stock, plus about 2% round turn brokerage fees and tax. With Spread Trading you pay no commission or tax beyond the inbuilt spread which is transparent and cheaper than traditional trading costs. You never take ownership of the stock, all you are trading is the price movement itself and to do this you just place a small deposit down.
More Opportunity - Using traditional methods of trading you can only speculate on rising prices, hoping to buy cheap and sell for more. With Spread Trading you can speculate in both directions on thousands of individual stocks and a full range of the bond, currency and commodity markets. You can "go long" (buy in expectation of a rise in price) or "go short" (profit from an expected drop in price) with equal ease, offering you the opportunity to make money in both rising and falling markets.
Superior Trading - Global Trader clients can trade live via our award winning trading platform, offering speed of execution, market access, usability and risk management. Please refer to our website, where one can track their portfolio’s performance in real time. Our clients also receive free Reuters news, email / SMS alerts, research, technical analysis and a full range of professional trading services. Furthermore, Global Trader is open 24 hours a day, offering our clients the ability to trade outside traditional exchange hours.
More Leverage - Spread Trading works on a deposit basis normally between 1% and 20% of the full contract value (i.e. if you are trading a 10,000 ZAR equities position you will only have to put down 1,500 ZAR). The spread will match every R1 price movement in the underlying share price, which equals a six times leverage ratio because of the smaller capital requirement. Therefore you have the potential to earn large profits on relatively small movements in the underlying share, bond, index, commodity or currency.
Limit your Risk - Global Trader offers their clients a unique facility called a “Guaranteed Stop Loss”. Effectively you decide how much you are willing to risk on a trade (i.e. a ZAR 500 loss on a ZAR 5,000 trade) and we guarantee that regardless of market conditions (even if the company you are trading on goes bankrupt) you will only lose ZAR 500. If you were trading using traditional methods (i.e. buying the stock) then in the event of the company going bankrupt you would lose the full ZAR 5,000. Clients can also place normal stop losses at no additional premium.
Lock in Your Profit - Another unique facility that Global Trader offers its clients are automatic trailing stop losses. Stop losses are orders that you place on your position to either protect your profit or limit your loss and are an important risk management tool. For example, with a trailing stop-loss you could buy Sasol Oil at 12.50 and place a stop loss at 12.30 (to sell your position if Sasol Oil reaches 12.30, 20 points below the level you bought it). If Sasol Oil, then goes higher to 13.00, your trailing stop loss will automatically move from 12.30 to 12.80 (20 points below current price) thereby locking in a 30 point profit.
Global Markets - Through just one platform, our clients are offered a full range of financial markets, including international bonds, indices, currencies, commodities and thousands of individual stocks in SA / UK / US / CAD / Euro markets (see product list page).
No Minimum Trades - Clients can open a trade on all Global Trader instruments from as little as one currency unit per point. For example, more conservative investors can nominate ZAR 1 per point move in the DOW 30 or FTSE 100 indices. More aggressive investors can increase this up to ZAR 500 per point online and amounts in excess of this level can be conducted by phone.
Extended Trading - Although all Spread Trades have a limited lifespan (the contract will expire on a certain date), investors can choose to extend the length of the trade by "rolling over" the position into the next contract period. In most cases, Global Trader contracts expire in March, June, September and December. When clients open a trade, they are able to choose the contract length they wish to trade in.