Jump to content
  • 0

US 500 and Spot Gold on Spread Bet account


JakubC

Question

Hi,

I just created an account and have a long position in Spot Gold and consider a long position in US 500.

Could you please tell me if I pay overnight funding charges if I buy these on margin and hold them for 3 months or 3 years?

I have  a spread bet account.

Many Thanks

Link to comment

1 answer to this question

Recommended Posts

  • 0

Hi Jakub,

If you are making trades spanning more than one session you might want to use "Futures" instead of "Daily Funded Bets".

By using a DFB you will be charged borrowing costs each day, if you use Futures instead you are not charged daily  but you pay a "wider" spread. The spread for a DFB position on the US 500 is at 0.4 market hours and 0.6 outside market hours. For the futures contract is 1. 

Futures have a quarterly expiration date, you can find US500/ES contract expiration dates here https://www.cmegroup.com/trading/equity-index/rolldates.html. In your case you will need "Rollover on Expiration" enabled in your account settings to keep them open for three years. Each quarter you rollover to the next and you are charged 1 point spread as commission.

Good luck

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
      21,303
    • Total Posts
      90,961
    • Total Members
      41,436
    • Most Online
      7,522
      10/06/21 10:53

    Newest Member
    ForexHispanocom
    Joined 08/02/23 20:55
  • Posts

    • thanks Andy, will checkout your Excel Add-In (but a bit later, as I have to clear a few things first)  
    • Look Ahead to 09/02/23: US Initial jobless claims; AZN, ULVR, LYFT earnings Hot on the heels of surprisingly strong US jobs numbers, we get initial jobless claims data. AstraZeneca’s (AZN) pipeline will be in focus. Plus, Unilever (ULVR) Credit Suisse (CSGN) and Lyft (LYFT) also report. Angeline Ong | Presenter, Analyst and Content Editor, London | Publication date: Wednesday 08 February 2023          
    • Since USD/JPY has given a technical sell signal, we would like to go short the cross at ¥130.85 with a downside target at ¥126.50 and a stop-loss just above Monday’s high at ¥132.95.        
×
×
  • Create New...