Spread Co Review 2024
Website: www.spreadco.com
Min. Deposit: US$ 200
Leverage: 1:30
Trading Platforms: Web Platform, Mobile Apps
Regulation: FCA
Headquarters: UK
Founded: 2006
Regulatory Licenses:
- Spread Co Limited - authorized by FCA (UK) registration no. 446677
Updated on March 4, 2024
Quick Links
Spread Co, established in 2006, operates from London, offering a platform for spread betting, CFD, and Forex trading across various assets including currencies, equities, indices, and commodities. Known for its competitive offerings, Spread Co boasts tight, fixed spreads alongside minimal commissions and fees, thereby reducing the cost of trading and enhancing potential profits.
Overall Spread Co Ranking
Through comprehensive analysis and comparison with over 1000 brokers, Spread Co has proven itself as a dependable broker providing favorable conditions for Forex, CFD, and Spread Betting. Its services include high-quality education. Nonetheless, the broker falls short in terms of the variety of instruments available and lacks a desktop platform for full trading capabilities.
Spread Co's Overall Ranking stands at 7.0 out of 10, positioning it among the top 12 brokers but highlighting areas for improvement.
Is Spread Co safe or a scam? ▲
Our extensive review identifies Spread Co as a trustworthy broker, offering low-risk Forex and CFD trading. Regulated by the UK's Financial Conduct Authority (FCA), Spread Co ensures high levels of security and operates with strict regulatory adherence.
Is Spread Co regulated?
Spread Co employs advanced online security measures and holds client funds in segregated accounts with a leading bank, in line with FCA regulations. Clients trading with Spread Co benefit from the protections offered by the Financial Services Compensation Scheme and the Financial Ombudsman Service in case of disputes.
Our assessment of Spread Co’s reliability results in a Trust Score of 8.5 out of 10, acknowledging its longstanding reputation and commitment to client service.
Spread Co Leverage
Leverage options with Spread Co are determined by the regulatory environment and the specific brokerage operations. The UK's regulatory framework, focusing on trader safety, prescribes lower leverage limits including up to 1:30 for major currency pairs, 1:20 for minor pairs, and 1:10 for commodities.
Pros
Easy digital account opening process
Regulated and trustworthy broker
Competitive trading conditions with tight, fixed spreads
Varied platform selection
Comprehensive deposit and withdrawal options
Quality educational resources including trading videos and news
Cons
Limited trading instruments, focusing mainly on Forex and CFDs
Higher fees for Stock CFDs
No roundtheclock customer support
Spread Co Review Summary in 10 Points
Headquarters: UK
Regulation: FCA
Platforms: Web Platform, Mobile Apps
Instruments: Offers CFD and Forex trading across equities, indices, currencies, and commodities
EUR/USD Spread: 0.8 pips
Demo Account: Available
Minimum Deposit: $200
Base Currencies: USD, GBP, EUR
Education: Access to dedicated relationship managers and educational resources
Customer Support: Available 24/5
Trading fees are a critical factor for every forex trader, influencing the overall cost of trading and affecting profitability. When evaluating a forex broker, it's essential to consider not only the headline trading costs but also any additional fees that might apply, such as withdrawal fees, inactivity fees, and conversion fees. These can vary significantly from one broker to another and can add up over time, particularly for active traders. Understanding the fee structure is crucial for traders to manage their trading costs effectively and maximize their returns.
Forex trading offers access to a wide range of instruments, including major, minor, and exotic currency pairs, as well as commodities, indices, stocks, and cryptocurrencies. The availability of these instruments can vary significantly between brokers, affecting the trading opportunities available to traders. When choosing a forex broker, it's important to consider the range of instruments offered and whether they align with your trading strategy and interests. Additionally, the quality of the execution, including speed and reliability, can significantly impact trading outcomes and should be carefully evaluated.
Spread Co offers a unique approach to account types, distinguishing itself from other brokers. Instead of multiple account types, Spread Co provides two distinct settings: spread betting and CFD account options. This choice allows traders to select the trading style that best suits their needs and preferences. The account opening process is straightforward, requiring the submission of personal details and information about trading experience. Initially, accounts are set as Demo, and upon depositing funds, they are upgraded to Live status, enabling immediate trading. This streamlined approach simplifies the account selection process and allows traders to quickly start trading.
Spread Co incorporates its fees into the spread, with additional fees such as funding fees also being relevant for traders to consider. It's essential to be aware of the rollover or overnight fee, which can amount to approximately -2% for short positions held for more than a day. Based on an extensive comparison of over 1000 brokers, Spread Co's fees have an overall rating of 4.0 out of 5, reflecting their competitive position in the market. While the fees are built into the spreads, and most currency pairs have relatively low spreads, it's important to account for any additional fees that might apply.
Spread Co's spreads are notably competitive, with a spread of 0.8 for spread bets on the FTSE 100 and US DJIA Index, as well as the EUR/USD currency pair. Traders can also benefit from 0% financing on short index and equity positions and a 2% interest rate on cash balances in spread betting accounts, provided there is a minimum balance of 10,000 GBP. Comparing Spread Co's spreads with those of other popular brokers reveals their competitive edge in the market. Our experts have assigned an overall rating of 4.0 out of 5 to Spread Co's spreads, acknowledging their lower than industry average spreads for key instruments such as the EUR/USD pair.
Initiating live trading requires a deposit, set at a competitive threshold by Spread Co. The account funding process is streamlined through the personal account management area, taking just a few minutes to complete, with options for Credit/Debit Cards and Bank Transfers as payment methods.
We rated Spread Co's funding methods as excellent, scoring 4.0 out of 5. There are minimal to no fees for transactions, but it's notable that the broker limits funding methods to Credit/Debit Cards and Bank Transfers, excluding e-wallet options.
Pros
Competitive minimum deposit requirements
Quick and easy account funding process
Cons
Limited payment method options
The broker does not impose fees on deposits, though payment providers may apply charges, treating deposits as cash advances. Withdrawals adhere to a company policy requiring funds to return to their original source, facilitated by the aforementioned methods, with a minimum withdrawal limit set at 50GBP.
Spread Co delivers an intuitive trading experience through its platforms, designed for optimal performance across a broad range of financial instruments. The proprietary web-based platform requires no download, offering customization through popular features, suitable for both novices and professionals.
We have assessed Spread Co Platforms as satisfactory, with a rating of 3.5 out of 5, in comparison to over 1000 other brokers. The platform's user-friendliness is a plus, but the absence of a desktop version and third-party platforms like MT4 or MT5 is a notable disadvantage.
Mobile Platform
The mobile application ensures continuous access to trading, mirroring the web platform's robust features, including TradingView Inc.-powered charts for comprehensive analysis.
Education
Spread Co's education and support through relationship managers, alongside an educational library of guides and video updates, receive a commendable rating of 4.0 out of 5. The materials provided are of high quality, offering substantial learning resources.
Concluding this review, Spread Co has solidified its position as a reputable UK broker over more than a decade, offering a wide array of trading instruments via CFDs with fixed spreads. This approach simplifies cost understanding for traders.
However, the drawbacks include the absence of popular trading platforms such as MT4 and MT5 and limited trading market alternatives.
Based on our comprehensive review and expert opinions, Spread Co is recommended for:
Beginning Traders
Experienced Traders
Currency and CFD Trading
Tight Spread Trading
Spread Betting
The broker's proprietary platform, despite its limitations, provides a potent trading environment.
