Spread betting
Spread betting allows people to bet on sporting events, politics or stock market movements.
Unlike more traditional forms of gambling where you only lose the amount of your bet, spread betting profits and losses can be unlimited.
With ordinary betting, you are either absolutely right (your horse wins) and you win money depending on the odds quoted, or you are absolutely wrong (you horse doesn’t win) and you lose the amount you have placed on the bet. With spread betting, the more right you are, the more you can win, but the more wrong you are the more you can lose – and your loss is not limited to the amount of your stake. So for example, if you bet £5 that the first goal will be scored on the 35th minute of play in a football match, you could win £25 if the goal is scored at the 40th minute of play or lose £25 if it is scored at the 30th minute of play.