Derivatives Trading Attract Increasing Number of UK Retail Investors
MEDIA ADVISORY
Derivatives Trading Attract Increasing Number of UK Retail Investors
Derivatives, such as CFDs (Contracts for Difference), futures and spreadbetting, are growing in popularity among UK retail investors, according to E*TRADE FINANCIAL Corporation, which cites a 23% rise in CFD trading, 42% rise in Futures trading and a corresponding rise in spreadbetting.1
“With the steady rise of the FTSE 100 and other stock indices, we are witnessing a corresponding rise in derivatives trading activity in the UK,” said Salim Sebbata, senior director of UK Retail, E*TRADE Securities Limited. “UK investors are gravitating to derivatives in light of several variables— the direction of the US market, the softening domestic housing market, and rising interest rates—all of which contribute to potential volatility and a desire to hedge.”
Sebbata continued, “Derivatives are increasingly becoming a popular way of trading commodities, currencies and stock indices. E*TRADE UK is helping to widen the accessibility of derivatives among retail investors by offering competitive pricing and service, and advanced tools.”
E*TRADE FINANCIAL Corporation, one of the leading global online brokerage firms, announced Q207 earnings on 25 July 2007. The Company services over 4.5 million retail accounts around the world with 18 branded websites outside the US.
The E*TRADE FINANCIAL family of companies provides financial services including trading, investing, banking and lending for retail and institutional customers. In the UK, its subsidiary, E*TRADE Securities Limited, provides trading in U.K. and U.S. shares, Spreadbetting, CFDs, FX, Futures, Self-Select ISA, PEP, SIPP and a comprehensive range of research and tools. E*TRADE’s institutional business provides global brokerage services.
E*TRADE Securities Limited is a company registered in Scotland No. SC103238 with its principal place of business at 42nd Floor, One Canada Square, London E14 5AA, United Kingdom. Registered Office: 24 Great King Street, Edinburgh EH3 6QN, United Kingdom. E*TRADE Securities Limited is a member of the London Stock Exchange and is authorised and regulated by the Financial Services Authority.
1 Compounded Annual Growth Rate from Q206 to Q207
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