Thursday, December 31, 2009

What better and safer to trade to build capital to start a business; CFDs, spread betting, options or stocks?

Resolved Question

What better and safer to trade to build capital to start a business; CFDs, spread betting, options or stocks?

I am just wondering, I am considering starting an Internet based business but don't have sufficient funds nor am I a programmer/desiger, so I want to pay someone to not only make my projects but to run the server management for me. I have £3,000 cash in savings, and I want to know which investment vehicle would be best out of options trading, i.e. call & puts, spread betting, CFDs or to just buy the stocks directly to raise the funds, say, £50-100k? Please help/advise. Thanks.

Best Answer - Chosen by Asker

you have just £3,000 cash in savings?? well, at least look at the bright side you don't have debt like most UK/USA citizens. As for options, spread betting or CFDs these are all leveraged trading products and you really need some £10,000 to stand a chance to turn it into £50k-100k (and even then you would have to get a good dose of luck as turning 10k into 50k is by no means a simple feat and you will need to have a trading system which works)

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Other Answers (1)

  • In short, the only way 3k can turn 50k is through high leveraged trading, in other words, GAMBLING. You could lose ALL your 3k VERY EASILY. Is that what you are willing to risk?

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