ETX Capital (formerly known as TradIndex) is the trading name of Monecor (London) Ltd which was incorporated in 1973. The firm originally joined interdealer broker Tradition in 2000 as part of their institutional bond brokerage services. In 2002 Monecor became the retail derivatives arm of Tradition UK under the trading name TradIndex. The company quickly established itself as one of the leading UK providers of retail derivatives achieving growth of over 100% year on year.
In 2007 Robin Houldsworth and rag trade and pub entrepreneur Peter Shalson acquired Monecor for an undisclosed sum from Tradition UK Ltd. Later in 2008, the TradIndex site was re-branded as ETX Capital. The name ETX Capital reflects the company's core businesses of electronic trading, telephone trading and execution services.
For FTSE 100 shares ETX's spreads are between .08 and .1 percent added to or subtracted from the market bid or offer. For UK shares outside of the FTSE 100 they charge between .18 and .22 percent.
Rolling bets keep rolling until you close them out, you are charged funding for them but the profit/loss will only be realized when you close the trade. You can have as many open positions in the same product as you wish as long as it is in the same direction, but you cannot be long and short the same product. The financing charges are charged on the full amount of a position and with the present interest rates at 0.5% ETX may charge if the client is long or short of the market.
Future share bets aren't offered at ETX Capital BUT their rolling dailies differ to some of their competitors in that they will always re-open you the following day at the level that you initially traded at. So in that respect it will be like a future. For example: If you bought £20,000 of Vodafone at 132.2 it equates to approximately £151 per penny movement so your bet would be you bought £151 VOD Rolling Daily @ 132.2 - let's assume it closed at the end of the day at 140 - showing a profit and loss of £1177.8. Your funding would be charged overnight (approximately £1.65 and roughly at that amount every day) and your position would re-open at 132.2 the following day showing a profit of £1177.8.
Stop losses on the ETX Capital Silver site are executed based on the underlying traded market price with ETX's spread added to this. For example, although ETX's equity contracts are quoted using the underlying market bid and offer prices with their spread added to this, a stop loss would not be executed based on a low bid that has not traded in the market. Below is an example of what would trigger a stop loss.
You are long Apple Inc Rolling Daily with a stop loss to sell at 20259. In the underlying market Apple Inc is trading at 20275 to sell and 20285 to buy. With ETX's spread of 0.08% added to each side, ETX Capital would be quoting 20259 to sell and 20301 to buy. If the underlying stock traded at 20275 and your stop loss was at 20259, then you would be stopped out. If the stock only traded as low as 20285 then your stop loss would not be triggered even though ETX's current sell price is 20259.
I have been with ETXCapital since 2002 and although their spreads are not the best I just really like using it. Perhaps ETX Capital can be thought of as a sort of no-frills version, fast and easy-to-use online spread betting platform. Even so a wide range of markets are covered. For instance, stock indices such as the FTSE 100 and the Nikkei are complemented with access to less common exchanges such as the Milan MIB and the Swiss market. ETX Capital also allows swing traders to take positions on commodities such as Brent Crude, High Grade Copper, silver, gold and platinum. Moreover, the site provides access to currencies, bonds (10 year UK gilts and US long bonds) and single shares from the major UK, US and continental European markets.
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