Global Trader gets licence

Irish financial spread betting firm Global Trader has been granted a licence to operate in Ireland and Britain by the Financial Services Authority (FSA).

The company says the licence is designed to boost confidence in spread betting firms and ensure that it is not seen as operating in “shady” markets.

Global Trader plans to ramp up its marketing activities to attract more clients in Ireland to trade contracts for difference (CFDs) and spread betting.

The company had transferred its headquarters from Dublin to London in 2004 after “protracted and unproductive” negotiations with the Irish financial regulator failed to secure a licence in Ireland. At present the Irish regulator does not oversee spread betting companies.

“Our initial focus will be towards Irish customers who have an interest in the emerging markets and who are currently unable to execute such products with the existing providers,” Global Trader chief executive David Butler said.

“We can now offer private traders the same transparent pricing traditionally reserved for the institutional markets,” he said.

The company, which was founded by Mr Butler in 2001, has clients in 26 countries and offices in Britain, South Africa, Canada and Thailand. .

Global Trader says it conducts more than 300,000 transactions a year worth €4 billion.

Mr Butler added: “We have lifted spreads out of the shadows and have created a new trading world for our clients that is not based on old, shady concepts but is clear, transparent and open.”

The company said it wants to move spread betting away from bookmaking and geared toward private investors and small institutions.