Neteller - Will they take Europe by storm as well?

jimmy b,

My understanding of what WJ is saying is that if one wanted to take advantage of an anticipated short-term dip in the share price, but are holding the shares for the long term, is to use a CFD or spread bet to short the stock, while still retaining the shares. That is a strategy I have had in mind for some time, but never been brave enough to implement it.

As you say a spread bet is better for doing that as it is tax-free, but from my limited experience the spreads are wider and the time periods less flexible.

Personally I would be grateful for an expert to step in here and clarify the advantages and disadvantages of both methods.

I have used CFD's to purchase shares on margin, and promptly lost £8k in the process so my trading prowess is obviously in need of greater expertise.

I have an inkling that if I had used spread bets my losses in that exercise would have been even greater.