Spread Bet (so also said in German, more rarely distance bet and difference bet)

A bet on the future prices of financial instruments or indices. With a small amount of capital and high leverage, the bettor speculates on changes in the spread of the underlying instrument, such as the share of the company in question or a specific index, e.g. the Dax. In contrast to an option, the bettor has no intention of ever acquiring the underlying instrument; and often enough he does not even know it in detail (a leveraged instrument that gives a person the opportunity to trade the financial markets without ever taking physical ownership of the underlying instrument. This means that the trader can speculate in the direction of any financial instrument without ever owing them). – See stock index, bucketshop, candidate bet, Kerviel scandal, option, sleepy warrant, speculation, straddle. – Cf. 2006 Annual Report of BaFin, p. 164 f. (control by BaFin; suspicion of market abuse).

Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/