Share Questions Answered at Shareworld.co

Topics Tools and reviews

ShareWorld is an online resource where you can get answers to all your investment related questions. Simply post your question for free on the site and you will receive a comprehensive answer normally within 48 hours.

The site also contains a large archive of previously answered questions centring primarily but not exclusively around UK & international quoted stocks.

I can’t see my new account in the client portal.

Topics CoreTrader 2

All clients with a CoreTrader 1 account should have a CoreTrader 2 account and the new accounts should be available in the Account Summary area of the client portal.

If you can not see your account in the portal please call our support team on 0203 475 4830.

What is happening with statements?

Topics CoreTrader 2

You will receive a CoreTrader 1 statement on Friday night (8th January) regardless of what frequency you have set to receive one, this will include all your trades and activity in CoreTrader 1.  The next statement you will receive will be a CoreTrader 2 one for the following week’s trading.

 

What is Forex?

Topics Trading basics

The Forex (FX) markets are the largest financial markets in the world, with almost $5 trillion worth of trade occurring every day, 24 hours a day, 5 and a half days a week. They are the most popular MT4 markets, as traders are attracted to the high liquidity, tight spreads and potential for large gains (or indeed losses).

Continue reading What is Forex?

Central Banks

Topics C, Trading glossary

A central bank is responsible for managing the monetary system in its jurisdiction. Through acting as the lender of last resort, setting interest rates and controlling monetary supplies, a Central Bank seeks to achieve goals such as low inflation, currency stability and full employment. The fundamental purpose of a central bank is to ensure stability in the financial system.

Central banks take a particular interest in the financial markets; the movement of share prices can have significant effects on household consumption and business investment. Subsequently, their policy announcements are followed closely by traders. Notable central banks include the Bank of England, European Central Bank, Bank of Japan and the US Federal Reserve

Contracts for Difference Explained

Topics Trading basics

What is a CFD?

A CFD (Contract for Difference) is a financial derivative that allows traders to profit, or incur losses, relative to the price movements of an underlying financial security. The Contract for Difference is an arrangement for one party to pay the difference in value from when the contract was opened to when it was closed. CFDs are offered on 1,000s of markets, including commodities, currencies, indices and shares.

Continue reading Contracts for Difference Explained

Loyalty Scheme Launched

Topics Core Spreads News

Core Spreads has launched an innovative Loyalty Scheme that rewards traders with monthly cash rebates scaling up to a possible 25% of spread and/or commission traded.

Traders earn Core Points for the spread or commission they trade and through social media interactions like following Core Spreads on Twitter or retweeting a post.

Continue reading Loyalty Scheme Launched

What happens at month-end?

Topics Loyalty Scheme

Several things. Firstly we take your Core Points balance at the end of the month and work out your rebate level for the next month as per our rebate ladder.  This will set your rebate level for the next month.

We also finalise and pay the cash rebate amount earned during the prior month based on the rebate level set the previous month-end.  The rebate amount is applicable spread and commission traded x rebate level.  Your rebate amount is verified by our Finance Department and applied to your trading account within 7 working days.

We will email you detailing your Core Points balance, rebate level for the next month, spread & commission traded in the month and cash rebate.

How is my spread calculated?

Topics Loyalty Scheme

Spread is only used in the Loyalty scheme if it is generated from a CoreTrader account.  With respect to the loyalty scheme MT4 accounts can only generate commission.

On index, fx and commodities spread is calculated by multiplying the size of your stake and the bid-offer spread on each trade you make. If you made a £10 a point trade on the UK100 at our fixed spread of 0.8 points, that would generate £4 on the opening and £4 on the closing trades. That’s £8 of spread.

On equites only the add on spread is considered spread (the underlying market spread is excluded from the calculation).

What are Core Points?

Topics Loyalty Scheme

Core Points are a way of determining your rebate level.  The amount of Core Points you have at month-end determines your rebate level (expressed as a %) for the following month as per the rebate ladder. Core Points cannot be used to trade with, they are just a way to work out your rebate level.

You earn Core Points by trading with Core Spreads and engaging with us on social media.

How long do Core Points last?

Topics Loyalty Scheme

We recognise traders don’t trade all the time. Core Points do not disappear at the end of the month they are earned. Core Points earned in one month depreciate equally over the next three months. This is to ensure fluctuations in the amount of Core Points you earn are evened out.

By way of an example, if you earned 150 Core Points in June, 100 of these points would count towards your balance at the end of July, 50 towards August and none towards September.

What happens if I stop trading?

Topics Loyalty Scheme

If you continue the social media interactions, you will continue to earn Core Points. However, if you are not trading any spread then there is nothing to apply your rebate amount to.

Core Points depreciate equally over the following three months, so if you stopped the social engagement and trading your balance would slowly reduce to zero.

How do I earn Core Points?

Topics Loyalty Scheme

The main way is by trading with us.  For CoreTrader accounts for every £/€/$ of spread traded with us you earn one Core Point.  If you traded £500 of spread in a month that is 500 Core Points.

For MT4 accounts for every £/€/$ of commission generated on FX, gold and silver markets with us you earn one Core Point.

The other way is by helping us grow our social media by engaging with us. You can earn Core Points in the following ways:

  • for every day you follow us on Twitter you earn one point.
  • each time you retweet a Core Spreads post you earn 5 Core Points (max per month 5 retweets); and
  • like us on Facebook and earn one Core Point per day.

We’ll be adding other ways to earn Core Points in the near future.

What are the social media interactions that earn Core Points?

Topics Loyalty Scheme

There are a number of ways in which you can earn Core Points by engaging with us through social media:

  • for every day you follow us on Twitter you earn one point.
  • each time you retweet a Core Spreads post you earn 5 Core Points (max per month 5 retweets); and
  • like us on Facebook and earn one Core Point per day.

When can I spend my rebate?

Topics Loyalty Scheme

There are no release criteria, the cash rebate is yours when we credit it to your account in the 7 working days following month-end. You can withdraw it or trade with it. There are no restrictions.

How do I follow you on Twitter?

Topics Loyalty Scheme

Simply navigate to the Core Spreads profile on Twitter and click on the ‘Follow’ button near the top of the page. Make sure to register your Twitter ID with us in the trading platform so we know it’s you.

How do I like you on Facebook?

Topics Loyalty Scheme

Just search for Core Spreads in the search bar at the top of your Facebook homepage. Once you’ve navigated to our profile, you can like us by clicking the ‘Like’ button near the top of the page and earn one Core Point per day.

Do I need to do anything to sign up?

Topics Loyalty Scheme

All our clients are automatically enrolled on the scheme, so you don’t need to do anything unless you want to earn Core Points by engaging with us on social media. To do this, simply tell us your Twitter handle and Facebook name by going to the Rewards section of the trading platform and then follow or like us on the respective platform.

Do I need to do anything at month-end?

Topics Loyalty Scheme

Everything is done automatically by us. At month-end we will email you detailing the Core Points you have obtained and the rebate you have been awarded for your next month’s trading, along with what you traded in the prior month and your cash rebate amount.

How do I maximise my rebate level?

Topics Loyalty Scheme

You can get higher up the rebate ladder by increasing the spread (CoreTrader) or commission (MT4) you trade with us, and by engaging with us on social media. The rebate level can get as high as 25% of your total spread or commission traded.

How does the loyalty scheme work?

Topics Loyalty Scheme

As a Core Spreads trader, you get rewarded with Core Points every time you trade or engage with us on social media. At the end of the month, we award you a rebate level as determined by our rebate ladder for your following month’s trading, derived from the amount of Core Points in your account.

So, if you have 5,000 Core Points at the end of February, you will be awarded a rebate of 15% for your trades in March. A cash rebate will then be paid into your account at the start of April, which you can trade or withdraw, this would be calculated by taking the spread or commission you traded in March multiplied by the 15%.

Every trader is automatically enrolled, and we will email you at the end of every month detailing your Core Points balance, rebate level and cash rebate.

Junk Bond

Topics J, Trading glossary

A junk bond is a higher-risk bond that has a speculative appeal as they can offer much higher yields. However, companies that issue junk bonds typically have a poor credit rating, and although the price appreciation of a junk bond is substantial if the company manages to turn itself around, it isn’t always able to do so.

Last Dealing Day

Topics L, Trading glossary

Also known as the last trading day, the last dealing day is the final day that a futures contract can be traded, otherwise it will be closed out and the delivery of the asset or a cash settlement can occur. The holder of the contract must fulfil the terms of the contract, however, in most cases the futures contract was taken out to hedge or speculate on an asset’s price.

Leading Indicators

Topics L, Trading glossary

A leading indicator is a measureable economic factor that changes before the market as a whole changes. Traders use leading indicators to predict the future movement of the markets to give them an edge over other investors, however these indicators are not always accurate.

Leverage

Topics L, Trading glossary

Leverage is when an investor or business uses borrowed money to attempt to increase the return from an investment. Companies use leverage to try and increase the profit they can make. Leverage is calculated by dividing the total debt of a company by the total equity. When a company uses a lot of its debt to finance projects and other investments, the interest gained is tax deductible, however if these investments don’t turn a profit, the debt could grow past a manageable level for the company.

See also: Gearing

Liability

Topics L, Trading glossary

Liability refers to the debts that have arisen in a company during the course of business operations. Liabilities are settled over time using money, goods and services.

Limit Order

Topics L, Trading glossary

A trader places a limit order on a bet to notify a broker to buy or sell a certain number of shares of an asset once it reaches a certain price or better. A limit order is only executed if the market reaches the specified price, otherwise it will expire.

Liquid

Topics L, Trading glossary

When a market is liquid, it means that the markets typically have narrow spreads and can accommodate larger transactions than an illiquid market. The price changes in a liquid market are typically less volatile.

See also: Illiquid

Liquidation

Topics L, Trading glossary

Liquidation occurs when a business is terminated or bankrupt, its assets are sold off and the proceeds pay its creditors. Any leftover funds or assets are split between its shareholders.

Liquidity

Topics L, Trading glossary

The liquidity of a market determines how much of a product can be bought or sold in a market. Assets that can be easily bought or sold are known as liquid assets.  It is generally considered less risky in liquid assets, as it is easier for an investor to get their money out when they feel it is the right time to leave the market although liquidity can dry up quickly as it did when the Swiss Central Bank removed the CHF peg on the dollar in January 2015.

Long

Topics L, Trading glossary

A long bet refers to a transaction by a trader who believes the market for a stock, commodity or currency is going to increase in value.

See also: Short position

Long Term Bet

Topics L, Trading glossary

A long-term bet refers to a trader having a position in a market that is likely to last months rather than just days or weeks. A long-term bet will generally have a stop loss or a limit order so that the trader is not having to keep track of the bet at all times and can cash out at a profit or to avoid unsustainable losses.

LSE – London Stock Exchange

Topics L, Trading glossary

The LSE is the primary stock exchange in the UK and the largest in Europe. The FTSE 100 is the dominant index of the exchange, and contains the 100 top blue chips on the LSE. The LSE is the most international stock exchange in the world, containing companies from over 50 different countries.

LME – London Metal Exchange

Topics L, Trading glossary

Also known as the London Metal Exchange, the LME is a commodities market in London that specialises in metal futures contracts. Aluminium, copper and zinc are three of the main commodities traded on the exchange, which is non-ferrous, meaning that no iron or steel is traded on the market.