RE: 11.6m Buy17 Jun 2020 11:17
The Spreadex holding is approx 959 Mln,but it's impossible to estimate just how much money traders have bet on their positions. The reason is because these spread betting firms have different ways of working.
The margin requirement with spreadex used to be set according to how much experience the trader had previously.This will have changed with new regulations that came in mid 2018,and not all the firms offer bets on very small mcap stocks.The margin required for EDL ranges from 18% to 75% (for trades over £2,500).
I have tried to work this out,but can only come up with a very rough estimate.A bet of £1 per
point is equal to 100 shares,so a bet of £2,500 would be a trade on 250,000 shares,and would require margin of £750.
I used to bet with Spreadex,and it's one of the more complicated methods of trading - I don't trade any bets now - just trade regular stock.It would be fair to reckon that there is £500,000 on EDL,as there is probably many traders following this one.I could of course,be entirely off the mark,so this is only a calculated guess.The holding could change if any trader closes their position.
Best to do your own research,and be very wary about margin trading.