Frontstocks com trading on the binary options
But if the FTSE 100 lurches downwards and the punter loses, the gamble would make him ?570 poorer. The betting often starts off small, with customers placing bets as low as ?1 in accounts with a ?10 minimum deposit, or trying their skills on a free demo platform.
Some firms even advertise robo-traders, algorithms which can place the bets for you. Financial markets are notoriously difficult to predict - and despite the reassurances of binary options sales people, a sudden unexpected price movement can ruin a bet at the last minute. In fact, binary options trading has more in common with betting than investing, according to the UKs financial watchdog.