Spread betting is a form of derivatives trading where you place a bet on the future direction of a market. You never take ownership of the underlying asset when you spread bet, which means you can speculate on rising or falling markets without paying taxes.

Spread betting is a type of financial trading in which the trader places bets on the difference between the price of an underlying asset and its current price. Spreads can be either negative or positive, depending on whether they represent a view that the asset's price will rise or fall.