ELI5: Explain Like I'm 5

Spread betting

Spread betting is a way of making bets on the future price of stocks, bonds, currencies, and commodities. You don't need to own these things to bet on them. Instead, you bet on whether the price will go up or down. If you are right, you'll make money. If you are wrong, you'll lose money. It's important to understand that when you spread bet, you don't actually own the stock or bond or currency or commodity that you are betting on. You are just betting with money on changes in the prices of these things.