Trade Reckitt Benckiser Group Shares

Reckitt Benckiser Group (RB.L)

About

Reckitt Benckiser Group Plc is a manufacturer and marketer of branded products in household cleaning and health and personal care, selling a range through over 60 operating companies into around 180 countries.

Industry

Nondurable Household Products

Website

www.reckittbenckiser.com

Trading Options

Financial Spread Betting
Contracts For Difference
Share Dealing / Stockbroker

Reckitt Benckiser Group and Market Latest News


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Reckitt Benckiser Group: Financial Spread Betting vs CFD vs Share Dealing

Table below compares Financial Spread Betting, Contract For Difference and Share Dealing trading. For simplicity we use the average brokerage fees to calculate the profit/loss if £1,000 available for investment in Reckitt Benckiser Group shares (Reckitt Benckiser Group share price is 3000p). Supposedly, you think that Reckitt Benckiser Group shares will go up by 10% in one month.

Calculations

Spread Betting

CFD

Share

Number of Shares Equivalent

667

667

33

Shares go up by 10% in 1 month, Gross Profit

£2,000

£2,000

£100

Commission to open position (buy)

£60

£15

£12

Commission to close position (sell)

£0

£15

£12

Total Commission

£60

£30

£24

Financing for one month (5% LIBOR rate)

£108

£108

£0

Tax (20% band)

£0

£372

£15 + £5 (Stamp Duty)

Net Profit

£1,832

£1,490

£56


Reckitt Benckiser Group: Financial Spread Betting and Contracts For Difference (CFDs) are margined (or leveraged) products and let you go long (buy) or short (sell) with Reckitt Benckiser Group shares, they are more suitable for short and medium term investments and cover a wide range of markets, including shares, indices, commodities and currencies. Share investing, on the other hand, is a conservative and old way of gaining financial independence and preserving capital. Even though some stockbrokers offer credit facilities it is very rare and not popular amongst private investors.

Risk Warning: Financial Spread Betting and Contracts For Difference (CFDs) are leveraged products and carry a high level of risk to your capital. You may lose more than your initial investment. Share price can go down as well as up and returns on investments are not guaranteed.