Using CFDs (Contracts for Difference) and Spread Bets

When I first started trading my own portfolio I would buy actually equity positions on the stock market. I found that a lot of my money was tied up owning too little positions plus owning actual shares means you do not have the advantages of other vehicles such as guaranteed stop losses and the ability to leverage to buy a larger positon than you ordinarily would.

Several years ago I started using Contracts for Difference (CFD) and Spread Betting thorough Igmarkets and IgIndex respectively.

So what are the pros and cons of each:

CFD's
Pros - ability to leverage a position using margin (i.e. you can buy £20,000 of a FTSE 100 company for £1000 margin down payment), guaranteed stop losses are available (even if a company goes bust you are guaranteed the stop price, with normal shares you often cannot sell in a steeply declining market), can go short (sell a share with a view it is going down) or long (buy a share with a view it is going up), free from UK stamp duty
Cons - It is a leveraged product so you need to be careful about having enough margin if the price of one your portfolio constituents suddenly moves, you pay interest on the cash value of the positions you own (which can add up over time), guaranteed stops not always available on volatile AIM stocks, you are still subject to capital gains tax (if you go over the annual allowance)

Spread bet
Pros - leveraged like CFD's, not subject to capital gains tax or stamp duty (since technically a bet), guaranteed stops available (though not always on AIM)
Cons- limited time scale (you have to buy a position based on price 1, 3 or 6 months ahead), you pay a premium in the spread (the difference between buy and sell which is increased on guaranteed stops), a large margin can be required especially for small cap shares