CFD - Commission

Commissions for cryptocurrency and stock CFDs at FXOpen are calculated using a standard formula based on the transaction volume, with the broker's base commission calculated as a percentage of the contract value (in accordance with FXOpen's ECN account regulations). Below are step-by-step examples of calculating the half-turn commission for opening a position. When closing a position, the calculation is similar, based on the closing price.

CFD trading has commission to open and to close a trade and the commission is deducted from Account Balance at the moment of opening the position.

The commission for trades on commodities (XBRUSD, XTIUSD, XNGUSD) is calculated using the following formula:

where:

• Volume — volume of position in lots;
• Lot Size — number of ounces, barrels or commodity units in one lot;
• Opening Price — position’s opening price;
• Commission in Percent — commission in percent charged per 1 lot;
• K — Profit Currency (second currency in the symbol) to Deposit Currency conversion rate.

Example 1:

• Trade: XTIUSD (US Crude Oil)
• Profit Currency: USD
• Commission in Percent: 0.005
• Commission mode: round turn
• Opening Price: 47.17
• Volume: 2  lots
• Lot Size: 1000

Commission rounded: 4.72 (USD)

Example 2:

Cryptocurrency CFDs (using Bitcoin as an example – BTCUSD):

Let's say you open a position on the MetaTrader or TickTrader trading platform:

• Asset: BTCUSD

• Trade volume: 0.5 lots

• Lot size: 1 BTC

• Current BTCUSD price: $60,000

• Account currency: USD (K = 1)

• Commission rate: 0.1% (standard base rate for Crypto-ECN with a balance of up to $1,000). [3, 6]

Step-by-step calculation:

1. Determine the trade volume in USD:

0.5 lots * 1 BTC * 60,000 USD = 30,000 USD

2. Calculate the commission (half-turn):

30,000 USD * 0.1% (or 0.001) = 30 USD

Result: When opening a position, $30 will be debited. When closing a position, the commission will be recalculated based on the current Bitcoin price.

Example 3:

CFDs on stocks (using Apple as an example - #AAPL):

• Asset: #AAPL (Apple Inc.)

• Trade size: 10 lots (FXOpen stock CFDs typically have a lot size of 1 share)

• Current stock price: $180

• Account currency: USD (K = 1)

• Commission rate: 0.1% of volume

• Minimum order commission: $1 [1, 2, 3]

Step-by-step calculation:

1. Determine the trade volume in USD:

10 lots * 1 share * USD 180 = 1,800 USD 

2. Calculate the commission based on the percentage rate:

USD 1,800 * 0.1% (or 0.001) = 1.80 USD 

3. Check the minimum threshold:

The calculated value ($1.80) is greater than the minimum commission ($1), so the calculated value is applied to the account.

Result: The commission for opening the trade is $1.80.

(If you had bought just 3 shares of Apple for $540, the commission would have been $0.54. In that case, the broker would have charged a fixed minimum of $1.00.)

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