[Alejandro D]

Traders, what is the cheapest firm when it comes to overnight fees on currencies?

I know this forum is mostly about day trading but I imagine some traders on here are like me and hold some positions for less than a day and others for several days.

Cheers in adavcen.

Reply

Topic

[James Barra]

Hi Alejandro D,

Thanks for your message.

Have a look at DayTrading.com’s cheapest brokers, which factors in a range of trading fees.

It’s important not to look at overnight fees in isolation as some brokers may have cheaper overnight rates but then make these up in other areas, for example spreads and commissions.

Equally, you may want to consider the whole package because for some traders, it can be worth paying more for faster execution and premium market data and trading tools.

Reply

[Alejandro D]

I appreciate you sharing the article but do you have any data on the overnight fees charged by the companies you talk about? I can see the spreads on EURUSD but no overnight charges.

Cheers.

Reply

[James Barra]

Hi Alejandro D,

We haven’t detailed the overnight fees for all the brokers mentioned in that article, partly because it’s focused on the cheapest day trading brokers and day traders can often avoid overnight charges.

However, below are links with details on the overnight charges, or where to find them, at some of the top brokers mentioned in case useful:

• https://www.forex.com/en/about-us/financial-transparency/trading-costs/
• https://pepperstone.com/en-gb/ways-to-trade/pricing/
• https://www.ig.com/uk/help-and-support/spread-betting-and-cfds/fees-and-charges/why-is-overnight-funding-charged-and-how-is-it-calculated-
• https://www.interactivebrokers.co.uk/en/accounts/fees/overnight-position-fee-europe.php
• https://www.icmarkets.com/global/en/trading-pricing/swap-rates

Reply

[Steve]

Overnight fees at IC Markets are lower than most of the industry.

Reply

[Christian Harris]

I agree.

IC Markets (and TopFX) are both very competitive with their swap fees for leveraged assets.

Reply

[Christian Harris]

It’s also worth noting that different financial instruments, such as stocks, forex, commodities, and indices, have varying swap fee structures.

For example, forex trading often incurs swap fees due to the interest rate differentials between currency pairs, while stock trading might have lower or different swap fee structures.

Each broker may have different policies and fee structures for swaps, depending on their internal costs, market conditions, and the liquidity of the traded instruments.

So, be sure to compare the swap costs of all the instruments you intend to trade.

Reply

[James Barra]

Good point, it’s definitely worth checking the rates for the assets you plan to trade.

If you’re struggling to find these, you can try contacting a broker’s support team (most decent brands offer some form of immediate assistance in my experience, e.g. live chat).

Reply

[Alejandro D]

It’s foreign exchange I’m dealing in and I found the info I was looking for on various brokers’ sites. Cheers for explaining though

Reply

[James Barra]

Glad to hear it. Best of luck Alejandro.

Reply

[Author]

Replies