Razvan Mihai


The most common commissions found in the Brokerage houses are the spreads. The difference between the BID and ASK is the fee a trader pays for the ability to speculate on the Forex Market or trade Commodities and Indices. Depending on the instrument’s liquidity, the spread can be higher, or lower.

If a trader intends to trade stocks, then additional commissions will be taken when a trade is opened and closed.  The fees can also differ from one type of account to another. If a trader chooses to trade on an ECN account, they will have a very small spread. As a result the brokerage houses take a commission for entering and exiting a trade. Spreads and commissions combined do not exceed the spread of a floating or fixed spread accounts.

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