Forex

When a position is opened on an FX instrument you will pay:

1)The spread, which is the difference between the quoted bid and ask prices, and can vary depending on the prevailing market conditions

2)An overnight swap fee, which is charged when a position is held past our settlement time of 10pm UK time

Due to the Forex market settlement basis of T+2, if you hold a position overnight on a Wednesday, you will be charged for three days of swaps.

Calculations:

1) Calculation for the spread cost = Spread x Contract Size x Lots

2) Calculation for the daily annualised forex overnight swap charge = Settlement Price x Contract Size x Lots x Interest Rate Differential x (1/360)

3) Calculation for the daily annualised admin fee = Settlement Price x Contract Size x Lots x 0.75% x (1/360)

Our Interest Rate Differential will be calculated based on the relevant underlying bank rates which apply to both legs of the traded forex instrument. All swap fees are listed in the product details section on our trading platform.

Example:

You have a 2 lot Long EUR/USD position open, with a spread of 1.0, which is held for one night. Your account is denominated in GBP.

 Settlement Price = 1.1350 Swap Fee (per lot) = 1.1350 x 100,000 x -3.25% x (1/360) = -\$10.25 Admin Fee (per lot) = 1.1350 x 100,000 x 0.75% x (1/360)= \$2.36 Total Overnight Swap Charge = -\$10.25 – \$2.36 = -\$12.61= -\$12.61 x 2 = -\$25.22 Converted Total Overnight Swap Charge = -\$25.22 / 1.32585 = -£19.02 Spread = 0.0001 x 100,000 x 2 = \$20 Converted Spread = \$20 / 1.32585 = -£15.08 Total Cost (Total Swap Charge + Spread) = -£34.10

CFD

When a position is opened on a CFD instrument you will pay:

1) The spread, which is the difference between the quoted bid and ask prices, and can vary depending on the prevailing market conditions

2) An overnight swap fee, which is charged when a position is held past our settlement time of 10pm UK time

If you hold a position overnight on a Friday, you will be charged for three days of swaps to cover the weekend.

Calculations:

1) Calculation for the spread cost = Spread x Contract Size x Lots

2) Calculation for the daily annualised CFD overnight swap charge = Settlement Price x Contract Size x Lots x Relevant LIBOR Rate x (1/360)

3) Calculation for the daily annualised admin fee = Settlement Price x Contract Size x Lots x 2.5% x (1/360)

Our LIBOR rates will be based on the relevant underlying 1-month bank rates. All swap fees are listed in the product details section on our trading platform. If you are long, you will pay LIBOR plus our admin fee. If you are short, you will receive LIBOR minus our admin fee.

Example:

You have a 3 lot Short UK100 position open, with a spread of 1.5, which is held for 3 nights. Your account is denominated in USD.

 Settlement Price = 7405.5 Swap Fee (per lot) = 7405.5 x 10 x 0.73% x (3/360) = £4.50 (received) Admin Fee (per lot) = 7405.5 x 10 x 2.5% x (3/360) = £15.42 Total Overnight Swap Charge = £4.50 – £15.42 = -£10.92 = -£10.92 x 3 = -£32.76 Converted Total Overnight Swap Charge = £32.76 / 0.75423 = -\$43.44 Spread = 1.5 x 10 x 3 = £45 Converted Spread = £45 / 0.75423 = -\$59.66 Total Cost (Total Swap Charge + Spread) = -\$103.10

When a position is opened on an FX Spread Bet instrument you will pay:

1) The spread, which is the difference between the quoted bid and ask prices, and can vary depending on the prevailing market conditions

2) An overnight swap fee, which is charged when a position is held past our settlement time of 10pm UK time

Due to the Forex market settlement basis of T+2, if you hold a position overnight on a Wednesday, you will be charged for three days of swaps.

Calculations:

2) Calculation for the daily annualised forex overnight swap charge = Settlement Price / Tick Size x Stake Amount x Interest Rate Differential x (1/360)

3) Calculation for the daily annualised admin fee = Settlement Price / Tick Size x Stake Amount x 0.75% x (1/360)

Our Interest Rate Differential will be calculated based on the relevant underlying bank rates which apply to both legs of the traded forex instrument. All swap fees are listed in the product details section on our trading platform.

Example:

You have a £10 per point Long GBP/USD position open, with a spread of 1.5, which is held for two nights. Your account is denominated in GBP.

 Settlement Price = 1.3025 Swap Fee = 1.3025 / 0.0001 x -2.5% x (2/360)= -£1.81 Admin Fee = 1.3025 / 0.0001 x 0.75% x (2/360)= £0.54 Total Overnight Swap Charge = -£1.81 – £0.54 = -£2.35= -£2.35 x £10 = -£23.50 Spread = 1.5 x £10 = -£15 Total Cost (Total Swap Charge + Spread) = -£38.50

When a position is opened on an FX Spread Bet instrument you will pay:

1) The spread, which is the difference between the quoted bid and ask prices, and can vary depending on the prevailing market conditions

2) An overnight swap fee, which is charged when a position is held past our settlement time of 10pm UK time

If you hold a position overnight on a Friday, you will be charged for three days of swaps to cover the weekend.

Calculations: