Trading costs reduce returns and can have a large effect on strategies that trade frequently or target small price moves. Compare the complete cost of execution rather than relying on one advertised figure.

Spread

The difference between the available buy and sell prices.

Commission

A transaction fee charged on eligible products or account types.

Overnight financing

A credit or charge for keeping an eligible leveraged position open after the daily cutoff.

Conversion cost

A charge or rate difference when the instrument and account use different currencies.

Slippage

A change between the requested and executed price during volatile or illiquid conditions.

• Choose a market with enough liquidity for the intended order size.
• Avoid overtrading when the expected move is small relative to costs.
• Review overnight charges before holding leveraged positions.
• Use account reports to compare expected and realized execution.

A lower fee does not make a leveraged trade suitable. Position size, volatility, liquidity, and potential loss should determine whether a trade belongs in your plan.