Spread & Trading
Conditions
Understand the swap and spread rates applied when trading with Exo Capitals
Transparent Trading Costs
Fixed & floating spread options
Competitive swap rates
Islamic account options available
Transparent fee structure
Understanding Trading Costs
Learn about the two main components that affect your trading costs
Spread
The difference between the buying and selling prices of financial assets, expressed in 'pip' units.
For example, if the buying price is 1.1225 and the selling price is 1.1223 in the EURUSD parity, this spread is 2 pips (1.1225-1.1223 = 0.0002).
Example: When you open one lot (100,000 units), you'll have a cost of 0.0002 × 100,000 = 20 USD Spread.
Swap
The cost applied to positions held overnight, resulting from the difference between interest rates of the traded currencies.
In Forex markets, 'bought' money is lent and 'sold' money is borrowed. This creates either a cost or income based on interest rate differentials.
Example: If the interest rate of the received currency is lower than the sold currency (-), a cost is deducted. If it's higher (+), you receive income.
Exo Capitals Account Types
Choose the account type that best suits your trading style and preferences
Fixed Account
Spread is fixed and unaffected by price fluctuations on the market.
Predictable trading costs
Ideal for beginners
No surprises during volatility
Consistent pricing
Floating Account
Spread is variable, depending on market volatility or the asset being traded.
Potentially lower spreads
Better for experienced traders
Reflects real market conditions
Opportunity for cost savings
Islamic Account
Accounts that are traded according to Islamic rules, not applying swap interest.
No swap fees
Shariah-compliant trading
Available with fixed or floating spreads
No interest charges
Spread & Swap Rates
View our competitive rates for various instruments
| Instrument | Fixed Spread (pips) | Floating Spread (pips) | O/N Spread (pips) |
|---|---|---|---|
| EURUSD | 1.8 | 0.8-2.0 | 2.0-3.5 |
| GBPUSD | 2.0 | 1.0-2.5 | 2.5-4.0 |
| USDJPY | 1.9 | 0.9-2.2 | 2.2-3.8 |
| AUDUSD | 2.2 | 1.2-2.8 | 2.8-4.5 |
| USDCAD | 2.4 | 1.4-3.0 | 3.0-5.0 |
| NZDUSD | 2.5 | 1.5-3.2 | 3.2-5.2 |
| USDCHF | 2.3 | 1.3-2.9 | 2.9-4.8 |
Note: O/N (Overnight) spreads can vary according to market conditions. Overnight hours are from 23:00 until 08:00 GMT +2.
Rules Regarding Swap Fees
Understanding the rules around swap fees is essential for effective trading strategy. Here are the key points to remember:
Same-Day Positions
Swap costs or revenues are not applied to positions closed on the same day.
Interest Rate Changes
Swap balances change because the interest rates of the countries to which the relevant currency units belong.
Weekend Swaps
A 3-day swap is applied to positions that are not closed on Thursdays (equivalent to the value of the weekend).
Islamic Accounts
You can choose the Islamic Account option as a non-swap-based application.
Swap Position Examples
Understanding swap positions is crucial for overnight trading. Here are the two main scenarios:
Negative Swap (-)
If the interest rate of the received money is low and the interest rate of the money being sold is high, the cost is deducted from the investor's account.
Positive Swap (+)
If the interest rate of the sold money is low and the interest rate of the money received is high, it is returned to the investor as income.
Example: EURUSD
For EURUSD with a rate of 1.67, the short swap is 1.67% (positive) and the long swap is -7.93% (negative).
This means going short (selling EUR, buying USD) would earn you swap income, while going long (buying EUR, selling USD) would incur swap costs.
Ready to Start Trading?
Open an account today and experience our competitive spreads and transparent trading conditions