Currency conversion fees: what do you pay on deposits and withdrawals?
Funding in one currency and trading in another adds conversion costs that compound quietly. Brokers' conversion rates and fees differ meaningfully.
Share:
- your account and funding currencies
- the conversion rate or fee your broker applies
- how it affects your bottom line
The trading costs guide covers conversion as a cost layer.
Background: The real cost of a forex trade: spread, commission and swap
Every trade has costs, and they are easy to underestimate. Here is how to add up the spread, commission and overnight swap on a position.
What is a spread in forex?
The difference between the bid (sell) and ask (buy) price. You pay it every time you open a trade, and it widens when the market is less liquid.
Is a raw spread account cheaper?
Not automatically. Add the spread and the round-trip commission together and compare the total with a spread-only account's typical spread on the pairs you trade.
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