How much does it cost to trade with Hantec Markets?
Opening an account with Hantec Markets is free. There is no fee for holding money in your account.
A breakdown of our trading costs
When you trade with Hantec Markets, the only charge you’ll need to consider is the spread, and/or a commission depending on your account type. Other costs that may be applicable include currency conversion fees and swap rates for overnight funding.
Please ensure to check your account type as well as the trading conditions of your chosen instrument before you trade.
Currency conversion fee
A currency conversion fee may need to be applied to a trade depending on the base currency of your trading account, the currency you fund the account with and the settlement currency of the market you trade in. The currency conversion fee is charged at 0.6% and is added to the settlement exchange rate based on the market rate at the time of settlement.
CFD accounts are set to ‘instant’ conversion by default, so any realised profit, loss, funding, dividend adjustments or commission is automatically converted to your base currency.
Here’s how it works*:
- You have bought £20 per point worth of FTSE (UK100) and the base currency of your trading account is USD. Since you have chosen to trade in GBP, which is different to your base currency, we need to convert any related transactions to USD.
- Assume the exchange rate is 0.7576 ($1 equals £0.7576). After adding our conversion fee of 0.6%, we get a conversion rate of 0.7576 x 1.006 = 0.7621.
- If FTSE increases by 30 points, your profit will be £600. This will be reflected as £600/0.7621 = $787.30 on your account. To calculate the conversion fee charged, multiply your profit by 0.6%: $787.30 profit x 0.6% = £4.72 currency conversion fee (already included – not charged separately).
- We do not itemise currency conversion fees by individual transaction as this would make account statements too complicated and long for our clients to review easily.
Here’s how it works*:
- Say it costs £7,263.44 after conversion to purchase 10 shares of Tesla at $550 per share.
- Currency conversion fee paid = £7,263.44 x 0.6% = £43.58
Please check the costs and charges before trading.
*All figures shown are for illustrative purposes only.
Overnight funding
Also known as the ‘swap’ fees or charges, this is the cost of holding a position overnight. Swap rates are determined by the underlying interest rate of the products or currency pairs you have open positions in. The amount charged will depend on the size of your trade, whether you have a long or short position, and the instrument you are trading.
