How is the turnover fee calculated when copying a trader’s strategy?

Turnover commission can be set by a trader when creating a strategy. The turnover fee varies from 0 to 25 USD per 1 million USD of trade turnover. The fee is calculated and paid to a trader when a position is being opened or closed.

For example, for currency pairs where USD is the base currency (USD/CAD, USD/CHF, USD/JPY), the turnover fee is calculated as follows:

  • Instrument: USD/CHF;
  • Turnover fee: 10 USD per 1 million USD of trading volume;
  • Volume: 0.5 lots;
  • Turnover fee calculation = 0.5 (lot) * 100,000 (contract size) * $10 (commission) / 1,000,000 = $0.5 for opening a trade;
  • An additional $0.5 fee will be charged when the trade is closed.

For currency pairs where USD is the quote currency (AUD/USD, EUR/USD, GBP/USD, NZD/USD):

  • Instrument: EUR/USD;
  • Current exchange rate: 1.1236;
  • Turnover fee: 20 USD per 1 million USD of trading volume;
  • Volume: 1 lot;
  • Turnover fee calculation = 1 (lot) * 100,000 (contract size) * 1.1236 * $20 (commission) / 1,000,000 = $2.25
  • An additional $2.25 fee will be charged when the trade is closed.

For cross currency pairs that do not include USD (AUD/CAD, CAD/JPY, EUR/JPY, GBP/CHF, etc.):

  • Instrument: EUR/JPY;
  • Current exchange rate: 129.33;
  • Turnover fee: 15 USD per 1 million USD of trading volume;
  • Volume: 0.1 lot;
  • Turnover fee calculation = $15 (commission) * 0.1 (lot) * 100,000 (contract size) * 129.33 / 115.10 (current USD/JPY exchange rate) / 1,000,000 = $0.17;
  • An additional $0.17 fee will be charged when the trade is closed.
  • Instrument: GBP/AUD;
  • Current exchange rate: 1.90267;
  • Turnover fee: 25 USD per 1 million USD of trading volume;
  • Volume: 0.7 lot;
  • Turnover fee calculation = $25 (commission) * 0.7 (lot) * 100,000 (contract size) * 1.90267 * 0.7066 (current AUD/USD exchange rate) / 1,000,000 = $2.35;
  • An additional $2.35 fee will be charged when the trade is closed.

For CFD instruments (commodities, indices, stocks):

  • Instrument: S&P500;
  • Current exchange rate: $4,490;
  • Turnover fee: 25 USD per 1 million USD of trading volume;
  • Volume: 1 lot;
  • Turnover fee calculation = 1 (lot) * 50 (contract size) * $4,490 * $25 (commission) / 1,000,000 = $5.61
  • An additional $5.61 fee will be charged when the trade is closed.
Couldn't find the answer to your question?

Please contact our customer support in any convenient way

CONTACT US