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Forex Direct
Get an edge with our forex DMA service
What is Forex Direct?
Forex Direct provides DMA execution with full market transparency, offers prices from a wide selection of global banks and liquidity providers, and lets users view extended data on currency pairs and act as a market maker.
Forex Direct is recommended only for advanced FX traders.
What are the costs?
Commission
Unlike OTC trading, there is no IG spread to pay. Instead we charge a variable commission – as low as USD10 per USD million worth of the currency traded. This charge is based on the volume you traded in the preceding month.
If your account is not denominated in USD, the commission will be converted into your base currency (at current exchange rates) before being deducted.
Size (millions of USD) |
Commission (USD per million) |
|---|---|
| 1500+ | 10 |
| <1500 | 20 |
| <500 | 30 |
| <100 | 60 |
Average spreads
There are no IG spreads with Forex Direct – instead you are trading on buy and sell prices provided by major banks and currency providers.
* Time-weighted (23-21 CET) average spread by trade (quoted to three decimal places), March 2016
Open an account now
It’s free to open an account and there’s no obligation to fund or trade.
Forex Direct platforms
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Web platform and apps
Trade with DMA on our web-based platform and iPad and iPhone apps
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L2 – our free DMA platform
Download our DMA platform, designed for our traders and using algorithms created in Excel
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Terminals and APIs
We provide full FIX API support for traders using their own front-end technology
How do I get Forex Direct?
- To trade DMA with IG you need to open an account and activate DMA within our web-based dealer. Most clients will need to have a minimum £1000 cash balance on their account to activate DMA.
- You can then choose to activate the data feeds you need.
- Then choose which platform you’d like to trade on: our web-based dealer and iPhone/iPad apps, the specialised L2 Dealer, or your own front-end technology.
DMA with IG
Our pricing technology is engineered to find the best available prices on both OTC (over-the-counter) and DMA. This means that DMA prices are not necessarily better than OTC, but direct access to the markets can give you greater visibility and flexibility as a trader.
There are many added complexities to the trading environment and there can be an increased risk. As we take a parallel position in the underlying market, DMA traders need to be aware that once an order has been executed we are unable to change or reverse the position.
It is important to note that while you are trading based on underlying market prices and depth, what you actually receive on placing a trade is a CFD from us. It works like this:
- DMA displays the best bid and offer price available for a particular market, plus further prices on either side of the order book
- You place an order, and we instantaneously conduct a margin check to ensure you have sufficient funds to cover the margin on your proposed trade
- If the margin check is satisfied we place an order in our name in the market and, at the same time, create a parallel CFD between you and us
So while you are trading at market prices, you do not gain any ownership rights over the currencies which form the subject of your CFD.
Example: Forex Direct commission
Forex Direct commission
Commission on Forex Direct positions is charged in USD. We will calculate your commission based on the total value of your trade in USD using current exchange rates.
For example, you buy 50 EUR/USD contracts when the spot rate is at 1.3332.
Total value of your trade in USD = Number of contracts x contract size x EUR/USD spot rate 50 X €100,000 X 1.3332 = $6,666,000
Commission charged (assuming you traded USD 1000 million worth of contracts in the previous month and have a commission rate of USD 20 per million) = Variable charge x value of position in USD (20 / 1,000,000 = 0.00002) * ($6,666,000) = $133.32
You might be interested in...
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Platforms and apps
Browser-based desktop trading and native apps for all devices.
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Execution and pricing
Our technology is engineered for speed, stability and better prices
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24-hour support
We're here 24 hours a day Mon-Fri.
Contact us
Our helpdesk is open 24 hours a day from 9am Saturday to 11pm Friday.
