Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Commission is the charge levied by an investment broker for making trades on a trader’s behalf.

Commission definition

Commission is the charge levied by an investment broker for making trades on a trader’s behalf.

Levels of commission vary between different brokers, depending on the asset being traded and the type of service being offered. Execution-only brokers tend to have lower commissions, as they are not deciding trades on their client’s behalf or offering advice.

Commission is not the only type of charge traders will encounter. Spread betting, for example, has no commission but instead wraps a spread around the market price of an instrument. CFDs on shares will incur commission, but CFD trades on other markets also have a spread. 

 

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