Fixed Spreads

what's so great about them?

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We've made trading fairer

We’re committed to offering you a better way to trade financial markets. Transparency is key, and that’s why all our markets have fixed spreads.

An illustration showing a male caricature standing in front of three arrows points which are pointed in different directions.

First things first

What is the spread?

No matter what you trade, there is always a spread. This is quite simply the difference between the selling price and the buying price. The price you can sell at is always lower than the price at which you can buy, and the smaller this spread is, the cheaper it is for you to trade.

What's the difference variable vs. fixed?

Many companies use the offer of low spreads to attract new customers. These spreads can look very appealing at first glance. But what is brushed aside is the fact that they are variable. Sure, there will be times during the day when the spread is a low as advertised. However, just wait until economic data is published, or something unexpected happens. Then these ‘low spreads’ can widen dramatically, often when you most wish to trade. This can make a considerable difference to your profitability as a trader.

Why does it matter?

A winning trade can quickly become a loser when you’re having to pay so much more to the broker. Imagine having to pay 5 times as much to close a trade as you did to open it. Why put up with this uncertainty when you can know in advance what your spreads will be at all times?

Consider this...

Chris is an active day-trader who uses any winnings he makes to go on exotic family holidays.
He uses a well-known broker who advertises spreads on the Euro Stocks 50 index ‘from 0.5 points’.

Chris trades this index 3 times a day for £25 per point.
The spread is advertised as ‘from 0.5’ but it’s usually 3 points when Chris trades.

He decides to work out how much he pays in spread each month:

3 trades a day means 15 trades per week, so 60 trades each month
So, 60 trades × £25 per point × a variable spread of 3 points
= £4,500 (or £54,000 per year)

Now, take Sarah, his colleague, who is saving up for a new house with her partner.
Sarah trades with Trade Nation where the spread on the Euro Stocks 50 index is ‘fixed at 1 point’.

She is also an active day trader, doing the same number of trades as Chris: 3 times a day for £25 per point.
Sarah can be sure any spread she trades on will remain at 1 point at all times.

She calculates her spread costs per month in the same way:

3 trades a day means 15 trades per week, so 60 trades each month
So, 60 trades × £25 per point × a fixed spread of 1 point
= £1,500 (or £18,000 per year)

Over the course of a year Sarah saves herself £36,000 thanks to fixed spreads.

The reality of trading on fixed spreads

The charges that you pay to trade with us are fixed during each trading session and we proudly advertise these on our website and trading platform. The market could be moving 100 points every 5 seconds, but what we charge you doesn’t change.  

Here’s a straightforward comparison of a single trade:

Trading on fixed spreads with us

For regular traders, small savings add up very quickly – take our example above of Chris and Sarah. But please don’t just take our word for it. We invite you to challenge us on this and compare our charges with those of our competitors.

Take a look at the difference of their variable spreads vs. our fixed spreads when, for instance, the US releases its Non-Farm Payroll numbers, a central bank updates its interest rate, the EU publishes key economic data or there’s an unexpected geopolitical event. It’s also not just during major events that our competitors often increase their charges – it can also happen when there’s a rush to trade, such as when markets open, and in the minutes leading up to the close.

We’re committed to offering you a better way to trade financial markets. All our markets have fixed spreads so you can always be sure of how much you’ll pay to enter and exit a trade. Whatever is happening in the world there are no nasty surprises, no matter how volatile the markets are.

Check out fixed spreads with our practice account

Financial spread trading comes with a high risk of losing money rapidly due to leverage. You should consider whether you understand how spread trading works and whether you can afford to take the high risk of losing your money.