City Index, a provider of foreign exchange (FX), commodities, and contracts-for-difference (CFDs), has opted to reduce its spread across a pantheon of its currency pair offerings, part of an effort to lower the costs of trading incurred by clients and market participants, according to a City statement.
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The new spreads reflect changes across multiple FX pairs, including the AUD/USD, EUR/USD, USD/JPY, and GBP/USD. The first three pairs will each see a reduction in spreads, priced from 0.5 points, while the latter instance will be priced from 0.8 points – by extension the EUR/GBP will also see its spreads reduced to 0.5 points.
One of the main drivers of this strategy is to extend the tent to new traders, whilst also helping create lower costs for existing clients via more valued trading. According to Samantha Roady, President of Retail at GAIN Capital, in a statement on the spread changes: “Our decision to tighten our spreads on major FX pairs highlights our continuing commitment to delivering the best possible value to our traders.”
“Moving our FX spreads to variable allows us to better reflect available market liquidity, while lowering the overall cost of trading for our clients. Our new FX spreads are amongst the best in the market and reflect the substantial FX liquidity of our parent company, GAIN Capital, one of the world’s largest retail brokers,” she added.