LiteForex sent a message to its clients, announcing that the company will now allow trading on ECN accounts with raw spreads and zero locked margin on any type of instrument. The updated trading conditions also include a commission that will be incurred for every position, which will be measured based on the asset being traded and the size of the position.
By providing raw spreads to its traders, LiteForex aims to achieve greater user satisfaction. Trading with raw spreads means that the prices of each asset are more accurate to market prices seen at liquidity providers and banks. The commissions being charged will replace the previous wider spreads, with the goals of improving trading performance and reducing spreads that can hinder the ability of traders to reach more appealing market prices.
Changes to Currency Pairs
The changes will only be applied to ECN accounts and will affect a myriad of financial assets and instruments. The commission on FX majors will now be $10 per lot, which is equal to a spread of roughly 1 pip, depending on the currency pair being traded. Forex crosses, which generally incur lower trading volume totals, will have a commission of $20 per lot. Typical spreads of FX crosses are higher than those of major currency pairs, and the $20 figure appears to be calculated based on the wide range of different spreads that can be seen across the list of pairs in this group.
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CFDs Affected as Well
Crude oil has a seemingly more appealing commission, which will be $5 per lot, while metals (gold, silver, etc.) will include a commission of $20 per lot. Cryptocurrencies, which have been in high demand over the past several months, will also be provided with raw spreads. Traders will be charged a commission of $20 per lot for every transaction of crypto.
Moreover, for those clients who desire to trade CFDs on shares, the new commission will be $0.25 per share. The list of shares is quite extensive, and various shares have different numbers of shares per lot. Therefore, the commissions for shares will be structured per share, rather than per lot. Similarly, CFDs on stock indexes will include a commission of $5 per contract.
Keeping Up with Crypto
In addition to these most recent changes, LiteForex has made efforts to remain updated with the latest changes across the industry. In response to the growing hype surrounding blockchain, the company added crypto CFDs to its trading platform, and has also recently enabled deposits and withdrawals using cryptocurrencies.