How do trading fees work with AltumBrokers?
Altum Brokers charges a fee called the ‘Spread’ whenever a position is opened.
Here’s how the spread works:
On any trading platform there are two prices called the bid and the ask.
The bid price is the price at which you can take a SELL position.
The ask price is the price at which you can take a BUY position.
The difference between the two is called the spread.
For example:
The bid price from the trading platform is $19,902.74 and the ask price is $19,923.58. This makes the spread $20.84.
The more volatility that is in the market, the higher the spread will be, and vice versa, the more stable the market is, the lower the spread will be.
How do AltumBrokers Fees compare to other platforms?
Other Derivative Contracts Platforms
After much research, the AltumBrokers team have found the average Bitcoin spread on other MT5 platforms is between $50 and $100, compared to our average of $20.
Of course, don’t just take us at our word, any credible platform will allow you to open a free and transparent demo account to test out spreads, features and pricing.
Cryptocurrency Exchanges
Traditional cryptocurrency exchanges charge ‘Taker’ and ‘Maker’ fees, which are a % of the trades total value.
Taker fees are applied when you place an instant order on the platform, and your order opens immediately at the current price.
Maker fees are applied if you place a pending limit order, which is when you set an order to open only once a certain price has been reached.
Taker fees are usually higher than maker fees.
Maker and taker fees apply to both opening and closing trades, and there are also fees involved for cancelling maker orders.
Why does AltumBrokers have the best trading fees for Bitcoin and other Cryptocurrencies?
Lower Costs
AltumBrokers charges the spread only on opening positions, and never on closing them. This makes our trading fees up to half that of other platforms.
Consistent Fees
AltumBrokers spreads are more stable than maker/taker fees that are charged as a % of the position’s value. For example, as seen in the screen shot above, the average AltumBrokers spread is just $20.00, regardless of the actual price of Bitcoin. If on the other hand, you were being charged as a %, for example 0.1%, when the Bitcoin price was $19,000 you would be charged $19, however if the price goes up to $40,000, you are suddenly charged $40 on each side.
Zero Fee Pending (Maker) Orders
AltumBrokers allows traders to place up to 200 pending (maker) orders with no placing or cancellation fees