Jump to content

Commission fees for Share Dealing vs CFD


Recommended Posts

I'm trying to figure out the difference in fees between a Share Dealing Account and a CFD account.

For CFD when buying a US stock there is a £10 fee. Another fee of £10 comes in when the stock is sold, for a total of +£20 in commission fees on a single buy/sell trade.

Does a Share Dealing account also incur both a buying fee of £10 and a selling fee of £10 for a total of +£20? Or is there only a £10 commission fee for a buy and sell trade?

According to this https://www.ig.com/uk/investments/share-dealing/costs-fees if +3 trades were made in the previous month, then there would be £0 in commission fees going forward. If I open a Share Dealing account and incur £60 in commission fees on the first three trades, would there be no commission fee for the 4th trade and onwards? (as long as +3 trades are fulfilled each oncoming month) Or would I pay £20 commission fees per each trade for the entire first month? Does the month count from the first trade that I make, or from a predefined date?

Thank you kindly!

Link to post

Buying and selling are counted as separate transactions - so you would be looking at three transactions of any type (so £30) to qualify for the zero commission on US stocks. However, bear in mind that there is also a 0.5% fee for currency conversion which will always apply ('free' is rarely ever truly free).

I can't comment on CFDs as I personally don't touch them.

Link to post

Join the conversation

You are posting as a guest. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • General Statistics

    • Total Topics
      15,183
    • Total Posts
      73,292
    • Total Members
      61,657
    • Most Online
      5,137
      14/01/21 09:51

    Newest Member
    Fozz1e
    Joined 15/05/21 16:44
  • Posts

    • process check , mike check , paycheque..... I actually missed this move ... 😅 .... Very hard trying to juggle a 50plus hour week and trading ..... any way here is the follow up from my post on the FTSE from  11-05-2021👇     With the greatest respect to IG INDEX , it's not time to be bearish .... not yet at least..... Here is what the FTSE did a few days later.........  
    • Yeah........ so that happened ...
    • Hi kinda interested in your margin problem, I trade very small cap shares in spread bet in both Uk and US, then the margin call is very rare as long as you have enough capital to cover the 80% falls that can occur with odd news. Have worked of Forex a lot and just find it too unstable. Just wondere if ant other person has this method. I would be interested to share ideas.   
×
×
  • Create New...