What is the core spreads + commission pricing model?

For clients with spread-sensitive trading strategies, we offer a core spreads + commission pricing model. Developed for high-volume traders, this model utilizes reduced spreads to facilitate more precise entry and exit points. The fixed commission structure provides transparent transaction costs, allowing for more efficient execution during periods of high market liquidity.

To enroll in the core spreads + commission pricing model, you must meet the following requirements:

With the core spreads + commission pricing model, your total trading cost is the sum of the applicable core spread and a fixed commission charge per trade.

You can access spreads as low as 0.0 on selected major currency pairs, including USD/CAD, EUR/USD, USD/JPY, and AUD/USD.

Core spreads fluctuate with market liquidity. During periods of lower liquidity, spreads may be higher than 0.0.

A commission of 0.70 USD per 10,000 units is applied to each "leg" of a trade i.e. once when you open the position and once when you close it. As closing a trade constitutes a separate and distinct transaction, a commission is applied upon the exit. Commissions are prorated based on your actual trade volume. For example, a 1,000-unit transaction incurs a commission of 0.07 USD per leg.

If your account is denominated in a currency other than USD, the following USD-equivalent commission applies per 10,000 units traded.

Account currency Commission amount in your account currency per 10,000 units
CAD 1.00
AUD 1.20
CHF 0.70
GBP 0.60
EUR 0.70
HKD 5.50
JPY 107.50
SGD 1.00

In this hypothetical example, you open a trade for 10,000 units of USD/CAD while spreads are at 0.0. The buy trade incurs a commission of 0.70 USD, and when you close the position, a 0.70 USD commission is applied. This results in a total commission cost of 1.40 USD for the trade.

In this hypothetical example, you open a trade for 15,000 units of USD/CAD while spreads are at 0.0. The buy trade incurs a commission of 1.05 USD, and when you close the position, a 1.05 USD commission is applied. This results in a total commission cost of 2.10 USD for the trade.

In this hypothetical example, you open a trade for 10,000 units of EUR/USD while spreads are at 0.2 pips.

SpreadClosedThe difference between the bid and the ask price. cost:

In EUR/USD, 1 pip for a 10,000 unit trade is worth 1.00 USD (subject to change based on current exchange rates). If the spread is 0.2 pips, your cost is: 0.2 pips x 1.00 USD/pip = 0.20 USD

Commission cost:

The buy trade incurs a commission of 0.70 USD, and when you close the position, a 0.70 USD commission is applied. This results in a total commission cost of 1.40 USD for the trade.

Total cost:

Spread cost (0.20 USD) + commission cost (1.40 USD) = 1.60 USD

To ensure you are trading instruments with the core spreads + commission pricing model applied on MT4, check your MT4 server.

If your MT4 server is OANDA-v20 Live-1, all the instruments you want to trade must have the -5 suffix shown next to the instrument, for example, EUR/USD -5.

If your MT4 server is OANDA-v20 Live-2, all the instruments you want to trade must have the -9 suffix shown next to the instrument, for example, EUR/USD -9.

If you do not see such instruments on your Terminal and the core spreads + commission pricing model is enabled on your account, you need to add them in MT4.