Eightcap Fees Editor’s Verdict
Traders must carefully evaluate trading fees, as they can outline which trading strategies a Forex broker supports and which ones remain discouraged. Trading fees rank among the most defining aspects when evaluating a broker, as they directly impact profitability.
Our comprehensive Eightcap fees analysis, in addition to our thorough Eightcap Broker Review, provides a complete breakdown of trading and non-trading costs. It highlights the cost advantage between the commission-free and commission-based trading accounts at Eightcap. Find out how to save 30% in Eightcap fees by trading from the appropriate account type.
Overview of Eightcap Fees and Charges
Eightcap supports algorithmic traders, scalpers, and high-frequency strategies in its commission-based Raw account. Eightcap fees consist of spreads from 0.0 pips for a commission of $7.00 per 1.0 standard round lot, charged at $3.50 per transaction. Access to deep liquidity keep average costs low, high leverage grants demanding traders flexibility, and excellent order execution ensures fast processing times.
The commission-free Standard account, which has the identical Eightcap minimum deposit requirement of $100 as the Raw account, has higher minimum costs of 1.0 pips or $10.00 per 1.0 standard round lot. Therefore, traders should opt for the Raw alternative, where Eightcap fees are 30% lower.
Here is a snapshot of Eightcap fees:
Fee | Type of Fee | Applicable at Eightcap |
|---|---|---|
Spreads | Trading fee | Yes (minimum of 0.0 pips to 1.0 pips) |
Commission | Trading fee | Yes ($7.00 per standard lot) |
Swap rates on leveraged overnight positions | Trading fee | Yes (positive swap rates exist) |
Live Price Feed / Stamp Duty/ Settlement Fee | Trading fee | No (Eightcap does not cover markets that levy fees) |
Deposit Fee | Non-trading fee | No (third-party costs may apply) |
Withdrawal Fee | Non-trading fee | No (third-party costs may apply) |
Inactivity Fee | Non-trading fee | No (Eightcap does not pressure trading activity) |
Account Fee | Non-trading fee | No (Eightcap trading accounts are free of charge) |
Currency Conversion Fee | Trading fee and non-trading fee | Yes (if applicable) |
Eightcap Fees, Spreads, and Commission Explained
The emergence of online multi-asset brokers like Eightcap disrupted full-commissioned brick-and-mortar brokers as they lowered trading fees and made financial markets more accessible. Technology and scalability remain at the core of positive developments. The Forex market, the most liquid financial market with a daily turnover approaching $7 trillion, forms the center of the global financial system.
A cheaper overall cost structure creates a more competitive trading environment, as implemented by online brokers like Eightcap. Many retail traders fall for the commission-free trap, where trading fees are generally higher than commission-based alternatives.
Despite the lower pricing environment, traders must understand the Eightcap fees to know how much they pay per transaction, why they have to pay it, and how they compare to other brokers. Trading costs at brokers fall into two categories: trading and non-trading fees.
Trading fees are:
- Spreads (the difference between the bid and the ask price of an asset)
- Commissions (volume dependent)
- Swap rates (charged on leveraged overnight positions)
- Currency conversion fee (applicable each time the currency of the asset differs from the account base currency)
Non-trading fees are:
- Deposit fee (not applicable at Eightcap)
- Withdrawal fee (not applicable at Eightcap)
- Inactivity fee (not applicable at Eightcap)
- Currency conversion fee (for deposits and withdrawals in currencies that differ from the account base currency)
Eightcap Trading Fees
Eightcap trading fees apply to each transaction. The Eightcap Standard account is commission-free with higher costs, while the Raw alternative is the cheaper commission-based account, making Standard an obsolete choice.
Here is the difference in minimum spreads and commissions at Eightcap:
Account | Minimum Spreads | Minimum Commission | Total Eightcap Fees |
|---|---|---|---|
Standard | 1.0 pips | $0.00 | $10.00 per 1.0 standard round lot |
Raw | 0.0 pips | $7.00 | $7.00 per 1.0 standard round lot |
One of the most ignored trading costs is swap rates on leveraged overnight positions. Depending on the trading strategy, it may become the most significant fee per trade. Traders should check them before evaluating the total trading costs.
Traders must pay swap rates on leveraged overnight positions, which triple on Wednesday to account for trades kept open over the weekend. Closing positions before 5 p.m. EST allows traders to avoid swap rates if it suits their trading strategy.
MT4/MT5 traders can access swap rates from their platform by following these steps:
1. Right-click on the desired symbol in the Market Watch window and select Specification.
2. Scroll down until you see Swap Long and Swap Short.
Since Forex trading involves two currency pairs, currency conversion fees are frequent but limited in US Dollar base accounts, as the US Dollar is part of 80%+ of the daily trading volume for Forex transactions. Each time Eightcap must convert currencies on behalf of clients, a currency conversion fee applies, but Eightcap does not list an internal markup.
Eightcap Non-Trading Fees
Eightcap non-trading fees consist of account transactions other than trading, like deposits and withdrawals. They are less frequent, but traders must know about them to avoid confusion. Eightcap has no internal non-trading fees, as outlined below.
Eightcap Deposit Fee
All Eightcap deposits are free. Therefore, a trader who makes a $1,000 deposit into their Eightcap trading account will receive $1,000. Traders may face third-party payment processing costs or potential currency conversion fees, which Eightcap does not control. Eightcap supports 17 deposit currencies with 13 payment processors and allows seven account base currencies, ensuring traders from its core markets face minimal costs.
Eightcap Withdrawal Fee
Eightcap does not levy internal withdrawal fees. Traders must consider third-party payment processor charges and currency conversion fees, plus follow-on costs if traders plan to use withdrawals for bill payments, consumption, or other purposes, to the final destination of funds. The 17 withdrawal currencies, which include three cryptocurrencies, from 13 payment processors keep third-party costs minimal for traders from its primary markets.
Eightcap Inactivity Fee
Eightcap does not charge an inactivity fee, meaning traders have no pressure to transact using their Eightcap trading account.
Eightcap Safety and Security
Eightcap has regulatory licenses from the Australian Securities and Investments Commission (ASIC) and the Securities Commission of The Bahamas (SCB). Additionally, it has a clean operational track record since being founded in 2009, having stood the test of time.
Eightcap segregates client deposits from corporate funds, meaning it has no access to them for internal use, and offers negative balance protection, meaning leveraged traders cannot lose more than they deposit. Overall, Eightcap established itself as a leading international broker with an exceptionally safe and secure trading environment.
Eightcap Fees Bottom Line
Eightcap offers traders a competitive pricing environment in its commission-based Raw account. Eightcap fees consist of minimum spreads of 0.0 pips for a commission of $7.00 per 1.0 standard round lot, charged at $3.50 when opening and closing a position. Deep liquidity and excellent order execution ensure traders can execute trades at advertised spreads, providing an edge to demanding clients, which extends to competitive swap rates on leveraged overnight positions.
Eightcap has no non-trading fees, as it waives deposit, withdrawal, and inactivity fees. With seven account base currencies and 17 deposit and withdrawal currencies at 13 payment processors, third-party costs and currency conversions are minimal. Therefore, Eightcap provides traders with a notable pricing advantage and ranks among the lowest-priced brokers.
Eightcap charges $7.00 per 1.0 standard lot in its Raw account. Eightcap does not charge inactivity fees. The timing of fees depends on which fee applies. For example, traders incur spreads the moment they open positions, commissions apply with each transaction, swap rates after the cut-off period, usually 5 p.m. EST, and currency conversion fees only if Eightcap must convert currencies. Eightcap does not charge internal withdrawal fees, but third-party payment processing costs and potential currency conversion fees may apply. Eightcap trading fees consist of spreads, commissions, swap rates on leveraged overnight positions, and currency conversion fees, if applicable. The Eightcap Raw account is commission-based but features 30% lower Eightcap fees than the commission-free Standard alternative.FAQs
Does Eightcap charge commissions in its Raw account?
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