What is Commission?
Updated October 17, 2026
A commission is a fixed fee your broker charges per trade, usually on raw spread or ECN accounts.
Some accounts charge no commission but have wider spreads. Others give tight spreads and charge a commission per lot.
A common setup is a few dollars per lot each side. It sounds small but it adds up if you trade a lot.
When comparing brokers, add spread and commission together to see the real cost.
Example
A raw account charges $7 per round turn lot, so a 0.10 lot trade costs 70 cents in commission.
Questions people ask
Which is cheaper, commission or no commission accounts?
For active traders and bots, raw spread plus commission is often cheaper overall.
Is commission charged on losing trades?
Yes, it's charged on every trade no matter the result.
Related
Fresh from the site
Rather have AI trade for you?Get the free guide on hands free AI trading accounts.
Send me the free guide →
Work out your own number with the quit your job calculator, or take the passive income quiz.