- Home
- Trading Costs and Earnings
Information on Caxton’s fee structure, including fee charges and margin stipulations.
Discover the trading fees on Caxton. Evaluate all relevant charges and spreads to refine your trading strategies and maximize profits.
Join Caxton TodayUnderstand Caxton's fee system to better control your trading expenses and enhance your net profit.
Spreads
The spread is the difference between the ask (buy) and bid (sell) prices of an asset. At Caxton, there are no commission charges; revenue is generated from the spread.
Example:For instance, if Bitcoin's bid price is $30,000 and the ask price is $30,100, the spread is $100.
Overnight (Swap) Fees
These charges depend on leverage used and the duration a position is maintained in margin accounts.
Expenses differ by asset type and position size. Holding a position overnight might incur unfavorable fees, while some assets could provide advantageous rates.
Withdrawal Fees
Caxton applies a flat $5 fee for withdrawals, regardless of the transaction amount.
New users benefit from a free initial withdrawal. Withdrawal processing times vary based on the chosen payment method.
Inactivity Fees
Caxton imposes a $10 fee after six months of account inactivity.
To prevent this fee, keep your account active by making at least one transaction annually.
Deposit Fees
Transactions via Caxton are typically free, but your payment provider might charge additional fees.
Check with your payment provider for specific charges related to deposits.
Understanding Spread Dynamics in Trading
Spreads are essential in trading on Caxton, representing the cost to open a position and a key source of revenue for the platform. Knowing how spreads work can help you optimize your trading costs and strategies.
Components
- Sell Quote:The total amount spent to acquire an asset reflects its purchase price.
- Ask Price (Purchase Price):The current market rate at which assets are bought or sold
Market Dynamics Affecting Spread Variations
- Trading Volume: Markets with high liquidity usually demonstrate tighter bid-ask spreads.
- Market Volatility: Sudden price movements cause spreads to expand as uncertainty rises.
- Asset Types: Different financial products show distinct spread patterns.
Example:
For example, if EUR/USD asks 1.1800 and bids 1.1798, the spread is 0.0002 (2 pips).
Withdrawal policies and applicable fees
Manage and Update Your Caxton Profile
View Your Account Summary
Effortless Funds Withdrawal System
Select the 'Withdraw Funds' option on Caxton
Choose your preferred withdrawal option
Options include bank transfer, Caxton, PayPal, or Wise.
Specify Withdrawal Amount
Enter the sum you want to withdraw.
Confirm Withdrawal
Confirm your withdrawal on Caxton to proceed.
Processing Details
- A fee of $5 will be charged per withdrawal.
- Processing Time: Typically 1-5 business days
Important Tips
- Make sure your withdrawal amount complies with platform restrictions.
- Review the withdrawal fees associated with different payment methods.
Minimize Extra Charges
To encourage active trading, Caxton imposes inactivity fees, but understanding these charges and staying engaged can help you maximize your investment returns and avoid extra costs.
Fee Details
- Amount:A $10 fee applies if your account remains inactive for over a year
- Period:Your account has not been used for more than twelve months.
Use Protective Measures to Secure Your Assets
-
Trade Now:Consider subscribing annually to benefit from reduced inactivity fees.
-
Deposit Funds:Adding credits or resources can help reset your inactivity period.
-
Keep Your Positions Active:Regularly managing your investments is crucial to maximize profitability.
Important Note:
Active oversight of your account is key to avoiding unnecessary charges. Consistent monitoring can boost your investment success.
Payment Options and Fee Information
Funding your Caxton account is free of deposit charges; however, your selected payment method may have associated fees. Being aware of the available funding options and their costs can guide you in choosing the most economical method.
Bank Transfer
Ideal for large transactions and reliable performance
Caxton
Facilitates swift and seamless transactions for immediate trading needs
PayPal
Suitable for fast online payments.
Skrill/Neteller
Best methods to fund your trading account swiftly
Tips
- • Make Informed Choices: Opt for payment options that offer a good balance of speed and cost-effectiveness.
- • Always Check Fees: Before depositing, verify with your payment provider about any applicable charges.
Details of Caxton Transaction Fees
We provide a comprehensive review of the various costs associated with trading on Caxton across different asset classes and trading strategies.
Fee Type | Stocks | Crypto | Forex | Commodities | Indices | CFDs |
---|---|---|---|---|---|---|
Spreads | 0.09% | Variable | Variable | Variable | Variable | Variable |
Overnight Fees | Not Applicable | Applicable | Applicable | Applicable | Applicable | Applicable |
Withdrawal Fees | $5 | $5 | $5 | $5 | $5 | $5 |
Inactivity Fees | $10/month | $10/month | $10/month | $10/month | $10/month | $10/month |
Deposit Fees | Free | Free | Free | Free | Free | Free |
Other Fees | No commission | No commission | No commission | No commission | No commission | No commission |
Important: Transaction fees may fluctuate with market conditions and your account settings. Always consult the latest fee information on Caxton’s official site before placing trades.
Strategies to Minimize Trading Fees
While Caxton offers clear fee structures, prudent decision-making can further reduce costs and improve your trading profitability.
Enhance Financial Inclusivity
Focus on assets with tight spreads to reduce trading expenses.
Use leverage prudently
Apply leverage carefully to lower overnight costs and mitigate risks.
Stay Active
Engage in Consistent Trading to Avoid Inactivity Fees
Plan Payment Methods Wisely
Select deposit and withdrawal options with minimal or no extra charges.
Formulate a Strategic Approach
Create trading plans aimed at reducing costs and maximizing profits.
Discover the Benefits of Caxton
Take advantage of exclusive deals and promotions offered to both new and loyal clients on Caxton.
Questions About Trading Fees
Are there any hidden charges at Caxton?
Absolutely, Caxton maintains transparent and competitive pricing with no undisclosed fees. All costs are clearly detailed according to your trading level and chosen services.
What influences the bid-ask spread at Caxton?
The bid-ask spread indicates the difference between buying and selling prices of an asset. It varies depending on the security’s liquidity, current market conditions, and active trading volume.
To reduce trading expenses, traders should consider minimizing leverage use or closing leveraged positions before market hours end.
Yes, overnight fees can be avoided by closing leveraged positions before market close or trading without leverage.
What happens if I surpass my deposit limit?
Exceeding your deposit limit may result in Caxton temporarily blocking additional deposits until your balance is below the specified threshold. Adhering to deposit guidelines ensures smooth account management.
Are there any fees for transferring funds from my bank account to Caxton?
Deposits from your bank account to Caxton are generally free, but your bank might charge transfer fees.
How does Caxton's fee structure compare to other trading platforms?
Caxton features a highly competitive fee schedule, with no commissions on equity trades and transparent spreads across various asset classes. It typically offers lower overall costs with clear, predictable pricing compared to traditional brokers, especially in social trading and CFD markets.
Prepare to start trading with Caxton!
Understanding the fee structure and spreads at Caxton is crucial for developing a successful trading plan. Our clear pricing and advanced tools assist traders in maximizing profits while minimizing expenses.
Register now at Caxton to access exclusive features and benefits.