Whether you already trade in the markets or this is your first approach, when opening an account with a broker, you should be aware of the specifications of their contracts.
As an eye-opener, we have been criticized for making use of the misnamed "referrals", which refers to this type of increased margin accounts and we believe it is interesting for you to know the reality. Nothing could be further from the truth, is very easy to understand and check.
Let's take the example of the type of accounts offered by one of the brokers we work with, which you can see here: Roboforex.
There are several types of accounts that you can open in the broker. In the case of RoboForex and since its affiliate program is very extensive, we will summarize it into two main types:
- Pro Accounts. These are the ones we use and ask our users to use, especially the Pro-Cent account.
- Affiliate accounts. They include more commissions so that the affiliate agent can receive more money for attracting clients to the broker. We we do not use these accounts nor do we ask anyone to use them..
Types of brokerage accounts
Mainly, these are the types of accounts with which we can trade in RoboForex. Of all of them, we we recommend doing so with the Pro-Centbecause of their versatility and because we can use much less capital to operate with them. If you are going to invest significant amounts of money, you can use the Pro-Standard, but you will not have better conditions for it and they are less versatile.
Also called Micro. It allows trading with micro lots, a leverage of up to 1:2000 and features a spread minimum float of 1.3 pips and a minimum float of 1.3 pips and a stop out of the 10%. Suitable for any type of investor using our tool. The broker charges the client a fixed spread depending on the currency pair traded.
It is commonly used in our operations to service balances above 2000$/€, and has the same minimum floating spread of 1.3 pips and the same maximum leverage of 1:2000. The stop out is 20% for this type of account. The broker charges the client a fixed spread depending on the currency pair traded.
Normally used for operations where the most important thing is to maintain a spread very low, which would be ideal for the use of any scalper algorithmic trading robot. This type of account has a floating spread starting from zero and a maximum leverage of 1:300. The broker does not charge commission per spread, but per traded volume. This means that, in exchange for these low spread market conditions, the client pays a commission of 20$ for each million USD of trading volume or its respective fraction, both on opening and closing. Simplifying, when opening 1 lot of USDJPY for example, you would pay 2$ and when closing the trade, another 2$.
We we do not recommend a priori trading with ECN accounts. because for our robot trading, we require high leverage. You will not be able to trade with ECN accounts with our products for free, but if you consider that this is the perfect combination, we can license our tools for use with this type of accounts. It won't be free, but you will be able to do it.
These accounts are oriented to investment professionals. Their particularities offer the best commissions. They have a leverage of 1:300 and a minimum spread of 0 points. They are similar in conditions to ECN accounts and our conditions for using this type of accounts in your trading with our tools are not free.
The "accounts affiliate"also called "affiliate accounts", "affiliate accounts", "affiliate accounts", "affiliate accounts", "affiliate accounts", "affiliate accounts", "affiliate accounts Mark-Up" or "referral accounts" are designed to offer a higher commission to the Roboforex partner "who provides additional services to his clients" and therefore they are willing to pay a higher spread and commission margin. There are two types of such accounts:
Pro-Affiliate. Its floating spread increases to a minimum of 2.4 pips, with the rest of the contract conditions being the same as those of the Pro-Standard accounts.
ECN-Pro Affiliate. With the same conditions as ECN-Pro, it increases commissions to 60$ per million USD of opening and closing market volume -12$ for opening and closing one lot of USDJPY, for example.
Other commissions you will pay at any brokerage firm
In addition to the spread, in all operations with any type of accountThe broker applies an extra commission for maintaining the position, which means that for all transactions that are not opened and closed during the day - transactions that do not open and close on the same day - the broker will charge an extra commission for the maintenance of the position. scalping ni intraday-the broker applies an interchange fee commission known as a swap o rolloverwhich applies to positions that remain open for more than one day. This swap rate can be positive or negative, which means that it can be applied as a profit or loss on trades open for more than one day.
If you work through our affiliate link or our affiliate codes -which has nothing to do with accounts Affiliate, Mark-Up or referral accounts - we ask you to check the conditions you enjoy in your contract with the broker for yourself. Log in to the account you opened with us and look in the conditions for the type of spread it offers you. In fact, if you followed our instructions, it will appear that you are using a Pro-Cent or Pro-Standard account. Do you have more doubts? Then learn, because knowledge will set you free. When in doubt, go to the original source, so contact Roboforex and explain your existential doubts.
Don't overpay commissions
Contrary to what others do, we have never asked our users to use referral accounts, neither Affiliate nor Markup accounts.
We we have never asked to open an account affiliate -as much as we are entitled to do so, according to the conditions for this type of account imposed by Roboforex-. This is in the first place because our interest is that the people who benefit from the bot The second reason is that the results of the public accounts that we show you would have nothing to do with the results that you could obtain by applying the increased spreads.
Tell us, what type of account do you use?