Who Really Benefits from Swaps, the Broker or the Trader?
It’s known that the broker makes money from spreads and/or commissions on their clients’ trading activities, but what about swaps? I’ve seen that swaps are sometimes positive or negative, having positive or negative effects on the trader’s portfolios. But… who really benefits, or get affected by swaps, the trader, the broker or the liquidity provider? An answer would be appreciated.
I don’t know but I know one thing that I don’t get much benefit from swap and I just feel tension when there is requirement of paying swap, hence I trade on swap free account, it is not easy to operate such account with most brokers, but thanks to OctaFX company, it is no issues at all given their zero restriction on using of swap free account, it is really helpful and allows me to do trading without facing much difficulty.
When you start trading in Forex you choose a broker and make account with it. When you buy and sell currencies then forex broker charge you commissionover every order.This how Forex broker makes their money.