Description of table contents

Point Value

The Point Value reflects the amount (per currency) for each price shift (before the comma) of the underlying instrument that is measured as one point is one unit. The point Value is not the instrument's tick value that usually is a fraction of the Point Value.

Bid-Ask Spread

The typical bid-ask spread depends on the underlying instrument's price movement on the various markets where the underlying is traded. These markets could include Multilateral Trading Facilities (MTFs), Derivative Exchanges, the home market exchange, regional markets or brokers, etc. Therefore the raw bid-ask spread cannot be constant or fixed. The typical bid-ask spread of nextmarkets contains an implied commission as a mark-up to this spread. The implied commission is based on an average trading volume and reflects approx. 1.5 Basis Points (or 0.015%). For example, a CFD on an underlying with a raw bid-ask price of 19.99 - 20.01 EUR will get a mark-up reflecting the implied commission. That mark-up would increase the raw bid-ask spread by 0.003 EUR to 19.988 - 20.011 EUR.

Margin

The column Margin shows the margin rate in percent that is needed to execute the order.

Leverage

The leverage is the reciprocal of the margin rate (leverage = 1 / margin rate; 20 = 1 / 0.05).

Commission

There is no separate commission. The client only pays the bid-ask spread to execute a CFD trade.

Refinancing Costs

The overnight position interest (OPI) contains the benchmark refinancing / funding rate (e.g. EONIA or 1 week Euribor for EURs, LIBOR or Fed Funds for USD), the stock loan or stock lending fee (in case of short positions in single stocks), the swap rate for Currency Pairs and the overnight refunding rate of for example 2.5%.

Here follows an example of the calculation: the OPI USA Top30 (long) = 1-month USD Libor + 2.5% + stock loan rate = 2.50% + 2,50% + 0% = 5% (that will be debited).