Why is there a per trade commission or spread?

When you go to a retail forex broker (dealer) to set up an individual account, they act as a middle-man connecting you to a currencies ECN (the internet of the Forex market). The provider of the ECN has their own spread and commission that they charge that dealer. The dealer then combines that spread and commission, adds in their own small spread, and that results in the final spread that you see as an individual trader.

The Apiary Fund is one step closer to the market, eliminating the middle man. You will notice that the combined spread and commission result in fewer costs to you as a trader. We don't put it into the spread because the commission will be smaller if you trade a smaller lot size. These things combined keep the cost as low as possible for you and for us.

For more definitions and trading terms please check out our Glossary.