Financing cost of trading assets

Open positions are charged everyday in accordance with the swap rates which are updated daily (FX, Metals, Indices, Commodities). Kindly refer to the example below that shows the method for calculating financing costs (swap) applicable to open positions that pass through Rollover.


Contract specifications

The swap rates

InstrumentShortLongTick SizeEoD rate
ESX/EUR-20.29-93.820.014324.5
EUR/JPY-16.319.930.001150.018

At the end of the day we have the following:

  • 5,610,000 EUR/JPY
  • -3 ESX/EUR

Roll steps

Short positionEOD rate: 4324.5ESX/EUR Short 3
1. Close position — SellRate = EoD Rate = 4324.5The short position 3 ESX/EUR will be closed (Buy) at rate 4324.5 at EoD
2. Open position — BuyRate = EoD Rate = 4324.5The short position 3 ESX/EUR will be Re-opened (Sell) at rate 4324.5 at EoD
3. Cost of Rollover — Short positionRollover cost = Position size x Short points cost x Tick size x Number of days rolledRollover cost = 3 x -20.29 x 0.01 x 1 = -0.61 EUR

Amount 55,707.30 JPY will be converted to account currency by EOD conversion rate and added to account balance

Long positionEOD rate: 150.018EUR/JPY Long 5,610,000
1. Close position — SellRate = EoD Rate = 150.018The short position 5,610,000 EUR/JPY will be closed (Buy) at rate 150.018 at EoD
2. Open position — BuyRate = EoD Rate = 150.018The short position 5,610,000 EUR/JPY will be Re-opened (Buy) at rate 150.018 at EoD
3. Cost of Rollover — Long positionRollover cost = Position size x Long points cost x Tick size x Number of days rolledRollover cost = 5,610,000 x 9.93 x 0.001 x 1 = 55,707.30 JPY

Amount 55,707.30 JPY will be converted to account currency by EOD conversion rate and added to account balance