If you keep a Cash CFD position open overnight (after 11pm Geneva time) we will make an interest adjustment to your account, to reflect the cost of funding your position. The interest adjustment is based on the relevant interest rate benchmark (eg. SONIA). We debit your account if your position is long, and credit your account for a short position – if the relevant interest rate benchmark is greater than 2.5%.*
For nearly all our markets, this is calculated in the same way. For forex, the funding cost is calculated differently. See the table below.
Cash CFDs
| Long positions | Short positions | Forex positions |
|---|---|---|
| We charge 2.5%* above the relevant interest rate benchmark. Eg. If the relevant interest rate benchmark is 0.5%, you would be charged 3.00% (annualised). |
You receive the relevant interest rate benchmark, minus 2.5%*. If the relevant interest rate benchmark is greater than 2.5%,* we credit your account; if the relevant interest rate benchmark is less than 2.5%,* your account is debited. Eg. If the relevant interest rate benchmark is 0.5%, you would be charged 2.00% (annualised). |
For forex positions, we charge funding based on the current tom-next rate. Tom-next shows, in points, the difference between the interest paid to borrow the currency that is being notionally sold, and the interest received from holding the currency. |
*3% on mini and micro CFD contracts
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