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Hmmmm do fees scale with leverage? I don't know if that's true... My understanding is that leverage is profitable to trading platforms, not because the fees ar
by sdfhdhjdw3 4y ago
Hmmmm do fees scale with leverage? I don't know if that's true...
My understanding is that leverage is profitable to trading platforms, not because the fees are bigger, but because bigger leverage is "more fun" and so people trade more.
I don't know, you might be right.
- cersa8 4y agoThe fee is a percentage of the contract size, so higher leverage allows for bigger orders is higher fees.
- sdfhdhjdw3 4y agoThe contract size doesn't change with leverage. Do you mean a percentage of the notional value?
- cersa8 4y agoSorry, you are correct, the fee is a percentage of the notional value.