I'm curious about how brokers generate income. I want to understand the various ways they earn money, whether it's through commissions, fees, or other means. Can someone explain the process to me?
6 answers
SkyWalkerEcho
Tue Dec 24 2024
One significant revenue stream for trading brokers is the spread, which refers to the difference between the buy and sell prices.
SeoulSerenitySeeker
Tue Dec 24 2024
In addition to the spread, trading brokers also generate income from commissions.
Stefano
Tue Dec 24 2024
Overnight funding fees, which are charged for holding positions overnight, contribute to their earnings.
CryptoElite
Tue Dec 24 2024
Stockbrokers primarily earn their income through the commissions they impose on transactions.
BonsaiLife
Tue Dec 24 2024
Other fees, such as withdrawal or inactivity charges, may also be part of a trading broker's revenue model.