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Raw Spread Account

Brokers & Regulation

A forex account that passes through near-raw liquidity spreads and charges a separate per-lot commission instead of a spread markup.

A raw spread account, often marketed as an ECN or zero-spread account, passes the broker's underlying liquidity pricing through to the client with little or no markup, so quoted spreads can approach zero when the market is liquid. In exchange the broker charges an explicit commission per lot traded. The structure makes trading costs visible as two separate items — spread plus commission — which suits scalpers and algorithmic traders who trade often and are sensitive to spread size. Raw spreads still widen around news releases and in thin liquidity, and the commission applies regardless of the spread. The fair comparison is total cost per round turn against a standard account's all-in spread, for the size and frequency a trader actually uses.

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