The Truth about Zero-Commission Trading — What you’re really paying.

Many brokers advertise zero commissions, but traders often misunderstand what that really means.

1. Zero Commissions = Higher Spreads

If a broker removes commission, they must earn money elsewhere — usually through spread markups.

Example:

  • ECN account: 0.2 pip spread + $6 commission

  • Zero-commission account: 1.2–1.5 pip spread

On larger lot sizes, the zero-commission model can be more expensive.

2. Hidden Execution Costs

Zero-commission accounts may suffer from:

  • slower execution

  • more slippage

  • fewer liquidity providers
    This creates invisible costs for traders who rely on precise entries.

3. When Zero Commissions Make Sense

  • For beginners

  • For small accounts

  • For swing traders who open few positions

  • For simple strategies with low-frequency trades

4. When to Avoid Zero Commissions

  • Scalping

  • High-frequency day trading

  • Grid robots

  • Expert Advisors with tight stop losses

Conclusion:
Zero commission doesn’t mean free trading.
Traders must calculate their real costs based on spreads, execution quality, and trading style.

Check out our website https://brokerdiscount24.com/broker-deals/ to find the right deal for you.