We make every effort to get the best prices from our multiple liquidity (Bank) providers in order to keep our spreads as narrow as possible. Main goal is to provide our clients with the lowest spreads in the industry coupled with the best execution quality. Lower spreads means trades move into the positive column earlier.
FW Markets ECN/STP trading model does not have a fixed spread. This means the spread on offer will accurately reflect the true buying and selling rates for a particular currency pair and ensures investors are trading Forex under real Forex market conditions of supply and demand.
Our ECN/STP model provides our clients with direct access to the other Forex market participants. We do not compete with our clients or even trade against them. This grants our clients more advantages over dealing desk market makers:
Tight and variable spreads as low as 0.4 pip in all major pairs better Forex rates
Real non dealing desk & no re-quotes
Best execution policy
No conflict of interest between FW MARKETS and its clients
No limits on Scalping
No “stop-loss hunting”
Fractional pip pricing
FW MARKETS strives to offer its clients the most competitive rates and spreads in the market. Poor execution makes tight spreads insignificant. On many occasions, dealers that have a low spread may offer poor quality of execution by aggressively re-quoting or slipping clients’ orders, thus making it difficult for you to enter the market at the price of your choice. Some firms offer low spreads yet charge commissions on trades or levy hidden fees, thus often increasing the total cost of execution. FW Markets offers all traders the same tight spreads, with no exceptions, regardless of account size, trade size or type of customer. No other costs or commissions are charged.
The interbank forex market has variable spreads. So does FW Markets. If you are trading fixed spreads you are in effect paying for an insurance premium since fixed spreads are typically higher than variable spreads. Therefore, unless you trade only around news events when markets tend to be more volatile your transaction cost is higher. Many forex brokers who claim to offer fixed spreads, impose restrictions on trading around news announcements. In this case your insurance is worth nothing. FW Markets enforces no restrictions on trading during news releases.
FW Markets offers its customers fractional pip pricing. This means that instead of quoting prices with four(4) digits, FW Markets allows you to benefit from the smallest price movements by adding a fifth digit (fraction). Fractional pip pricing allows for tighter spreads and the most accurate quoting possible. This pricing is the result of our efforts to get the best prices from our multiple liquidity providers.