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Swap-Free Privilege

What is "Swap-Free Privilege"? 1. Definition Swap-Free Privilege refers to a specific account type or clien...

Written by Jerome

What is "Swap-Free Privilege"?


1. Definition

Swap-Free Privilege refers to a specific account type or client group that is entitled to no overnight swap fees (Swap) when holding positions overnight.

📌 Essentially, it is a trading exemption granted by the platform
📌 Applicable to eligible accounts, regional clients, or as a platform benefit
📌 Particularly suitable for long-term traders and clients with religious requirements (e.g., Islamic accounts)


2. Applicable Scenarios & Advantages

Scenario

Advantage

Clients often hold positions overnight

No need to worry about daily Swap charges

Gold, Oil, Forex and other volatile assets

More suitable for medium- to long-term trading

Clients from specific regions (e.g., Middle East)

Complies with religious norms, offering interest-free accounts

Promotional or account benefits

Used as a privilege to attract long-term clients


3. FAQ

Question

Answer

Do all accounts qualify for swap-free?

No. Only approved clients or specific account types (e.g., Swap-Free accounts).

Are all instruments swap-free?

Not necessarily. Some high-volatility products or crypto may still incur equivalent "management fees".

Is there a holding time limit?

Some platforms impose limits, e.g. "valid for 7 days", check platform details.

Is it truly zero cost?

Some accounts may hedge cost differently, such as widening spreads.

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