From market opening 18th August 2009 (23:00 GMT), Alpari (UK) will be tightening minimum spreads across all currency pairs and precious metals on Demo and Live accounts.
Flexible spread minimums will be reduced, on average, by 25% and up to 60% for some currency pairs compared with current fixed spreads. Refer to the table below.
With the introduction of additional price feeds, clients will be able to access significantly tighter spreads as we pass on the benefit of the tighter spreads available to us from the Interbank market.
Flexible spreads will also bring a greater degree of price-transparency to clients’ trades along with institutional-level pricing and lower transactional costs.
The introduction of significantly lower minimum spreads supports our commitment to providing clients with the most accurate Forex pricing, better execution and wider market access. We will also take every opportunity to tighten them further in the future.
During certain times of the day, periods of lower liquidity and when there is increased market volatility, spreads will naturally widen. Fully understanding the dynamics of flexible spreads is key to better-informed and more considered trading and the Alpari Academy will soon feature new tutorials and expert, impartial advice on the topic of spreads.
We welcome your comments and suggestions and, if you would like to discuss this subject or any aspect of our service, please email Client Services at support@alpari.co.uk.
| Ticker |
Minimum Spreads* |
Typical Spreads |
Instant Execution ** |
Size of 1.0 lot |
Limit & Stop levels |
Commission *** |
| Precious Metals |
||||||
| XAUUSD (Gold) |
50 pips |
53 pips | 5 lots | 100 troy oz |
100 pips |
$ 0 |
| XAGUSD (Silver) |
4.0 pips |
4.0 pips | 5 lots | 5000 troy oz |
10 pips |
$ 0 |
| Foreign Exchange |
||||||
| EURUSD | 1.6 pips | 1.7 pips | 50 lots | EUR 100,000 | 2 pips | $ 0 |
| USDCHF | 2.6 pips | 2.8 pips | 50 lots | USD 100,000 | 4 pips | $ 0 |
| USDJPY | 2.0 pips | 2.0 pips | 50 lots | USD 100,000 | 3 pips | $ 0 |
| GBPUSD | 2.5 pips | 2.9 pips | 50 lots | GBP 100,000 | 3 pips | $ 0 |
| AUDUSD | 2.8 pips | 2.8 pips | 50 lots | AUD 100,000 | 3 pips | $ 0 |
| USDCAD | 3.5 pips | 4.0 pips | 50 lots | USD 100,000 | 4 pips | $ 0 |
| EURGBP | 2.0 pips | 2.1 pips | 50 lots | EUR 100,000 | 2 pips | $ 0 |
| EURCHF | 2.8 pips | 2.9 pips | 50 lots | EUR 100,000 | 3 pips | $ 0 |
| EURJPY | 3.2 pips | 3.2 pips | 50 lots | EUR 100,000 | 3 pips | $ 0 |
| GBPJPY | 5.5 pips | 5.6 pips | 20 lots | GBP 100,000 | 7 pips | $ 0 |
| GBPCHF | 5.5 pips | 5.8 pips | 30 lots | GBP 100,000 | 7 pips | $ 0 |
| EURCAD | 7.0 pips | 7.4 pips | 30 lots | EUR 100,000 | 8 pips | $ 0 |
| EURAUD | 7.0 pips | 7.0 pips | 30 lots | EUR 100,000 | 10 pips | $ 0 |
| USDSGD | 5.0 pips | 5.4 pips | 10 lots | USD 100,000 | 8 pips | $ 0 |
| CHFJPY | 6.0 pips | 6.0 pips | 50 lots | CHF 100,000 | 4 pips | $ 0 |
| EURNZD | 15.0 pips | 15.5 pips | 10 lots | EUR 100,000 | 12 pips | $ 0 |
| AUDJPY | 5.0 pips | 5.0 pips | 25 lots | AUD 100,000 | 5 pips | $ 0 |
| AUDNZD | 12.0 pips | 12.6 pips | 30 lots | AUD 100,000 | 12 pips | $ 0 |
| AUDCAD | 7.0 pips | 7.0 pips | 20 lots | AUD 100,000 | 7 pips | $ 0 |
| AUDCHF | 7.0 pips | 7.0 pips | 30 lots | AUD 100,000 | 6 pips | $ 0 |
| CADCHF | 6.0 pips | 6.1 pips | 30 lots | CAD 100,000 | 8 pips | $ 0 |
| CADJPY | 5.0 pips | 5.0 pips | 30 lots | CAD 100,000 | 6 pips | $ 0 |
| NZDUSD | 6.0 pips | 6.1 pips | 10 lots | NZD 100,000 | 5 pips | $ 0 |
| NZDJPY | 7.0 pips | 7.0 pips | 25 lots | NZD 100,000 | 7 pips | $ 0 |
| USDDKK | 15.0 pips | 15 pips | 10 lots | USD 100,000 | 30 pips | $ 0 |
| USDNOK | 50.0 pips | 57 pips | 10 lots | USD 100,000 | 50 pips | $ 0 |
| USDSEK | 75.0 pips | 81.5 pips | 25 lots | USD 100,000 | 50 pips | $ 0 |
| USDHKD | 6.0 pips | 6.0 pips | 30 lots | USD 100,000 | 7 pips | $ 0 |
| SGDJPY | 5.0 pips | 5.0 pips | 10 lots | SGD 100,000 | 6 pips | $ 0 |
* The above minimum spreads will be applicable under normal market conditions.The Company has the right to amend the above spreads according to market conditions.
** High volume deals are executed by request
*** Transaction costs are incorporated into the bid/ask spread
Amendment to clause 2.12 of Terms of Business
Previous version:
2.12 Under Normal Market Conditions the Company maintains fixed Spreads specified in the Contracts Specifications.
2.13. Spreads may be widened:
(a) for all the Customers under Abnormal Market Conditions and Force Majeure Event;
(b) for any particular Customer if the Customer has recently made an unreasonable number of Requests in comparison with the number of Transactions 4;
(c) for all the Customers giving 14 (fourteen) calendar days prior Written Notice.
(d) for any particular Customer’s Request which exceeds the Normal Market Size for this Instrument.
New version:
2.12 The Company will provide quotes for all currency pairs with a flexible bid / offer price:
(a) The minimum spread for each currency pair, under normal market conditions, is specified in the Contract Specifications.
(b) The maximum spread for each currency pair, under normal market conditions, is available upon request
(c) The minimum and maximum spreads will vary depending on market conditions.
New version of clause 2.12 of Terms of Business also replaces clause 2.13 of Terms of Business.
Previous version:
11.3. The Company specifies Spread for each Instrument in the Contract Specifications. The Company is entitled to change Spreads without prior Written Notice to the Customer subject to the Terms of Business. Otherwise, the Company shall notify the Customer not less than 14 calendar days prior to any changes in Spreads.
New Version:
11.3 The company specifies minimum spreads for each Instrument in the contract specifications. The company is entitled to change spreads depending on market conditions.
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