FOREX REBATE GUIDE

A return of eligible trading costs, not additional investment income

A broker rebate is a service arrangement under which part of an eligible cooperation commission is returned after a correctly attributed account generates qualifying trading volume.

ILLUSTRATIVE EXAMPLE Eligible lots × rebate rate
Eligible volume20 lots
Reference rebateUSD 6 / lot
Illustrative rebate: USD 120

The actual amount depends on the broker record, product, account type, eligibility rules and settlement cycle.

HOW IT WORKS

How is a broker rebate generated?

A broker may pay a service commission to an eligible introducing channel. Under the published arrangement, part of that commission can be returned to the trader to reduce the recorded transaction cost. It does not change the market result of the trade.

01

Open or attribute the account

Register through the specified application route, or submit an existing account for attribution review where the broker permits it.

02

Confirm the rules

Check eligible products, account type, calculation method, reporting period, settlement cycle and payment route.

03

Generate eligible volume

After qualifying transactions are completed, the broker or service system records the product, volume and relevant account fields.

04

Reconcile and settle

At the settlement cut-off, compare eligible orders with the statement and arrange payment under the confirmed method.

Common rebate calculation types

  • Per-lot rebate: calculated from eligible standard-lot volume under a stated rate.
  • Spread-based rebate: a defined share of eligible spread revenue is returned.
  • Commission-based rebate: common for ECN or lower-spread accounts that charge a separate commission.
  • Fixed settlement cycle: daily, weekly or monthly reporting may apply, sometimes with a minimum payout amount.

Questions to ask before applying

Rebate conditions are not identical across all accounts. Confirm the legal entity, application link, account type, eligible instruments, spread and commission treatment, whether an existing account can be attributed, and whether a minimum settlement amount applies.

A rebate does not reduce leverage, price movement, slippage, gap or liquidation risk. Do not increase position size or trading frequency to pursue a rebate.