Exness raw spread vs zero Which is better (2024)

The debate between raw spread and zero spread trading has been going on for quite some time in the forex trading community. Both raw spread and zero spread accounts offered by brokers like Exness have their own sets of pros and cons.

Let's take a detailed look at what raw spread and zero spread means and see which one is better for forex traders overall:

Here Is The Summary Of This Exness Review

• Min Deposit: USD 10
• Regulators: CBCS, CySEC, FCA, FSA, FSC, FSCA, CMA
• Trading Desk: MT4, MT5, MT4 WebTerminal, mobile (iOS & Android, Exness Trader)
• Crypto: Yes
• Total Pairs: 97
• Islamic Account: Yes
• Trading Fees: Low
• Account Activation Tim: 24 Hours

Raw Spread Exness Account

Raw spread refers to the spreads that are provided directly by liquidity providers without any markup by the broker. Exness offers raw spread accounts on their ECN platform. Here are some key things to know about raw spread accounts:

What is Raw Spread

• Raw spreads are derived directly from liquidity providers. There is no markup or intervention by Exness.
• Spreads can widen significantly during news events or periods of low liquidity. There is no limit on how wide spreads can go.
• Traders get access to real institutional spreads from tier-1 liquidity providers. Spreads are extremely tight during normal volatile market conditions.

Pros of Raw Spread

• Extremely tight spreads during regular trading conditions. Average spreads on major pairs can be as low as 0.0 pips.
• No conflict of interest. Broker does not make money from your spread markup. You pay what liquidity providers charge.
• True institutional grade spreads. Great execution quality for high frequency trading systems.

Cons of Raw Spread

• Spreads can widen a lot during news announcements and events. No limit on spread widening.
• Higher commission fees to compensate broker for providing raw spreads. Commission is $6 per lot round turn.
• ECN model requires high capital levels. High trading costs not suitable for small accounts.

When is Raw Spread Beneficial

Raw spreads benefit traders who trade higher volumes during regular volatile trading hours. The tight spreads can lead to huge savings and better entry prices for active intraday traders.

Zero Spread Exness Account

As the name suggests, zero spread accounts have no spread at all. Instead of spreads, traders pay a small fixed commission per trade. Let's take a look at how zero spread accounts work:

What is Zero Spread

• Spreads are permanently fixed at 0 pips during all market conditions.
• Traders instead pay a small fixed commission per standard lot traded.
• Exness offers zero spread accounts on their Instant Execution platform.

Pros of Zero Spread

• No spread manipulation or markup. Complete transparency in pricing.
• Extremely tight spreads 24/7. No variation in spreads at all.
• Lower barriers to trading. Minimum deposit requirement is only $5.

Cons of Zero Spread

• Requotes and slippage can occur during volatile events. Execution quality not as good as ECN.
• Non-ECN model has some conflict of interest. Broker can still make money from your trades.
• Commission fees apply. $3.5 per lot commission charged instead of spread markup.

When is Zero Spread Beneficial

Zero spread accounts benefit traders who keep positions open for long term or trade during off-market hours. The permanently fixed 0 pip spread eliminates negative rollover swaps.

Raw Spread vs Zero Spread: Which is Better?

So which type of account is better for you as a forex trader? Here is a summary of the key differences:

Raw SpreadZero SpreadSpreadsExtremely tight during volatile hours. Can widen a lot during events.Permanently fixed at 0 pips at all times.ExecutionECN model has top tier liquidity and execution quality.Non ECN has potential requotes and slippage.Trading StyleBest for active intraday trading during volatile hours.Ideal for long-term position trading or trading during off-hours.DepositHigher deposit $5,000+. ECN costs not workable for small accounts.Very accessible. Starts with deposit as low as $5.Trading CostsNo commissions. Pay only raw spreads to liquidity providers.Low fixed $3.5 commission per lot. No spread markup.

Conclusion

In summary, raw spread accounts are ideal if you are an active intraday trader focused on execution quality during volatile market hours. The super tight spreads can lead to major savings.

Zero spread accounts are better suited for long term position traders, or those trading during off market hours. The fixed 0 pip spread and low costs make it accessible even for small account sizes.

So evaluate your trading style and requirements to decide which model works best for you. Both account types have their own advantages. The choice depends on your specific needs as a forex trader.

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