What is commission?
Brokers and trading platforms often charge clients a fee for using their services – these are commonly referred to as commission or trading fees. Trading platforms charge commission to execute orders for the buying and selling of stocks on your behalf. Commission charges vary from firm to firm so it's important to verify each trading platform’s fee schedules before buying stocks. Other fees (such as custody and FX fees) may apply. See below for a non-exhaustive list of different fees used by various brokers:
- Commission (trading fee) - usually charged for execution of orders
- Custody/management fee - typically charged for keeping assets administered
- FX fee - charged when converting between different currencies when trading
- Deposit fee - typically charged as a percentage of the funds deposited for investment
- Withdrawal fee - typically charged as a percentage of the amount withdrawn from a customer’s investment account
- Inactivity fee - a fee charged when a customer has not traded for a predefined time period
You can find out more about Revolut’s fee schedule here.
Introduction to stock trading
- What is a stock?
- Where do stocks come from?
- What is stock ownership?
- Why do people buy stocks?
- How could you lose money from buying stocks?
- What are stock markets?
- What is a stock broker?
- What is a stock price?
- What is a bid-offer spread?
- What are stock charts?
- What is commission?
- What are bullish vs bearish markets?
- What is technical analysis?
- What is fundamental analysis?
- What are analyst recommendations?
- What are stock financials?
- What is EPS (earnings per share)?
- What is a P/E ratio (Price-to-Earnings)?
- What is a P/CF ratio (Price-to-Cashflow)?
- What is ROE (Return on Equity)?
- What is Market Sentiment?
- What are Market Sentiment Indicators?
- What is the VIX?
- How does News and Social Media impact stocks?