FX cash vs fwds

Discussion in 'Forex' started by blackstormcap, Apr 16, 2012.

  1. i am long 2M EURCHF in IB and the interest charge is about 40USD a day which is a little expensive given that the carry is "supposed" to the positive.

    I am now looking to do the trade via CME EURCHF forward instead.

    how do you guys go around the high carry cost issue with IB?
  2. Do the trade somewhere else...
  3. where can you buy EURCHF options?
  4. IB rollover charges can be a ripoff, last time I checked OANDA had better interest rates.

    btw I didn't know you could trade forwards on CME :confused:
  5. The OP is referring to the IMM forward, aka the EURCHF futures, I presume.
  6. Yes, still no wholesale rates, but way better than IB anyways.


    P.S. a future is an exchange traded forward, technically..
  7. I wonder where we can find some sort of comparison between brokers on interest rate markup.
  8. Stok


    While some brokers may offer better rates than others, it the tier levels and the +/- that determine the interest charge. And yes, the interest charge on cash FX is a big business to these brokers. Would love to see a comparison chart that incorporates tier levels so we get a level number.
  9. Stok


    #10     Apr 16, 2012