triple interest wed Brokers

Discussion in 'Forex Brokers' started by frank99, Jun 8, 2008.

  1. frank99

    frank99

    Which brokers besides Oanda do not pay/charge triple interest on Wednesday?


    Thanks!


    Frank
     
  2. None spring to mind but I'm intrigued to know why you want one :)

    If you're after a broker who doesn't pay/charge interest at all then try looking to see if they have a Muslim account, not sure how they work it out but it's worth a look.
     
  3. frank99

    frank99

    Cabletrader,

    Thanks for the reply. I had an idea, but I just found a flaw in the logic, so nevermind.






     
  4. Triple interest Wednesday? What?

    Is that like a radio station playing "double shot Tuesday"?

    Does such a thing exist?
     
  5. Pippi436

    Pippi436

    Its the standard settlement procedure in FX. Google 'Tomorrow Next' for details. Because of the weekend, you will pay/recieve 3 times the swap on wed.
     
  6. Ah, Oanda pays on the weekend.

    Thanks for the info.
     
  7. FxPro2

    FxPro2

    I was under the impression that Islamic banks still had a procedure similar to interest, they just called it by a different name... I know several like that. But maybe others are not?
     
  8. Pippi436

    Pippi436

    This should, in theory, be exploitable - if you have a broker with very competitive spreads and rolls. If you open a hedged trade (int negative on Oanda, int positive on the other broker) just for the rolling period for wed, you get 3 days worth of interest and pay negative swap for 30 minutes or so on Oanda (since Oanda calculates interest on a per second basis). Question would be if the interest can overcome the spread-costs and/or commissions. There probably would't be much love from Oanda either if this would be done with big size.
     
  9. frank99

    frank99

    The interest isn't enough to overcome the spread on both sides unfortunately.



     
  10. I think I read somewhere there are still a few left who don't pay/charge, don't know who though.
     
    #10     Jun 12, 2008