What is Rebate?
What is Rebate?
Rebate is a Spread or Commission refund that the broker or partner (IB - Introducing Broker) returns to the customer after the opening and closing of the trading order according to the specified conditions.
Rebet is not a profit from trading, but a reduction in trading costs, giving traders lower costs.
How does Rebecca work?
When you open a trading order, the broker earns money from a spread or commission, and the partner (IB) may then share a portion of the revenue back to the customer in a "rebet" format.
That is to say,
- Trade as usual.
- Trading fees.
- Received the rebate on the terms of the broker or IB.
The advantages of Rebet.
- Helps reduce trading costs.
- The greater the trading volume, the more likely it is to receive a rebet (depending on the conditions).
- Earned both in the case of trading profit or loss. In the condition of payment of the rebate.
- Fits both short- and long-term traders who want to manage costs.
Sample
Assuming that in a month you are entitled to a rebet totaling US $50, this money will be transferred into your account or wallet according to the round and conditions required by the carrier.
Something to check.
- Rebet rate received.
- Terms of pay
- Account type supported
- A tool that can get a rebet.
- Rebet pay cycle (e.g. daily or weekly)
Conclusion: A rebate is a "rebate on trading costs" that reduces trading costs but not returns or capital gains. Traders should study the details and conditions of active brokers or IBs before making a decision.
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