How is the swap or inventory fee calculated for a currency pair?

All currency pairs provided by Doo Prime are based on the spread mode to calculate the overnight interest. The calculation formula is as follows:

  • Swap Interest = Lot Size * Long or Short Swap Interest * Last Quote Point Value * Trading Days

Indirect bidding method:
For example, if you hold 1 lot of EUR/USD and hold the position overnight for one day, the formula for calculating the overnight interest is as follows:

  • Lot size (1) * long overnight interest * (-3.52) * last tick value (1) * trading days (1) = -3.52

Direct bidding method:
For example, if you hold 1 lot of USD/CAD and hold the position overnight for one day, the formula for calculating the overnight interest is as follows:

  • Lot size (1) * long overnight interest * (-2.50) * last quote point value (1) / USD/CAD exchange rate * (1.30000) * trading days (1) = -1.92

(*Note: The overnight interest data is updated at 19:00 Beijing time every day; due to real-time changes in the exchange rate against the US dollar, the displayed results are for reference only, and may differ from the actual interest charged)

You can find more details in the product specification of MetaTrader 4 or Doo Prime official website – Overnight interest.

Link: Doo Prime Official Site – Swap

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Trading in financial instruments involves high risks due to the fluctuation in the value and prices of the underlying financial instruments. Due to the adverse and unpredictable market movements, large losses exceeding the investor’s initial investment could incur within a short period of time. The past performance of a financial instrument is not an indication of its future performance. Please make sure you read and fully understand the trading risks of the respective financial instrument before engaging in any transaction with us. You should seek independent professional advice if you do not understand the risks disclosed by us herein.

Trading in financial instruments involves high risks due to the fluctuation in the value and prices of the underlying financial instruments. Due to the adverse and unpredictable market movements, large losses exceeding the investor’s initial investment could incur within a short period of time. The past performance of a financial instrument is not an indication of its future performance. Please make sure you read and fully understand the trading risks of the respective financial instrument before engaging in any transaction with us. You should seek independent professional advice if you do not understand the risks disclosed by us herein.