Broker Commission and Spread Fees Compared
Brokers charge for trades in one of two ways: an explicit commission per trade, or a spread built into the buy and sell price. Most modern investing apps — Trading 212, XTB, Freetrade, InvestEngine, Robinhood and Webull — charge zero stock commission, while Revolut charges 0.25% and eToro $1–$2 per stock trade. CFD brokers such as Plus500, Capital.com, AvaTrade, Fortrade and Pepperstone take their cost through the spread instead. Commission-free never means cost-free, so the comparison below sets out exactly how each platform charges, using figures verified June 2026.
Reviewed by Yaniv Barshaf · Fees verified June 2026 · Our methodology
Disclosure: FeesWizard may earn a commission if you open an account through links on this page. This never affects our fee data or rankings — how we make money.
Plus500: 80% of retail CFD accounts lose money.
Additional fees apply, including an Overnight Funding Fee, a Currency Conversion Fee, an Inactivity Fee, and a Guaranteed Stop Order (a wider spread is applied once used).
Plus500CY Ltd is authorized & regulated by CySEC (#250/14).
| Broker | Commission / spread | Notes |
|---|---|---|
| Trading 212 | 0% | Genuinely commission-free on stocks and ETFs. |
| XTB | 0% up to €100k monthly turnover, then 0.2% (min €10) | 0% up to €100k monthly turnover, then 0.2% (min €10) — most never reach the cap. |
| Freetrade | £0 commission on all UK & US stocks, ETFs and investment trusts (all plans) | £0 commission on all stocks, ETFs and investment trusts, every plan. |
| InvestEngine | £0 dealing commission on all ETFs (DIY portfolios); no platform fee | £0 dealing commission on ETFs; no platform fee either. |
| Robinhood | $0 on US stocks, ETFs, options and crypto | $0 on US stocks, ETFs and options. |
| Webull | $0 on stocks, ETFs and options (regulatory fees on sells) | $0 on stocks, ETFs and options (small regulatory fees on sells). |
| Revolut | 0.25% per trade (min ~$1), 0.12% on Ultra; 1+ free trades/month by plan | 0.25% per trade (0.12% on Ultra); 1+ free trades a month by plan. |
| eToro | $1–$2 per stock trade (varies by country/exchange); ETFs 0% | $1–$2 per stock trade (varies by market); ETFs 0%. |
| Capital.comCFD | No commission; cost is in the spread (from 0.6 pips on EUR/USD) | No commission; cost is the spread (from 0.6 pips on EUR/USD). CFD. |
| PepperstoneCFD | Razor account: tight spreads + ~$7/lot round-turn commission; Standard account: commission-free, wider spreads | Razor: tight spreads + ~$7/lot round-turn commission; Standard: commission-free, wider spreads. CFD. |
| Plus500CFD | No commission, cost is in the spread | No commission; cost is the spread. CFD. |
| AvaTradeCFD | No commission; cost is in the spread (from 0.9 pips on EUR/USD) | No commission; cost is the spread (from 0.9 pips on EUR/USD). CFD. |
| FortradeCFD | No commission; cost is in the spread (EUR/USD ~2 pips) | No commission; cost is the spread (EUR/USD ~2 pips). CFD. |
Fee data verified June 2026 from each broker’s published schedule. Figures are estimates of published costs, not quotes — confirm current fees on the broker’s own site before opening an account.
Commission versus spread: the two pricing models
There are two fundamental ways a broker charges you to trade, and understanding both is the key to comparing them honestly. A commission is an explicit, itemised fee shown separately from the market price — a flat amount or a percentage of the trade value, so you can see exactly what each trade costs. A spread is the gap between the buy price and the sell price, baked invisibly into the quote; you pay it automatically every time you open a position and effectively again when you close, without ever seeing a separate charge. Share-dealing platforms typically use the commission model (often zero commission), while CFD and forex brokers use the spread model. The two are not directly comparable line-for-line, which is why this comparison shows each broker's actual charging basis rather than pretending a single number captures both.
The zero-commission investing platforms
For buying real shares and ETFs, commission has largely collapsed to zero. Trading 212, Freetrade, InvestEngine, Robinhood and Webull all charge no stock commission at all, and XTB is commission-free up to €100,000 of monthly turnover — a cap almost no private investor reaches — after which a 0.2% commission (minimum €10) applies. That leaves two share-dealing exceptions in this comparison. Revolut charges 0.25% per trade (0.12% on its top Ultra plan), with one or more free trades a month depending on your plan, which makes it pricier for active investors but fine for occasional ones. eToro charges $1–$2 per stock trade depending on the market, though its ETFs are commission-free. For a cost-focused investor buying shares, the genuinely commission-free platforms are the natural starting point, with the FX fee then becoming the cost that separates them.
How CFD brokers charge through the spread
The CFD and forex brokers in this comparison — Capital.com, Pepperstone, Plus500, AvaTrade and Fortrade — generally charge no separate commission on their standard accounts and instead take their cost through the spread. The tightness of that spread is the key differentiator. Capital.com quotes from 0.6 pips on EUR/USD and Pepperstone's Razor account from around 0.1 pips (though Razor adds roughly $7 per lot round-turn commission), while AvaTrade's fixed spreads start from 0.9 pips and Fortrade's from around 2 pips. A tighter spread means a lower cost per trade, so among spread-based brokers the pips figure plays the role that commission plays for share dealers. Remember that CFDs are leveraged products carrying a high risk of rapid loss, and that spread is only one of several CFD costs — overnight funding on held positions is often the larger charge for anything but very short-term trades.
Why commission-free is never cost-free
The headline of zero commission is real but incomplete. A broker still needs revenue, and where it is not charging commission it recovers the cost elsewhere: most commonly through a currency conversion fee on foreign shares, and on CFD brokers through the spread and overnight funding. For a UK investor buying US stocks on a commission-free app, the FX fee is frequently the true cost of the trade — and, as our currency conversion comparison shows, it can differ by a factor of six between platforms. So the right way to compare is never commission alone. Add up the all-in cost for how you actually trade: commission or spread, plus FX on foreign-currency trades, plus any withdrawal, platform or inactivity fee. A platform that looks cheapest on commission can be dearer overall once conversion is included, which is exactly why looking past the headline matters. Capital at risk.
When each model works out cheaper
Neither model is universally cheaper; it depends on how you trade. For long-term investors buying and holding real shares and ETFs, a zero-commission platform with a low FX fee is almost always the lowest-cost route, and the spread on liquid shares is negligible. For active, short-term traders — particularly in forex and indices — a tight-spread CFD broker can be cheaper per trade than a commission model would be, provided positions are closed quickly enough that overnight funding does not accumulate. The crossover point is holding time and leverage: the longer a leveraged position is held, the more overnight funding erodes any spread advantage, which is why CFDs suit short-term speculation rather than investing. Match the pricing model to your behaviour: buy-and-hold investors want commission-free share dealing with low FX; active short-term traders comparing spread brokers should weigh the pips alongside the funding cost. Run your own trade size and frequency through a cost calculator rather than trusting a single headline.
Frequently Asked Questions
What is the difference between commission and spread?
Commission is an explicit, separate fee per trade, so you see exactly what each trade costs. A spread is the gap between the buy and sell price, built invisibly into the quote and paid automatically on every trade. Share-dealing platforms usually use commission; CFD and forex brokers use the spread.
Which brokers are truly commission-free?
For stocks and ETFs, Trading 212, Freetrade, InvestEngine, Robinhood and Webull charge no commission, and XTB is free up to €100,000 monthly turnover. Revolut (0.25%) and eToro ($1–$2 per stock trade) are the share-dealing exceptions in this comparison.
Does commission-free trading really have no cost?
No. Commission-free brokers still earn revenue, usually through a currency conversion fee on foreign shares, or through the spread and overnight funding on CFD brokers. For UK investors buying US stocks, the FX fee is often the real cost of a commission-free trade, so compare the all-in cost.
Is a spread-based CFD broker cheaper than a commission broker?
It depends on holding time. For short-term trades closed quickly, a tight spread can be cheaper per trade. But CFDs incur overnight funding daily on held positions, so for anything but very short holds the funding cost erodes any spread advantage. CFDs are high-risk leveraged products; capital at risk.