Generally, Questrade does not charge interest for intraday trading (opening and closing a position on the same day) provided you have sufficient cash in the specific currency of the trade, as the borrowed funds are not held overnight.
However, interest is charged if you are borrowing money (using margin) to finance a trade that settles over a period of time, or if you hold a position overnight.
Here is the breakdown for intraday trading:
- Cash Account/Sufficient Funds: If you have the cash, no interest is charged.
- Borrowing (Negative Balance): If you buy U.S. securities without sufficient USD (using CAD instead), you are borrowing, and interest is charged from the date the trade settles (T+1).
- Intraday Shorting: No borrowing fees apply to short selling if you close the position on the same day.
- CFDs: Intraday CFD positions do not incur overnight financing costs.
- ECN Fees: While commissions are $0 for stocks/ETFs, you may still be charged Electronic Communication Network (ECN) fees if your order removes liquidity from the market.
In short: If you buy and sell within the same day without using more cash than you have in that currency, you will not pay interest.
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