Interest on funds deposited with CBS

Interest on main and sub-accounts

Interest on your main account is calculated on the Net Free Equity and interest on your sub-accounts is calculated on the Account Value.

However, since the Net Free Equity is calculated on open trade positions on all your accounts, it is important to make sure that sufficient cash is available on your main account. Otherwise, you risk being subject to a debit interest on your main account exceeding the credit interest payable on your sub-account(s).

The current interest profiles below are for trading accounts. For cash management accounts click here.

Account Value

Account Value is defined as:

The cash balance on the individual sub-account
Plus or minus the value of any unrealised profits or losses from open trade exposures in FX OTC Options, CFDs, futures and sold exchange traded options on the sub-account.

Net Free Equity

Net Free Equity is defined as:

The cash balance on the main trading account
Plus or minus the value of any unrealised profits or losses from open trade exposures in sold FX OTC Options, CFDs, futures and sold exchange traded options on the main trading account
Minus the value of margin requirements for open trade positions on all accounts. For this purpose, margin requirements are a flat 2% for all FX positions and a flat 10% for all CFD positions.

The following interest rates apply to funds deposited with Commodity Broking Services via Falcon Trader:

Interest will not be paid on Net Free Equity up to USD 15,000 (or the currency equivalent)
For positive Net Free Equity exceeding USD 15,000 up to USD 100,000 - interest will be paid at LIBID minus 3% on the full amount
For positive Net Free Equity exceeding USD 100,000 - interest will be paid at LIBID minus 2% on the full amount
For negative Net Free Equity - interest will be charged at LIBOR plus 3%

Calculation and settlement

Interest will be calculated daily and settled monthly - within seven business days after the end of each calendar month.

US residents

Please note that due to regulatory restrictions only Forex spot, Forex OTC options, CBS Managed FX funds, Spot Gold and Silver can currently be offered to US residents.