Trading any product in the financial market needs to pay a certain amount of transaction costs, stock trading needs to pay brokerage fees, futures trading needs to pay commission, trading fees, margin interest and futures delivery costs, CFD trading needs to pay what fees? At the same time, how to reduce transaction costs.01 What are the costs of trading CFDS?CFD trading is a barreled product trading, its trading costs include spread fees, fees, overnight interest and the exchange rate difference.【 Spread cost 】 :Spread cost is generally the main cost of trading CFDS, whether you are at the bank counter or at the broker's MT4 interface, you will see two prices of a currency pair at the same time, the ask and the ask. The difference between the current bid price and the ask price is called the spread, and the spread is the cost a trader has to pay when trading.There are fixed point difference and floating point difference. At present, most brokers offer floating spreads, while some brokers offer fixed spreads of 0 points.【 Fee 】 :In CFD trading, brokers will provide different account types to customers with different needs, some of which account traders need to pay in addition to the spread cost, but also need to pay commission. In general, account spreads that require fees are lower, making it easier for some traders to calculate and control their trading costs. There are also zero-point accounts that only charge a commission.【 Overnight Interest 】 :In CFD trading, when a trader trades a product and needs to hold a position overnight to extend the position to the second trading day, interest is charged, that is, overnight interest. The overnight interest can be either long or short, depending on whether the trade is long or short.Not all of the overnight interest is a cost paid by the trader to the broker, but sometimes it is also a profit that the trader receives from the broker, depending on the type of trade.【 Foreign exchange rate 】 :At the time of deposit, traders usually need to convert the currency into US dollars or other account currencies, and at the time of withdrawal, they also need to convert US dollars or other account currencies into the currency at the time of deposit, which sometimes there will be exchange rate differences, which will also become the cost that traders need to pay.02 How to reduce your transaction costs?Under the same conditions, the lower the cost of the trader, the higher the profit of their transaction, so what ways can the trader reduce the transaction cost?[Long-term existence] :In the long run, spreads and fees usually go together, and brokers will give traders different types of accounts to choose from, and traders can compare these accounts to choose the one with the lowest trading costs. For the overnight interest, some brokers will provide free overnight interest on Islamic accounts, and some brokers will also provide free overnight interest on some products, in addition, traders can also choose to charge the broker for overnight interest transactions, often referred to as carry trades.【 Short-term Promotion 】 :In addition to the long-standing ways that traders can reduce trading costs, sometimes brokers will also offer some preferential activities, such as the stock market, some brokers will discount trading fees for a period of time. In the CFD market, brokers sometimes subsidize trading, such as during the period from September 20, 2021 to October and August 2021 (Mid-Autumn Festival and National Day 2021), broker Exness has a trading subsidy activity.Let's look at the fine print:In order to thank customers for choosing Exness trading platform, cash trading subsidies will be issued to customers on the occasion of the Mid-Autumn Festival and National Day. Currency pairs are subsidized at $0.20 per lot and all other varieties (except XRP and JP225) are subsidized at $0.30 per lot. Example: If you trade 500 lots of BTCUSD, you will receive $0.30 cash back per lot, which is a total subsidy of $150.Active Address:https://marketing.exnesstrade.asia/doublefestival/cn/The website is https://www.exness.voto/If trading is carried out during this period, then the cost of trading will be greatly reduced for traders, which is currently the most effective way to reduce trading costs, and interested traders can participate.P.S. How to collect wool for free? -- Wool guide for free collecting brokerIt is said that the wool comes out of the sheep, but is there any way of collecting the wool for free? Yes, in the early days, some brokers would launch the activity of opening an account bonus, but at present, because it is easy to generate risk-free arbitrage, basically no broker will have such an activity for a long time.And short-term preferential activities sometimes have this opportunity, such as the Spring Festival red envelope lottery activity, basically very low requirements can participate in a wave of brokers' good wool. In other festivals, this kind of event will also be held, or the broker Exness "share experience" event from September 20, 2021 to October and August 2021. As long as Exness trading hours reached 5 business days, you can write an experience to Exness email, the top 20 best share will receive 23.5-inch Samsung curved display or $163 equivalent cash prize.Active Address:https://marketing.exnesstrade.asia/doublefestival/cn/The website is https://www.exness.voto/Generally speaking, there are not many opportunities to collect wool for free, and there are basically no requirements, so when you arrive, you can act quickly.