How are the overnight fees on stocks calculated?

For non-leveraged BUY stock positions, there are no rollover fees.

For leveraged BUY stock positions and SELL stock positions, the daily fee is calculated based on the size of the trade (in units), as follows:

 

BUY Position: Annual interest of 6.4% + 1-Month LIBOR, divided by 365 and multiplied by the opening BUY price

SELL Position: Annual interest of 2.9% + 1-Month LIBOR, divided by 365 and multiplied by the opening SELL price

 

Let's take a BUY investment of 10 units in AAPL as an example. At the time of writing, the 1-month LIBOR is at 1.55%, and the BUY price of AAPL is $174.00.

(6.4% + 1.55%) / 365 * $174.00 = $0.03790 per unit

x 10 units = $0.38 daily for this trade

 

Now let's see an example of a SELL investment of 10 units in AAPL. At the time of writing, the 1 month LIBOR is at 1.55%, and the SELL price of AAPL is $173.67.

(2.9% + 1.55%) / 365 * $173.67 = $0.02117 per unit

x 10 units = $0.21 daily for this trade

 

The overnight fee and the size of the trade in units are listed on the Open Trade window before you confirm you wish to open the trade. 

 

For more information on LIBOR, click here.

For more information on unit calculation, click here.