I've had an account with Nordhill (Hyper) at SFX Markets for about 6 months now, and overall I must say so far, so good. I am not a FX professional, but the trading makes sense to me and withdrawl wasn't a problem.
I've now opened another Nordhill account (Mixed Strategy) at HantecMarkets. It has just started trading and I am a bit surprised by the commissions they charge, USD 14.00 per lot (100,000) per round turn. In my humble opinion that seems pretty high even for a DMA broker, and I wonder if there is some volume commission for Nordhill involved.
I would be interested to have anybody's opinion on that, and in particular from those who already have a Nordhill account with Hantec.
Thank you, everybody. (This is my very first posting on FPA.)
Hi Spinal, thanks for leave your feedback here.
$14 is quite high, if I was trading with them as a TRADER, I would open an account without commission, that's what I do, but as an Investor, that's an agreement between the managed company and the broker, if the managed company is able to delivery satisfactory results without compromising the investors account, them I'm fine with that, I have another managed account in another company and their commission is disclosure, is in between them, from my experience, this doesn't make a difference if you're a client. If you're a Trader, it's a total different history.
That's my opinion, another question, I just checked the uk version of hantec and it doesn't mention the commission there, the metrader platform has no commission and the other platforms such as currenex classic and viking do have, but it says it's negotiable, but I don't know which platform NH uses to manage clients funds, which one do you have?
Again, as an investor, that shouldn't make much difference in your strategy, the mix strategy can generate up to 120% in a year approximately, and that's already included commission from performance fee in case there are profits in a period of one month, so the commission from the trades will also be included and it shouldn't affect your account's performance.
If you'd like extra information about it, please ask your contact in Hantec, since they are the ones that set the rules for their commission structure, ask the differences between an investor account (the one from a managed company) and from a Trader account (if you're to trade your own account). They will probably answer that the managed company (I'm talking in general, not just NH) and Hantec have set a commission structure and that refers only for their purpose.
A managed company is able to bring a huge amount of capital to the broker, while a retail trader normally will bring less capital, therefore the commission structure will vary quite significantly.
1 standard lot with 10 pips profit will generate approximately $100,00, minus $14 from the commission, that's $86,00 profit for your account, the $14 commission will be split between the managed company and the broker, with SFX-Market, that would be $6 commissioin, it's a lot more with Hantec, but to be honest, that doesn't concern me, that's the managed company's and broker's compensation plan for open trades on your behalf, we know the brokers will always win, the most important is as long the managed company is doing a great job trading your capital, that should concern the investors. That's my opinion from my experience with managed companies.