Raw Spread + Zero Commission: Is It Possible?

The combination of Raw Spread + Zero Commission is not possible in the Forex Market, simply because there is no profits to be earned by a Forex Broker:

• Raw spread = means no mark-up added (no profit earned)
• Zero commission = means no commission charged (no profit earned again)

What does a Raw Spread + Zero Commission marketing claim usually means:

If a Forex Broker claims both raw spreads and zero commissions, they are likely using one of the following methods to remain profitable:

• Method 1: Internalization (B-book): If a Forex Broker does not charge spreads and commissions, then they act as a Market Maker, where they only profit when you lose a trade. This creates a direct conflict of interest.


• Method 2: Higher "Typical" Spreads: While a Forex Broker may advertise that their spreads are "starting from 0.0 pips," the actual spreads quoted to traders for most of the day will be higher (e.g., 0.6 to 0.9 pips). This is a pure marketing catch.


• Method 3: Higher Swap/Overnight Fees: Forex Brokers may charge higher swap fees (interest for holding a trade overnight). This way, all traders who hold positions for more than 1 day, will find the cost of swaps to be actually more expensive than on an average standard account with other Forex Brokers.

Conclusion

The Raw Spread + Zero Commission Forex Accounts is a pure mystery.
Forex Brokers don't provide services for free, their goal is to earn profits.
Whichever actual execution they use is up to each broker to decide, including the marketing strategy, which could be fair and ethical or misleading.