Raw Spread vs Standard Forex Accounts
Raw spread and standard forex accounts price trades differently -- here is what actually separates the two and who each tends to suit.
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Many forex brokers offer more than one account type, and the split usually comes down to “standard” versus “raw spread” (also called ECN, zero, or Pro accounts depending on the broker). The names vary, but the underlying difference is consistent enough to be worth understanding before you pick one.
What makes an account “raw spread”
A raw spread account aims to pass the spread straight from the broker’s liquidity providers through to you, with little to no markup added on top. Because that spread can be extremely tight — sometimes close to zero on a major pair during active trading hours — the broker instead charges a separate, fixed commission per lot traded to cover its own revenue. The commission is usually disclosed as a round-turn figure (covering both opening and closing the trade) or charged on each side separately.
What makes an account “standard”
A standard account folds the broker’s revenue into the spread itself. There’s no separate commission line item — the spread you see already includes the broker’s markup, which tends to make it wider than the raw-spread equivalent on the same pair. This is usually the simpler account type to understand at a glance, since the only number you need to watch is the spread.
Execution differences worth knowing
Beyond the pricing model, raw spread accounts are commonly paired with a different execution model — often routing orders more directly to liquidity providers (ECN-style execution) rather than through a dealing desk. In practice this can mean variable spreads that widen and narrow more visibly with market conditions, compared to a standard account’s typically steadier spread. Neither execution model is inherently better; they simply behave differently, and it’s worth checking which one a given account actually uses rather than assuming from the name alone.
Minimum deposits and account requirements
It’s common, though not universal, for raw spread or ECN-style accounts to carry higher minimum deposit requirements than a broker’s standard account. This isn’t a fixed rule across the industry, but it’s common enough that it’s worth checking a broker’s specific account page rather than assuming both account types are equally accessible.
So which one is cheaper?
As covered in more detail in our guide to spread versus commission pricing, the answer depends on your trade size and how often you trade. A raw spread account’s combined spread-plus-commission cost can come out cheaper or more expensive than a standard account’s single wider spread, depending entirely on the specific numbers each broker sets and how you trade. There is no account type that is cheaper for everyone.
How to decide between them
- If you trade frequently and want to know your exact per-trade cost in advance, the fixed commission of a raw spread account can make budgeting easier.
- If you trade occasionally and prefer not to track a separate fee line, a standard account’s simplicity may suit you better.
- If you’re unsure, calculate the total cost of both account types for your typical trade size and frequency before committing — don’t rely on which name sounds cheaper.
Checking a broker’s own account comparison page, or independent reviews, alongside our broker comparison tool, is a reasonable way to see both account types’ actual numbers side by side rather than guessing from the labels.
The bottom line
“Raw spread” and “standard” are two different ways of packaging the same underlying cost. Neither is automatically cheaper — it depends on your trading pattern — and the account’s execution style can matter just as much as its pricing label. Reading the specific account terms, rather than assuming from the name alone, is the only reliable way to know which one actually suits how you trade.