Financing

As Index Tracker CFDs at Saxo Bank are margined products, you finance the traded value through an overnight credit/debit charge. If you open and close a CFD position within the same trading day, you are not subject to overnight financing. When you hold an Index Tracker CFD position overnight, your CFD position will consequently be subject to the following credit or debit:

  • Holding Long CFD Stock Index Tracker positions after 17:00 EST (New York time) incurs a financing charge which is calculated as follows:
    • Index Value * Number of CFDs * (relevant Inter-Bank Offered Rate + 2.50%) * (Actual Number of Days/360 or Actual Number of Days/365)
  • Holding Short positions after 17:00 EST (New York time) creates a financing credit which is calculated as follows:
    • Index Value * Number of CFDs * (relevant Inter-Bank Bid Rate – 3.00%) * (Actual Number of Days/360 or Actual Number of Days/365)
  • There is no financing charge when holding Short positions on Index Tracker CFDs 

    Please note that a floor applies to the relevant Inter-Bank Bid/Offer, i.e. if the Inter-Bank rate negative it will be excluded from the financing calculation.

    As Single Stock CFDs at Saxo Bank are a margined product, you finance the traded value through an overnight credit/debit charge. If you open and close a CFD position within the same trading day, you are not subject to overnight financing. When you hold a Single Stock CFD position (or an ETF/ETC CFD position) overnight (i.e. have an open CFD position at close of market on the Stock Exchange, your CFD position will consequently be subject to the following credit or debit:

    • When you hold a long CFD position, you are subject to a debit calculated on the basis of the relevant Inter-Bank Offer Rate for the currency in which the underlying share is traded (e.g. LIBOR) plus a mark-up (times Actual Days/360 or Actual Days/365).


    • When you hold a short CFD position, you receive a credit calculated on the basis of the relevant Inter-Bank Bid Rate for the currency in which the underlying share is traded (e.g. LIBID) minus a mark-down (times Actual Days/360 or Actual Days/365).

    The credit/debit is calculated on the total nominal value of the underlying Stock(s) at the time the CFD contract is established (whether long or short).

    * If the calculated financing rate (Benchmark +/- markup/down) is negative (on a short position), the financing credit will become a financing charge.

    MarketSymbolLong positions
    (mark-up)
    North America & Canada
     NASDAQ
    NASDAQ & NSC+3.50%
     New York Stock Exchange
    NYSE & ARCA+3.50%
     NYSE MKT
    AMEX+3.50%
     Toronto Stock Exchange
    TSE+3.50%
    Europe / Middle East / Africa
     BME Spanish Exchanges
    SIBE+3.50%
     Budapest Stock Exchange
    BUX+3.50%
     Deutsche Börse (XETRA)
    FSE+3.50%
     Irish Stock Exchange
    ISE+3.50%
     London Stock Exchange
    LSE_SETS+3.50%
     London Stock Exchange (IOB)
    LSE_INTL+3.50%
     Milan Stock Exchange
    MIL+3.50%
     NASDAQ OMX Copenhagen
    CSE3.50%
     NASDAQ OMX Helsinki
    HSE+3.50%
     NASDAQ OMX Stockholm
    SSE+3.50%
     NYSE Euronext Amsterdam (AEX)
    AMS+3.50%
     NYSE Euronext Brussels
    BRU+3.50%
     NYSE Euronext Lisbon
    LISB+3.50%
     NYSE Euronext Paris
    PAR+3.50%
     Oslo Stock Exchange
    OSE+3.50%
     Prague Stock Exchange
    PRA+3.00%
     SIX Swiss Exchange
    SWX & VX+3.50%
     Vienna Stock Exchange
    VIE+3.50%
     Warsaw Stock Exchange
    WSE+3.50%
    Asia / Pacific
     Johannesburg Stock Exchange
    JSE+5.00%
     Australian Securities Exchange
    ASX+3.50%
     Hong Kong Exchanges
    HKEX+3.50%
     Singapore Exchange
    SGX-ST3.50%
     Tokyo Stock Exchange
    TYO+3.50%

    A borrowing cost may be applied to short Single Stock CFD positions held overnight. This borrowing cost is dependent on the liquidity of the underlying Stocks and may be zero (0) for high liquidity Stocks. The specific borrowing rate for a Stock can be seen as the 'Borrowing Rate' under 'Account' > 'Trading Conditions' > 'CFD Stock/Index Instrument List' in the trading platforms.

    When selling a CFD, the borrowing cost for holding the position overnight is shown in the CFD Trade module in the 'Estimated borrowing cost per day' field. The borrowing rate will be fixed when the position is opened and will be charged on a monthly basis. Please be aware, that for certain corporate action events, the borrowing rate on the short position may be reset to the current rate in the market, upon the execution of the corporate action.

    If you open and close a CFD position within the same trading day, you are not subject to borrowing costs.

    Overnight positions in Expiring CFDs are subject to a carrying cost. The carrying cost is calculated on the basis of the daily margin requirement and applied when a position is held overnight. The funding rate used for calculating the carrying cost is based on the relevant Interbank-rate + markup (150 bps).

    Carrying Cost = Margin requirement * Holding time * (Relevant Interbank rate + Markup) / (365 or 360 days)