I’m looking at switching from one broker to another and OANDA is on my list, but I’m getting lost comparing their costs to what I’m currently paying elsewhere.
Right now I’m paying around 1.2 pips effective cost on EUR/USD with my current broker (that’s spread plus their commission structure, no rebate). OANDA advertises 0.9 pip spreads plus a fixed commission, which sounds better on paper. But then there’s GlobeGain rebates, and I have no idea if that actually changes the picture enough to matter.
I’ve read a few posts where people say rebates make OANDA competitive, but I’m struggling to understand how to actually compare this side by side. Do I just subtract the rebate from the total cost? Is there a calculator or a method people use?
Also, what if I trade different instruments? The rebate presumably changes per broker but does it change per pair, or is it a flat percentage?
I want to make a smart choice here, not just switch because one broker sounds cheaper. Has anyone actually done this comparison and found a clean way to lay it all out?
Track one month on each broker then compare real numbers.
Rebates usually same across all pairs on same broker.
Make spreadsheet spread commission rebate net cost.
The issue most traders have is they compare gross costs, not net costs. You’re already thinking like a professional by wanting to include rebates.
Rebates on GlobeGain are usually a flat percentage return on spreads and commissions. This means higher-cost trades generate higher rebates in absolute dollars. So a broker that charges more but offers better rebates can sometimes beat a lower-spread broker with no cashback.
Calculation is simple: (Your spread on instrument A + commission) × volume = gross cost. Then subtract rebate earned on that trade = net cost.
Compare net cost across brokers for the same volume and instruments. That’s your answer.
Also check withdrawal speed and execution quality. Lowest cost that costs you 2 pips in slippage is not a bargain.
Creating spreadsheet is the only real way. Comparing off the top of your head doesn’t work.
I’ve done this comparison multiple times and I’ll share the framework that actually works.
Step one: List the instruments you trade most. Let’s say EUR/USD, GBP/USD, and two others.
Step two: For each broker, note their spread and commission structure for those pairs. OANDA will show their spreads based on account type and your volume tier.
Step three: Calculate total cost per lot: (spread in pips × pip value per lot) + fixed commission = gross cost per trade.
Step four: Apply the GlobeGain rebate. On OANDA it’s usually 30-50% cashback on spreads and commissions, paid as a percentage. So if your gross cost is 10 dollars per lot, the rebate might be 3-5 dollars depending on your account tier.
Net cost = gross cost - rebate.
Do this for 5-10 representative trades on each broker. Average them out. Whichever broker shows the lowest average net cost for your trading mix is your answer.
Big caveat: This only matters if execution quality is equal. If one broker slips you on entry or exit, that cost difference disappears fast.
The rebate structure is where most traders get confused. GlobeGain pays rebates based on your actual volume and the spreads you paid. Higher volume usually unlocks slightly better rebate rates.
On OANDA, the rebate is consistent across all pairs because it’s a percentage return. But the dollar amount varies based on how much you trade and which pairs you’re active on.
What I did was contact GlobeGain directly and asked for my rebate rate on OANDA. Then I applied it to my trading history to see historical cost. That’s when I realized the true cost difference was smaller than I thought.
Don’t optimize for one pair or one trade. Run the math on a typical week of your actual trading. That gives you the real comparison.