What are clearing charges, and is there any at Tradejini?

What is a Clearing Charge?

A clearing charge is a fee traders pay to settle their trades through a third party clearing agency. This process, occurring in the background, determines a broker’s fund and securities obligations, settling them with exchanges through the clearing mechanism. It facilitates smooth trade settlement between broking houses and exchanges.

How does Tradejini handle Clearing Charges?

Exchanges provide two options for clearing trades: self-clearing or assigning the task to a Professional Clearing Member (PCM). We at Tradejini have opted to be a self-clearing member, thereby reducing the cost on traders. Tradejini does not impose any clearing charges on its customers.