The short answer
- Standard account: no commission, wider spread. Simple to understand.
- Raw-spread (or “ECN”) account: smaller spread + commission per lot.
- Cent account: balance shown in cents, for very small trades. Spreads are often wider, and lot sizes may be defined differently.
To compare, add up total cost per round turn (open and close) for your lot size:
Total cost = (spread in dollars per ounce × ounces) + commission
On gold, 1 lot = 100 oz at most brokers, so 0.10 lot = 10 oz. Check your broker’s contract specification first.
The three account types in plain words
Standard account
You pay the spread: the gap between the buy and sell price. No separate commission. If the XAUUSD spread is 30 cents, you start every trade 30 cents per ounce behind.
Good for: simple maths, small accounts, people who don’t trade often.
Raw-spread + commission account
The spread is smaller, sometimes close to the market’s own spread. In return, the broker charges a commission per lot.
Watch how the commission is quoted:
- per lot, per side: you pay it when you open and again when you close
- per lot, round turn: one figure covers both
$3.50 per side is the same as $7 round turn.
Good for: people who trade often or with bigger sizes, where the smaller spread saves more than the commission.
Cent account
The balance is shown in cents. A deposit of $10 shows as 1,000. This lets a tiny account trade tiny sizes, so beginners can feel real money moving without large amounts.
Things to check:
- What “1 lot” means on this account. On many cent accounts, the lot is scaled down. Open the contract specification and find the contract size in ounces.
- The spread. Cent accounts often have wider spreads than standard accounts.
- The server and the symbol name. Cent accounts may use a different server or a symbol with a suffix.
Worked example: one 0.10-lot gold trade
All numbers below are example numbers, not quotes from any broker. Your broker’s real numbers will be different. The maths was checked by a script.
Setup: you buy 0.10 lot of XAUUSD (10 oz) and close it later. For the cent account, we use the same 10 oz of exposure so the comparison is fair.
| Account | Example spread | Example commission | Spread cost (10 oz) | Commission (0.10 lot) | Total per round turn |
|---|---|---|---|---|---|
| Standard | 30 cents | none | 10 × $0.30 = $3.00 | $0 | $3.00 |
| Raw spread | 10 cents | $7 per lot round turn | 10 × $0.10 = $1.00 | $7 × 0.10 = $0.70 | $1.70 |
| Cent | 40 cents | none | 10 × $0.40 = $4.00 | $0 | $4.00 |
In this example, the raw account costs $1.30 less per trade than the standard account.
At a quiet hour
Spreads widen when the market is thin, such as just after the daily rollover. Commission usually stays the same.
| Account | Example quiet-hour spread | Total per round turn (0.10 lot) |
|---|---|---|
| Standard | 60 cents | 10 × $0.60 = $6.00 |
| Raw spread | 35 cents | 10 × $0.35 + $0.70 = $4.20 |
Both get more expensive. The time you trade can matter as much as the account type. Read why the spread widens on news.
Over a month
If you make 20 trades a month like this at busy hours:
- standard: 20 × $3.00 = $60
- raw spread: 20 × $1.70 = $34
- difference: $26 a month
That is not a fortune, but on a small account it is real money, and it repeats every month.
For 0.01 lot (1 oz)
Beginners often trade 0.01 lot:
- standard: 1 × $0.30 = $0.30
- raw spread: 1 × $0.10 + $7 × 0.01 = $0.17
- cent: 1 × $0.40 = $0.40
Check for a minimum commission. Some brokers charge a minimum per trade. If the minimum is higher than $0.07, the raw account may not be cheaper at 0.01 lot.
The break-even rule
The raw account is cheaper when:
(standard spread − raw spread) × ounces > commission
In the example: (30 − 10 cents) × 10 oz = $2.00, and the commission is $0.70. $2.00 is bigger, so raw wins.
Another way to say it: with $7 per lot round turn, the commission is 7 cents per ounce. If the raw spread is more than 7 cents smaller than the standard spread, raw is cheaper. If not, standard is cheaper.
Costs this example leaves out
Total cost is more than spread and commission. Also check:
- Swap if you hold past the daily rollover. It may differ between account types. Use the gold swap calculator.
- Slippage: the difference between the price you clicked and the price you got. See gold slippage explained.
- Deposit, withdrawal and currency conversion fees. See deposit methods.
- Minimum deposit: raw accounts sometimes need a larger first deposit.
Our full guide is spreads, commissions and swaps on gold.
How to find your real numbers
- Open each account type on demo if the broker offers it. See our demo account guide.
- In MT4 or MT5, right-click XAUUSD, then Specification. Write down the contract size, minimum lot and swap.
- Note the spread at the hours you really trade, at least on three different days.
- Find the commission in the account-type page, and ask whether it is per side or round turn.
- Put the numbers into the formula above, for your lot size.
- After you trade live, measure your real cost with the execution quality checklist.
What account type does not change
- Your risk. The lot size and stop-loss decide how much you can lose. A cheaper account does not make a bad trade good. Size trades with the position size calculator.
- Your protection. Licence, client money and negative balance protection come from the regulator, not the account type. Check them with the 15-point broker checklist.
Sources
- All spreads, commissions and costs on this page are example numbers, not quotes from any broker. The arithmetic was checked by a script (0.10 lot = 10 oz; cost = spread × ounces + commission × lots).
- Contract size: 100 oz per standard lot is common but not universal; see how much is 1 lot of gold and check your broker’s specification.
Educational content only, not financial advice. We never name, rank or recommend brokers.
Frequently asked questions
What is the difference between a standard and a raw spread account?
A standard account usually has no commission but a wider spread. A raw-spread account has a smaller spread plus a commission per lot. Which is cheaper depends on the real spreads and commission, so add them up for your own lot size.
Is a raw spread account cheaper for gold?
Often, but not always. On gold, 0.10 lot is 10 ounces. The raw account is cheaper when the spread saving times 10 ounces is bigger than the commission on 0.10 lot. Work it out with your broker’s real numbers at the hours you trade.
What is a cent account?
An account where the balance is shown in cents instead of dollars, so $10 shows as 1,000. It lets small accounts trade very small sizes. Cent accounts often have wider spreads, and the lot size may be defined differently, so always read the contract specification.
Which account type is best for beginners?
There is no best type for everyone. Beginners trade small, so check the total cost of a 0.01-lot trade on each type, including any minimum commission. Practise on a demo first, and focus on lot size and stop-loss before cost.
What does round turn mean?
Opening and closing one trade. A commission of $7 per lot round turn means $7 in total for opening and closing 1 lot, or $0.70 for 0.10 lot. Some brokers quote commission per side instead, which you must double.
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