Verify my CFD brokerage calculations pls

Commsec CFD product disclosure statement states brokerage for ASX 200 index as being $14.50 or 0.055%, whichever is higher.

Therefore assuming the index is at 4000 (a close enough number and makes calcs easy), the underlying value would be 40,000. Thus the brokerage would be 0.055% of 40,000. i.e. $2200

I mean, given the initial margin for a single contract is $305, a $2200 brokerage amount seems excessive and makes me think I've missed something.

Can somebody shed light on where I've gone wrong or if this is right?

On second thought, do they actually mean 0.055% of initial margin? In which case it's $16.775 for a single contract, which seems more reasonable.

I tried calling up commsec, but the person seemed to tell me the brokerage was 0.055% of the underlying, i.e $2200.

I think you're a factor of 100 out. $40000 x .055% is $22.

It's still $22 more than you should be paying for a CFD index though - check out some of the competitors, most of whom won't charge commission on indices.

Ah. Oops. Fail.

I'm using commsec as a benchmark since it's part of Commonwealth Bank, and hence there's a measure of trust on my part that they won't pull any shenanigans like convientent lags in execution and so forth.