I want to ask about the XM.com Islamic account.
https://www.xm.co.uk/islamic
What is the catch?
The Islamic account allows you to trade without overnight interest, or any interest.
You only pay the spread, and all other trading conditions are the same.
Same leverage, same prices, same everything. No time limits on how long you can hold open a position.
How can they possibly lend you money, which they themselves have borrowed, and not charge you interest?
Surely they would lose loads of money borrowing money and then lending it to you literally for free, and for unlimited periods of time.
I just don't get it.
https://www.xm.co.uk/islamic
What is the catch?
The Islamic account allows you to trade without overnight interest, or any interest.
You only pay the spread, and all other trading conditions are the same.
Same leverage, same prices, same everything. No time limits on how long you can hold open a position.
How can they possibly lend you money, which they themselves have borrowed, and not charge you interest?
Surely they would lose loads of money borrowing money and then lending it to you literally for free, and for unlimited periods of time.
I just don't get it.