Electronic Communication Network

(ECN)

Also known as: Raw Spread Account

An ECN broker hosts a marketplace where client orders meet liquidity-provider orders directly. The broker charges a clear per-lot commission (typically $3-7 round-turn per standard lot) instead of marking up the spread. ECN accounts give the tightest raw spreads (sub-pip on EURUSD), full market depth visibility, and no requoting — the trade-off being the explicit commission. ECN execution is the standard for scalpers, algorithmic traders, and high-volume retail accounts.