Investing term

What is Round-trip?

The full cost of buying and then selling a position — commission + spread + FX, both sides.

A round-trip is the full cost of buying and later selling a position — commissions, the bid-ask spread, and any currency fees, counted on both the way in and the way out. It's the real, all-in cost of a trade, and it's why frequent trading quietly erodes returns. Every round-trip is a guaranteed cost you pay regardless of whether the trade made money.

For example

Buying and selling a foreign stock might cost a commission plus spread plus FX fee on each side — a round-trip that eats into any gain before you start.

Round-trip is taught hands-on in Stage 9 — Fees, Scams & Protecting Your Money.

See the lesson →

Related terms

ChargebackA consumer protection on credit-card transactions that lets you reverse fraudulent charges.Fee dragThe cumulative effect of every fee you pay on the return you actually keep.FX markupThe gap between the true (mid-market) exchange rate and the rate your broker gives you.Inactivity feeA fee charged if you don't trade enough times per year.
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