Fees & Risk

Trading Costs: Fees & Slippage

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The final cost of a perpetual trade depends on both explicit fees and the difference between the expected and actual execution price.

Understanding these costs helps users better estimate trade outcomes and manage risk.

This page focuses on execution quality and total trading cost. For maker, taker, funding, liquidation, and settlement rules, see the Perpetual Trading Fee Structure.

Trading Fees

Trading fees are charged only when an order is executed.

Maker and Taker Fees

6MM uses a Maker / Taker fee model:

  • Maker Fee
    • Applied when your order adds liquidity to the order book
    • Typically comes from limit orders that are not filled immediately
  • Taker Fee
    • Applied when your order removes liquidity from the order book
    • Commonly comes from market orders or immediately filled limit orders

Fee rates may vary by trading pair and partner configuration.

When Are Fees Charged?

  • Fees are charged at order execution
  • Fees are calculated based on executed trade value
  • Fees are deducted from the Perpetual Account

Unfilled or canceled orders do not incur fees.

Estimate Total Execution Cost

Before placing a large order, consider:

estimated trading cost = trading fee + estimated slippage cost
slippage cost = |average execution price - expected price| × executed quantity

Funding payments may also affect the cost of holding a perpetual position across a funding event. Liquidation-related charges apply only when liquidation rules are triggered.

The estimate is not a guaranteed execution result. Available order-book depth and market volatility can change between estimation and execution.

Slippage

Slippage is the difference between the expected price and the actual execution price.

Why Slippage Happens

Slippage can occur due to:

  • Low market liquidity
  • Large order size
  • High market volatility
  • Use of market orders

Slippage is more noticeable during fast-moving markets.

How to Reduce Slippage

  • Use Limit Orders instead of Market Orders
  • Trade during periods of higher liquidity
  • Avoid placing large orders at once
  • Monitor order book depth before trading

Fees vs. Slippage

Cost TypeWhen It OccursCan Be Controlled
Trading FeesUpon executionPartially
SlippageDuring executionYes

While fees are predictable, slippage depends on market conditions and order behavior.

Common Cost Scenarios

ScenarioMain cost consideration
Resting limit orderMaker fee and whether the order fills.
Market orderTaker fee and available order-book depth.
Large orderSlippage across multiple price levels.
Fast-moving marketExecution-price uncertainty and wider effective spread.
Position held across fundingTrading cost plus applicable funding payment.

Beginner Tips

  • Check fee rates before trading
  • Avoid frequent small trades to reduce cumulative fees
  • Use limit orders to manage execution price
  • Consider both fees and slippage when setting TP/SL levels

Summary

On 6MM:

  • Fees are transparent and execution-based
  • Slippage depends on liquidity and order type
  • Cost awareness is essential for consistent trading performance

Managing fees and slippage effectively is a key part of successful perpetual trading.