Does the concept of "Swap Point" exist in Forex trading in the UK?

External question — Personal Finance Stack Exchange Author: Kouichi C. Nakamura Original post: https://money.stackexchange.com/questions/119373 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. I've just started learning about forex trading. Forex brokers in Japan offer a system called " Swap Point ". In my understanding, this value is determined based on the difference between the interest rates of two currencies. For instance, in AUD/JPY trading, the interest rate in Australia is higher, so the "Swap Point" for buying is positive. This means that when you keep your AUD/JPY buy position longer than a day, you earn the amount of money specified by "Swap Point" per night. If this is a sell position or JPY/AUD, instead, the "Swap Point" works against you and the money will be taken away from your account. If you choose your position in the right way, the longer you keep the position, the more money will be paid into your account, although the amount is usually much smaller than the profit earned by the currency differences. Here's an example of IG's page about "Swap Point" in Japanese. https://www.ig.com/jp/forex/swap-point However, I've been struggling to find information about the same concept in English. For instance, IG doesn't have an equivalent page on their web site. https://www.ig.com/uk/forex/swap-point (doesn't exist) https://www.ig.com/us/forex/swap-point (doesn't exist) There is a Wikipedia page about Currency Swap ( https://en.wikipedia.org/wiki/Currency_swap ), but the description doesn't seem talking about what I described above (I'm not sure). Does the "Swap Point" only exist in the Forex trading in Japan? Does it exist in the UK? If it does, what is it called? Where can I find the information?

External answer — Personal Finance Stack Exchange Author: DumbCoder Original post: https://money.stackexchange.com/a/119378 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. Why would you envisage that Swap Point wouldn't exist in forex trading in UK or in the matter anywhere else in the world. Swap Points (forward pips) are the difference in interest rates between transaction currencies. Swap point is a phenomena which will exist whenever you trade in a pair of currencies, because the factors affecting the interest rates in one country will have an effect in another country too, unless we are in an ideal world. The term you are searching for is an Interest Rate Swap, not sure IG allows IR swap trading for retail customers.