how does front fee affect forex traders 
the ability to place a compound option gives traders leeway in future decisions the advantage to compound options is that if a trader believes prices will rise or fall as the case may be but is not certain he has the opportunity to trade if he proves to be correct he will pay more on the compound option than he would have in a single option front fee 500 back fee 3 000 but if his projection is correct then his profits should outweigh that additional cost without paying the front fee he may not even have the ability to purchase the shares the disadvantage is that if he chooses not to exercise the option he has paid the front fee with no return 