##  [# Commission Definition](/sections/commission-definition) 

 

# Commission Definition

 

 

Learn the definition of commission and other ETF terminology from the etf.com glossary.



 

 

 

 

 [![ETF](/sites/default/files/styles/author_image_icon/public/2023-12/ETFGlossary_400x400_0.png?itok=HW0ov3q8)](/authors/etf-glossary) 

[By ETF Glossary](/authors/etf-glossary)

 Jan 08, 2024

 Edited by: ETF.com Staff

 

 

 [ + Follow ](/etf/login) 

     Share  <a class="a2a a2a_button_email"> Email </a><a class="a2a a2a_button_linkedin"> LinkedIn </a><a class="a2a a2a_button_facebook"> Facebook </a><a class="a2a a2a_button_x"> X (Twitter) </a> 

 

 

 

 

 

 

 

 

  
            googletag.cmd.push(function() {
                googletag.display('js-dfp-tag-article_page_302x26');
            });
    
    

 

 

  

 



 

 

  Loading 

 

 



 

 

## Learn more about Commissions

While commission-free ETF trading has become prevalent, understanding the concept of commissions remains essential. In ETFs, a commission refers to the fee paid to a broker for buying or selling fund shares. Though many brokers now offer commission-free trading, investors should remain vigilant about potential transaction costs, particularly in scenarios where specific conditions, such as minimum holding periods or other restrictions, may apply. Comprehensive awareness of commission structures empowers investors to make informed decisions regarding the cost implications of executing trades and contributes to a more transparent and efficient ETF trading environment.

### Related Terms

[Exchange-Traded Fund (ETF)](/etf-education-center/etf-glossary/exchange-traded-fund-etf)

 
            googletag.cmd.push(function() {
                googletag.display('js-dfp-tag-in_article_unit');
            });
    
    

 

 



 

 

 [ + Follow ](/etf/login) 

 [ ETF Glossary ](/authors/etf-glossary) 

 

 

  ETF Glossary is etf.com’s collection of key terms and definitions related to exchange-traded funds. ETFs are investment funds that are traded on stock…   [View Bio](/authors/etf-glossary)

 



 

 


 Related Topics