Common comparison error
Payout rate shown before confirmation can change before acceptance; the immutable ticket, not Effective payout rate, is evidence.
GlossaryPricing & settlement
Payout rate
The percentage return displayed for a contract before confirmation, subject to product and account conditions.
Detailed explanation
How Payout rate works in practice
01
Mechanics
Payout rate should identify net profit per unit staked, not probability and not total cash returned. It can vary by asset, product, strike or barrier distance, expiry, account tier, market session, region, and timestamp.
02
Worked example
At 80% net payout, 100 units earn 80 and return 180 in total. Break-even with full loss is 55.56%. At 70%, 90%, and 95%, the corresponding rates are 58.82%, 52.63%, and 51.28% before fees or execution differences.
03
Decision rule
Compare ordinary order tickets on identical conditions. Keep selected-contract maximums in a separate field and retain wins, losses, refunds, ties, voids, rejections, fees, and early exits in the economic model.
Practical use
How to verify Payout rate
Read Payout rate together with Payout schedule, Effective payout rate, Expiry cutoff. The comparison must preserve the exact rule, value, state, and evidence described below.
A neutral example
Two brokers show 80% Payout rate; one deducts a fee and another returns stake separately. A cash-flow table prevents confusion with Payout schedule. The result is classified under Payout rate because the accepted percentage can vary by asset, strike, expiry, account, and moment before server confirmation.
Evidence path
Where to verify Payout rate
Use the source that governs the exact contract, account, entity, or platform state. A general definition cannot replace current broker terms.