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Financial Risk Explained for Dummies

Fresh Unique Article to increase your trading knowledge: Financial Risk Explained for Dummies

Financial Risk Explained

Financial Risk Explained

What is financial risk?

Financial risk is a category of risk that involves the possibility of financial losses and is applicable to businesses, governments, individuals, and financial markets.

Put differently, financial risk is a type of risk that indicates the possibility that parties (investors, shareholders, entrepreneurs, owners, and other financial stakeholders) involved in investments and business endeavours will lose money.

 

Types of financial risk

Financial risk can be categorised into various types of risks as described below.

 

Credit risk

Credit risk refers, inter alia, to the possibility that one of the parties involved in a financial transaction or contract may fail to fulfill their obligations towards their counterparties. For instance, a creditor default on payables or a borrower on the repayment of a loan. This type of financial risk is referred to as settlement risk.

Sovereign risk, also called country risk, is also classified under credit risk. Sovereign risk refers to the risk that a government could default on its debt obligations (sovereign debt) like government bonds. It can also describe the possibility that the treasury or central bank of a government will enact difficult exchange policies that will significantly lower or nullify the value of its forex contracts.

 

Liquidity risk

Liquidity risk, also called funding risk, refers to a situation when you are hindered or unable to raise cash fast, for example selling assets when you need the cash to execute a financial transaction.

Liquidity risk can be categorised into different sub-categories, namely:

  • Asset liquidity risk also referred to as market liquidity risk refers to the risk that a business or individual wants to sell an asset, but is not able to do so, unless the asset is sold below its market value, incurring a loss.
  • Funding liquidity risk is the risk that an entity or individual will not be able to honour their short-term financial obligations when due. Put in other words, funding liquidity risk occurs due to the lack of funds.
  • Currency risk, also called exchange-rate risk or FX risk, is the possibility of losing money due to unfavourable and unpredictable changes in the value of one currency to another currency. Businesses that trade across different countries or investors who invest in financial markets in foreign countries are exposed to currency risk.
  • Interest rate risk refers to the probability of an unexpected fluctuation in interest rates caused by announcements of a country’s central bank, related to changes in a government’s monetary policy, triggering investment losses. Fixed-income assets, such as bonds, are especially vulnerable to interest rate risk.

Many analysts see currency risk and interest rate risk as part of market risk.

 

Market risk

Market risk, also called systematic risk, is the risk of losses on financial instruments caused by unanticipated fluctuations in factors that affect the performance of an entire financial market. Price volatility often occurs due to factors such as inflation, exchange rates, recessions, fiscal deficits, geopolitical events, and interest rates.

The most common types of market risks are currency risk, commodity risk, interest rate risk, and equity risk.

  • Currency risk

See description above under liquidity risk.

  • Commodity risk refers to the adverse effect of changes to a commodity’s price, causing a negative effect on future market value and income of commodities such as grains, crude oil, metals, and gold, to name but a few.
  • Interest rate risk

Refer to description above under liquidity risk.

  • Equity risk is the risk that an investor will incur losses on investments in equity (shares in a company) when the shares of a company are subjected to swift price changes.

 

Legal risk

Legal risk is the risk of potential loss that a business or individual could encounter due to legal issues, such as lawsuits or other legal proceedings.

The risk to face legal action could arise from a number of causes regarding the products, services, actions, inaction, compliance, and other events of an individual or business.

Regarding a company, legal action can be initiated by its suppliers, customers, other businesses, employees, or shareholders.

Legal risk includes the risk that a counterparty in a contract or financial transaction will not be liable to keep to its obligations under the law. One of the most common reasons for the occurrence of such a situation is that transactions are not adequately well-documented to be legally enforceable.

 

Political risk

Political risk refers to the risk of financial losses that may occur because of uncertainty about government decisions and actions, unstable political conditions, political disruptions, or any new legislation. This type of risk is also called geopolitical risk.

Individuals, businesses, economic sectors, the overall economy, and financial markets may all be affected by political risk.

Factors that can contribute to financial risk are:

  • Political decisions by governments about currency valuation, taxes, trade tariffs, regulations with regard to investments, labour laws such as a minimum wage, and environmental regulations.
  • Political disruptions such as riots, acts of terrorism, coups, wars (civil or regional), and even political elections.

 

Operational risk

Operational risk comprises all the risks and uncertainties a business faces and may encounter in its day-to-day operations. Operational risk can be caused by mismanagement or technical failures.

Examples of operational risk are theft, fraud (internal and external), staff turnover, computer hacking, failure to follow internal policies, unrealistic marketing plans, inaccurate budgeting, unrealistic financial projections.

Even catastrophic events such as hurricanes, floods, and pandemics (Covid-19) are contributors to operational risk.

 

Reputational risk

Reputational risk, also known as reputation risk, is the threat to the good name, profitability, or sustainability of a business, caused by unfavourable, disapproving, and negative public perceptions of the products and services of a business.

It is a type of risk that can occur as a result of:

  • the actions and decisions of the company itself, or
  • the actions of an employee or employees.

Financial Risk Explained

EuropeFX Reviewed

Fresh Unique Article to increase your trading knowledge: EuropeFX Reviewed

A review about EuropeFX
 

EuropeFX has enormous potential as a STP broker. In addition to offering competitive rates, trading on a variety of instruments through MetaTrader 4 and EuroTrader 2.0, it also caters for a variety of traders despite their level of trading experience.

Choose your quick section of our EuropeFX review below.

A Quick Overview of our EuropeFX Review:

New traders have access to a wide range of educational tools, primarily rendered via videos. The in-depth structure allows novice traders to acquire an excellent base-knowledge from where they can grow. Daily webinars enhance the educational value.

 

EuropeFX at a glance

Broker’s Name EuropeFX
Headquartered Limassol, Cyprus
Year Founded 2013
Regulating Authorities CySEC
Countries not accepted for trade USA, Iran, Cuba, Crimea, Sudan, Syria, New Zealand, United Kingdom, North Korea
Islamic Account (Swap Free) No
Demo Account Yes
Institutional Accounts No
Managed Accounts Yes
Maximum Leverage 1: 30
Minimum Deposit € 1 000
Deposit Options ·         MasterCard

·         Visa

·         Skrill

·         Neteller

·         Sofort

·         Przelewy24

·         TrustPay

·         SafePay

·         GiroPay

·         iDEAL

·         AstroBank

·         Bank Transfer

Withdrawal Options ·         MasterCard

·         Visa

·         Skrill

·         Neteller

·         Sofort

·         Przelewy24

·         TrustPay

·         SafePay

·         GiroPay

·         iDEAL

·         AstroBank

·         Bank Transfer

Platform Types MetaTrader 4, EuroTrader 2.0
OS Compatibility Windows, Desktop, MacOS, Android, iOS
Tradable Assets Forex, commodities, indices, cryptocurrencies and CFDs
Languages supported on Website English, German, Italian, Netherlands and Swedish
Customer Support Languages English, German, Italian, Netherlands and Swedish
Customer Service Hours 24/5

 

Who is EuropeFX?

According to research in South Africa, EuropeFX is a regulated straight-through processing (STP) forex broker. The company has been operational since 2013 and headquarters in Limassol, Cyprus with a second office in Germany.

EuropeFX offers trading in over 300 forex and CFDs through its in-house EuroTrader 2.0 platform and the popular MetaTrader 4. It also supports social trading through Mirror Trader and automated trading through RoboX.

The broker supports trading accounts for all trader types from beginner to expert level, with a choice between 5 live account types. In addition, it also offers a free demo account.

According to the company’s website, it is dedicated to offering the best possible range of products and services while maintaining the highest standards of customer service in the industry.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

EuropeFX is owned and operated by Maxiflex Ltd, a company registered in Cyprus and regulated by the Cyprus Securities and Exchange Commission (CySEC).

In addition, it also complies to the rules of the regulating authorities in the countries it operates in, namely Denmark, Germany, Italy, Netherlands, Sweden, Spain, Austria, Norway, and Finland.

Furthermore, Maxiflex Ltd, follows the EU’s Financial Instruments Directive or MiFID II, and the EU’s 5th Anti-Money Laundering Directive.

Client funds are kept in segregated accounts and the Investor Compensation Fund (CIF), per EU Directive 2014/49/EU, protects deposits up to a maximum of € 20 000. Cross-border regulation across EU member countries applies.

 

Pro and cons

PROS CONS
Demo account No Islamic Account
Educational and research tools offered US clients not accepted
MetaTrader 4 offered
Minimum lot size of 0.01 lots offered
Regulated through CySEC and more
STP model used

 

Leverage

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

However, as beneficial as leverage may be, it can also be detrimental when used incorrectly or abused. Leverage increases a trader’s chance of gains and thus, it also increases the risk of losses.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

When traders apply leverage, the margin requirement is reduced, and the trader can open larger positions.

With EuropeFX leverage is available up to 1:30 for forex, up to 1:20 for indices, 1:5 for stocks, 1:10 for commodities, and 1:1 for cryptocurrencies.

Professional traders can apply for leverage up to 1:200.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

 

EuropeFX offer a choice between five live account types:

Bronze

Silver

Gold

Platinum

Premium

 

All account types come with the following features:

Variable spreads from 0.1 pips

Maximum leverage of 1:30

50% stop out level

Online chat support

Demo Account

Segregated Bank account

STP / No Dealing Desk

Access to all Trading Platforms

Professional Account Leverage 1:200

Access to Online Education Centre

Webinars

Seminars

 

The main difference between the live account are the minimum deposit requirements which are:

Bronze – € 1 000

Silver – € 2 500

Gold – € 10 000

Platinum – € 25 000

Premium – € 50 000

 

EuropeFX also has a VIP Program that was designed for traders looking for more competitive pricing and fee structures.

The program is for clients that trade with significant trading volumes and offers them a one-on-one training for a better understanding of the markets.

 

Traders are offered Prestige Accounts with Pro Level with the following features:

Leverage of up to 1:300

Trading Commissions and Swaps discount up to 75%

Daily Private Trading Sessions

Complete access to offline and online education program

Priority in Booking one on one education lessons with senior trainers

Daily Access to “Event Room”

SMS Trading Notifications

Expedited Withdrawals

 

Demo Account

In addition to the account types offered, EuropeFX also offers traders with the option of registering a demo account. This can be done either through MetaTrader 4 or EuroTrader 2.0.

The specifications regarding the Demo account may be different from the specifications of the real account. Go to Contract Specifications on the website for more information.

 

Market instruments

EuropeFX offers traders with more than 50 currency pairs, 15 commodities, and six cryptocurrency pairs.

The broker also offers trading in 111 equity CFDs and 13 index CFDs, for a total of 195 assets across five classes.

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

EuropeFX does not charge any deposit fees but a withdrawal fee of 25 USD/GBP/EUR is charged on all the account types.

Spreads and commission form the pricing structure of EuropeFX.  On the website the broker indicates a minimum spread of 0.1 pips and it also charges commission. The rates can be found in the Contract specification.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

EuropeFX does charge short and long swaps of -63. Charge rollover fee depends on five variables:

  • Price of the old contract
  • Price of the new contract
  • Volume traded
  • Direction of trade (buy or sell)
  • Spread of new contract

 

In addition, it also charges an inactivity fee of 25 USD/GBP/EUR, and a chargeback fee of 200 USD/GBP/EUR. The broker does not charge conversion fees.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

 

EuropeFX offer several ways to deposit and withdraw funds, including:

MasterCard

Visa

Skrill

Neteller

Sofort

Przelewy24

TrustPay

SafePay

GiroPay

iDEAL

AstroBank

Bank Transfer

 

EuropeFX will only accept deposits and withdrawals from an account that carries the same identity with the EuropeFX trading account.

All trading accounts are held in EUR, USD and GBP. All deposited and withdrawal funds transferred in alternative currencies will be automatically converted to the trading account base currency at the exchange rates of EuropeFX.

Withdrawal of funds might take from 1 to 5 business days depending on the selected payment method of withdrawal to reflect in the clients account.

EuropeFX does not cover any fees that might occur from your bank or merchant service provider. The broker will also not accept any withdrawal or cancellation of withdrawal requests if they are not made through the client’s secure portal area.

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform. Where some brokers offer a variety of third-party platforms, others prefer offering their own proprietary platforms, if they have one.

EuropeFX offers the popular and globally preferred MetaTrader 4 as well as its own proprietary EuroTrader 2.0 as trading platforms.

EuroTrader 2.0 is the broker’s own web-based trading solution. The interface hosts a suite of features, where users can access real-time quotes in the Market Watch window and trade straight from the chart.

The platform comes with multiple timeframes, as well as a range of custom indicators for technical analysis. Traders can also switch to market news or the economic calendar to keep up with market trends.

MetaTrader 4 is utilized for advanced automated trading features and is available both as a downloadable desktop terminal which can be used for Mac and Windows PCs, as well as a webtrader.

 

How to open an account

To open an account with EuropeFX, traders can select the option to ‘Open account’ from the homepage. This will redirect to a new page containing a digital application. Traders can complete the form by filling in all the required fields before continuing.

Traders will receive a verification email on the address that they provided. Once traders click on ‘Verify your email’, they will be redirected back to the EuropeFX website where traders can complete their registration.

Traders must provide a proof of ID along with proof of address and complete their economic profile before their registration can be completed. This forms part of a ‘Know Your Client’ (KYC) process as part of Anti-Money Laundering (AML) procedures with which brokers must comply to ensure the safety and security of traders.

 

Customer support

EuropeFX can be contacted either by making use of the live chat function, telephone, email, or by completing an online contact form.

Clients have a choice to contact EuropeFX via the Cyprus or the German office. Documents can be submitted through WhatsApp, Viber, or Telegram.

EuropeFX also has a FAQ section which can be consulted should traders need assistance.

 

Education

EuropeFX offers a variety of educational tools and resources on its website. Traders have access to a comprehensive video educational library, which consists of six primary subjects, divided into multiple sub-categories, all of which feature numerous lessons.

Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Research

Research tools help traders in their activities in addition to helping them improve their skills in making informed trading decisions. EuropeFX offers traders the use of a variety of research tools to keep them up to date with the market trend and help plan their trading strategy.

Besides an economic calendar, the broker offers research and market insight via partnerships with TipRanks and Trading Central which provide daily trading signals, available via the MT4 plugin directly from the trading platform, or via the widget hosted on the website.

In addition, the in-house generated content is published under Market News, Market Review, and the EuropeFX blog.

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. EuropeFX has not yet obtained any rewards which are displayed on the website.

 

Conclusion

 

EuropeFX is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

The broker maintains full compliance with its regulatory body, CySEC, as well as various other authorities in the countries it trades in.

It also makes ample provision for research tools to keep traders up to date with the financial markets.

 

Disclaimer

EuropeFX warns potential customers that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors.

CFDs are complex instruments and come with a substantial risk of losing money rapidly due to leverage. 79.97% of retail investor accounts lose money when trading CFDs with this provider.

You should consider whether you understand how CFDs work and whether you can afford to take the substantial risk of losing your money.

On the broker’s website it states that it is not responsible for the results of your Forex/CFD’s trading. The only person responsible for profits or losses is yourself. You should not consider any market information, educational and analytical material as trading advice that defines your trading actions but purely as educational market material.

EuropeFX does not offer its services to residents of USA, Iran, Cuba, Crimea, ​ Sudan, Syria, New Zealand, United Kingdom, North Korea as well as some other additional jurisdictions.

EuropeFX warns that margin trading involves the potential for profit as well as the risk of loss, according to research in South Africa.

 

FAQ

 

Trading environment

 

How many instruments can I trade with EuropeFX?

You can trade any of the following:

Forex

Commodities

Indices

Cryptocurrencies

CFDs

 

Which platforms are supported by EuropeFX?

MetaTrader 4 and EuroTrader 2.0.

 

Does EuropeFX offer leverage?

Yes. EuropeFX offers leverage of up to 1: 30.

 

What spreads can I expect with EuropeFX?

You can expect variable spreads from 0.1 pips.

 

Does EuropeFX charge commission?

Yes. EuropeFX charges commission.

 

Is EuropeFX regulated?

Yes. EuropeFX is regulated by CySEC.

 

Is EuropeFX a recommended forex trading broker for experts and beginners?

Yes. EuropeFX offers an ideal environment for both beginners and experts.

 

What is the overall rating out of 10 for EuropeFX?

8/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

 

Does EuropeFX offer a demo account?

Yes.

 

How long is the demo account valid?

It is not clear on the website for how long the demo account is valid.

 

Which live trading accounts does EuropeFX offer?

EuropeFX offers traders with a choice between the following live trading accounts:

  • Bronze
  • Silver
  • Gold
  • Platinum
  • Premium

 

What are the available deposit currencies for a live trading account?

USD, EUR, and GBP.

 

Deposits and withdrawals

 

What is the minimum deposit for EuropeFX?

€ 1 000.

 

How do you make a deposit and withdrawal with EuropeFX?

You can use any of the following:

  • MasterCard
  • Visa
  • Skrill
  • Neteller
  • Sofort
  • Przelewy24
  • TrustPay
  • SafePay
  • GiroPay
  • iDEAL
  • AstroBank
  • Bank Transfer

 

Does EuropeFX charge withdrawal fees?

Yes. EuropeFX charge a withdrawal fee of 25 USD/GBP/EUR on all account types.

 

How long does it take to make a withdrawal?

This depends on the payment method uses and can take between 1 – 5 business days.

 

A review about EuropeFX

Dilution Explained for Dummies

Fresh Unique Article to increase your trading knowledge: Dilution Explained for Dummies

Dilution Explained

Share Dilution Explained

Specifically regarding share dilution by companies

What is share dilution?

Share dilution, also referred to as stock dilution or equity dilution occurs when a company issues additional shares, reducing existing shareholders’ percentage of ownership in the company.

The Cambridge Dictionary describes share dilution as ‘the process or action of making a company’s shares less valuable by making more shares available.’

Applying some idioms from the world of baking, share dilution can be described as follows: It is not a situation of ‘the cherry on the cake’ for existing shareholders. However, a shareholder will still get a slice of the cake – the ‘equity cake’ – albeit a smaller slice of what he or she has been used to.

 

What is dilution?

In general, dilution refers to the process of making something less strong by adding something to it. For instance, a concentrated liquid produced from or flavoured with fruit juice, such as orange squash or lime cordial, is diluted by adding 3 parts of water to 1 part of the concentrated liquid, making it an enjoyable drink.

Dilution of company shares operates in a similar way.

 

Why do companies implement share dilution?

If the issue of additional shares makes a company’s shares less valuable, why do they still execute share dilution?

There are a number of reasons why companies issue additional shares. Some of the reasons are listed below:

  • Raising additional capital

Typically, this is the most apparent reason for a company to issue extra shares. New shares are issued to generate funds for further growth opportunities or to service outstanding debt.

  • Acquiring another company

If a company purchases another company, the acquiring company may issue additional shares to the shareholders of the acquired company.

  • Share options exercised by individuals

Companies may offer share options, also called stock options, to individuals like board members and employees. (A share option allows an option holder to buy shares in the company at a predefined amount on or before the expiry date.)

When share options are exercised, they are converted into ordinary shares of the company, increasing the number of shares.

  • Conversion of convertible securities

Some companies may also issue convertible securities, such as convertible bonds, convertible preference shares, or stock warrants. Warrants are typically issued to lenders.

A convertible security is described as a security that can be converted into different security. For instance, the preference shares of a company can be converted into ordinary shares.

A stock warrant also called a share warrant, allows its bearer the right to buy a company’s ordinary shares at a certain price at a specific date.

When the owners of convertible securities exercise their rights to convert them, the number of companies’ outstanding shares increases. (Outstanding shares refer to the number of shares that a company has issued.)

  • Distributing ownership

When the founders of a company reckon they own too much of a company, they can easily distribute ownership by selling a portion of the shares to new shareholders, reducing their percentage of ownership.

 

Examples of share dilution

  • Let us say a company, in an IPO (initial public offering), has issued 100 ordinary shares to 100 individuals, now referred to as ordinary shareholders. This means each ordinary shareholder owns 1% ((1/100) x 100) of the company.

In a secondary offering, the company issues 100 additional ordinary shares to 100 new shareholders, reducing each shareholder’s ownership to 0.5% ((1/200) x 100) in the company.

  • In the example below, company AJB started its operations with 200 000 shares owned by 100 ordinary shareholders. After a year of operations, the company needed additional capital to expand its operations and issued 40 000 new shares to 20 new shareholders.

 

The share dilution is calculated as follows:

  • Before dilution
  • Number of shares issued: 200 000
  • Number of shareholders: 100
  • Number of shares per shareholder: 2 000 (200 000/100)
  • Percentage ownership: 1% ((2 000/200 000) x100)

 

  • After dilution
  • Number of shares issued: 240 000
  • Number of shareholders: 120
  • Number of shares per shareholder: 2 000 (240 000/120)
  • Percentage ownership: 0.83% ((2 000/240 000) x100)

 

The effects of share dilution

  • Depending on the number of shares held by a shareholder and the number of additional shares issued, share dilution can affect a shareholder’s portfolio considerably. This means each existing holder of ordinary shares owns a smaller or diluted percentage of the company.
  • A company’s EPS (earnings per share) is also affected. Earnings per share (an indication of a company’s profitability) is determined by dividing a company’s profit by its outstanding ordinary shares. It is also referred to as basic EPS because it does not consider the dilutive effect of ordinary shares that could still be issued by the company.

For example, company YYY records a net income for ordinary shareholders of R755 000 and has 850 000 ordinary shares outstanding. YYY’s basic EPS is R0.89 (R755 000/850 000). After the issuance of another 50 000 ordinary shares, the basic EPS of company YYY will be R0.84 (R755 000/900 000).

However, if the share dilution causes a considerable increase in earnings, the basis EPS may not be negatively affected. If the additional capital received with the issuance of the additional 50 000 ordinary shares generates more revenue, the basic EPS may not be negatively affected. For instance, if the additional capital boosted company YYY’s revenue to R810 000, the company’s basic EPS will be R0.90 (R810 000/900 000).

Companies may also determine their diluted EPS, calculating the potential effect of share dilution if it is assumed that all ordinary shares that could be outstanding have been issued and that all convertible securities were converted or realised.

  • Share dilution also reduces the voting power of ordinary shareholders because the percentage of ownership of a company of each existing ordinary shareholder decreases with the increase in the number of shares issued.
  • The greater the share dilution, the more the possibility for a company’s share price to decrease. Dilution can hold share prices down even when a company’s market capitalisation (market cap) increases. (Market cap is calculated by multiplying a company’s current share price by its total number of outstanding shares.)

Share Dilution Explained

EGM Securities Sign Up Bonus

Fresh Unique Article to increase your trading knowledge: EGM Securities Sign Up Bonus

A review about EGM Securities sign up bonus
 

With EGM Securities, new traders are not offered a EGM Securities sign-up bonus. No deposit bonus, sign-up bonus or a welcome bonus is offered to traders who register a real account with this broker.

Choose your quick section of our EGM Securities Sign up Bonus below.

A Quick Overview of our EGM Securities Sign up Bonus Reviewed:

Even though EGM Securities does not offer bonuses, rewards, or any other promotions, the broker still offers attractive trading conditions.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

Sign up Bonus

Bonus offers are one of the best ways for brokers to draw new customer to participate in trading activities. Traders usually receive some money back when they are offered a welcome bonus by a broker. This payback of funds will depend on the initial deposit made by the trader.

 

Referral Bonus

Referral bonuses is another way to attract traders to register with a specific broker. Unfortunately, this is another bonus that is not offered by EGM Securities.

A referral bonus is usually offered by brokers to traders to draw in new clients and expand their customer base.

This kind of bonus comes with strict criteria that will have to be fulfilled before the trader can benefit from referring a friend or a family member.

 

Some of the criteria usually include the following:

The referral must register a real account with the broker using a referral link so that the registration can be traced back to the trader.

The referral bonus is only applicable should referrals register a real account as these bonuses are not available when using a demo account.

A minimum deposit amount must be made determined by the broker by the referral and a certain number of trades needs to be executed on the new account.

 

There might also be a limited time in which referral bonuses may be utilized by traders. This could be due to the broker seeing a decrease in activity in each month and attempts to counter it by providing such bonuses.

 

Additional bonuses, promotions, and rewards

There are many brokers who also offer promotions, additional bonuses, or have a rewards program offered to their loyal customers.

Once again, EGM Securities does not make provision for any trading bonuses or promotion and there are no current initiatives to reward loyal customers.

Trading bonuses usually serve the purpose of boosting traders to increase their trading activity in addition to trading higher volumes to gain access to bonuses that offer some cashback.

 

Pros and Cons

PROS CONS
Offers competitive and attractive trading conditions No referral bonus offered
No trading bonus for loyal customers
No welcome bonus, deposit bonus, and no other broker bonuses offered with first time sign up

 

Conclusion

Bonuses are one of the more successful ways to ensure that a broker attract new traders in signing up and registering a real account.

None of these bonuses are presently on offer by EGM Securities to new or loyal customers. Notwithstanding, the broker is a regulated and reputable broker which offers attractive trading conditions to traders.

Traders still have access to a wide range of markets, competitive trading conditions and powerful trading platforms.

 

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You might also like: EGM Securities Minimum Deposit

 

FAQ

 

Does EGM Securities offer a sign-up bonus?

No. EGM Securities does not offer a sign-up bonus.

A review about EGM Securities sign up bonus

EGM Securities Minimum Deposit

Fresh Unique Article to increase your trading knowledge: EGM Securities Minimum Deposit

A review about EGM Securities minimum deposit
 

The EGM Securities minimum deposit requirement with EGM Securities is only $ 15. This minimum deposit amount is equivalent to ZAR 219.83 at the current exchange rate between the US Dollar and the South African Rand at the time of writing.

Choose your quick section of our EGM Securities Minimum Deposit below.

A Quick Overview of our EGM Securities Minimum Deposit Reviewed:

  • ✔

The currency of the deposit will automatically correspond to the currency of the account into which you are depositing. If you are using a different currency, you may be subjected to currency conversion fees.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

 

Overview of Minimum Deposit

The broker is authorised and regulated by Capital Markets Authority (CMA) as a licensed forex Broker in Kenya. It is part of a global business that can deliver individual, corporate, and institutional services through its decentralised international offices.

EGM Securities provides Negative Balance Protection and promises safety and risk-free relations when trading with it. Client funds, as with most regulatory bodies and financial institutions are kept in separate accounts from the broker account. It can only be used by the trader and not the broker.

 

Deposit fees and deposit methods

The minimum deposit that EGM Securities requires when registering a live account is exceptionally low when compared with other brokers.

EGM Securities offers traders the following payment methods which can be used when making deposits:

Bank Transfers

Credit/Debit Cards

Neteller

Skrill

Mobile Payment Solutions

 

Deposit currencies which are accepted include EUR, USD, GBP, and AED.

There are no deposit fees charged when using any of the above-mentioned payment methods. Traders must, however, ensure that they verify whether their financial institution waives its own fees as there may be additional fees payable.

These often depend on the payment method used as well as the amount which is deposited into the trading account.

 

Step by step guide to deposit the minimum amount

When funding the trading account, traders can do it from their own bank account by sending the funds to one of the EGM Securities client accounts.

The minimum deposit is made from the personal client area after registering a live trading account that has been approved by the broker.

To make a deposit trader need to log into the client portal and select the option “Deposits”. Then you choose the option you want to use to make a deposit and follow the steps stimulated on the screen.

 

Pros and Cons

PROS CONS
No deposit fees charged Account base currencies are limited
Regulated through CMA Currency conversion fees may apply
Reliable payment methods offered Limited payment methods offered
Exceptionally low minimum deposit requirement

 

You might also like: EGM Securities Review

You might also like: EGM Securities Account Types Overview

You might also like: EGM Securities Demo Account – Step by Step

You might also like: EGM Securities Fees and Spreads

You might also like: EGM Securities Islamic Account Overview

You might also like: EGM Securities Sign up Bonus

 

FAQ

 

What is the minimum deposit for EGM Securities?

$ 105.

 

How do I make a deposit and withdrawal with EGM Securities?

  • Bank Transfers
  • Credit/Debit Cards
  • Neteller
  • Skrill
  • Mobile Payment Solutions

 

Does EGM Securities charge withdrawal fees?

No. EGM Securities does not charge any withdrawal fees apart from international withdrawals through bank wire transfer where the charge is 1650 KES or $ 16.50.

 

How long does it take to make a withdrawal?

Transaction times depend on the payment methods used. For domestic withdrawals the time frame is between 1 – 3 business days and for international withdrawals between 3 – 5 business days.

A review about EGM Securities minimum deposit

EGM Securities Islamic Account

Fresh Unique Article to increase your trading knowledge: EGM Securities Islamic Account

A review about EGM Securities Islamic account
 

EGM Securities runs a Non-Dealing Desk (NDD) which means it provide direct access to Interbank market exchange rates. This means it provides trade executions using either Straight Through Processing (STP) or Electronic Communications Network (ECN), or both.

Choose your quick section of our EGM Securities Islamic Account below.

A Quick Overview of our EGM Securities Islamic Account Reviewed:

With EGM Securities traders can trade in several financial markets, namely over 60 currency pair, precious metals, indices, commodities, CFDs, and many more.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

Overview

EGM Securities is an online forex broker established in 2016 with its headquarters in Nairobi, Kenya. It is also part of a group of brokers licensed and authorised in the United Kingdom, Jordan, the UAE, and Australia.

Trading is offered on the globally known MetaTrader 4 platform on many devices such as web, desktop, Android, and iOS. Traders can choose to open a Premiere or Executive live account in addition to an Islamic account.

A demo account can also be opened which allows you to trader without the risk involved.

The broker also makes provision for educational tools as well as research tools.

 

What exactly is an Islamic Account?

An Islamic Account is not a standalone account and offered by most brokers. However, some brokers dedicate one account to being an Islamic or Swap Free account. This is an option offered by most online Forex brokers.

Islamic Accounts are usually provided by brokers who aid Middle Eastern clients as well as clients from other jurisdictions. These accounts offer certain features that are in line with the Sharia law, which prohibits the accrual of interest on funds deposited into the account.

Another feature on an Islamic of Swap-free account is that transactions must be settled immediately. This requires that currencies be transferred from one account to the other right after the transaction has been completed and therefore paid for in full.

There are two key elements of the Islamic law that relate specifically to trading accounts, these elements are:

Riba

Gharar

 

Riba is the prohibition of generating money from money, which in this case specifically refers to interest, which is not allowed according to the Sharia law. This type of interest is seen as both unjust and exploitive gains pertaining to trade or business.

 

Which financial activities are restricted and prohibited by Sharia law?

Due to the limits and certain bans placed on Muslim traders when considering the intricate details involved with trading activities, the following is affected:

Margin deposits and interest – which involves the accrual of interest on funds which are deposited into the trading account, which is prohibited.

Overnight rollovers – which involve the incurrence or receiving of swap points on positions that are held open for longer after the trading day has concluded at the New York close at 5 PM EST which is prohibited by the Sharia law.

Short sales – which affects mostly shares and involves borrowing and subsequent sale of an asset, which is prohibited.

Loans – when followers of the Sharia law have funds transferred by either a bank or other financial institution and it involves interest terms, this is prohibited by the Sharia law as per the key element, Riba.

Forward sales – which affects forward contracts as well as the trading of futures contracts which involves the buying and selling of contracts at a future date according to a price agreed upon on the day of entering such a contract.

Trading on margin – stocks that are traded on margin result in the trader being liable for paying interest, which amounts to Riba, as money is borrowed from the broker to buy or sell such equities, and which is prohibited by the Sharia law.

 

What are the steps involved in opening an EGM Securities Islamic Account?

Traders who want to register for an Islamic Swap-Free account is subjected to EGM Securities’ approval and is only offered to clients of the Muslim faith.

Traders need to first go through the process of opening and registering for any of the two live accounts on offer before it can be changed to an Islamic Swap-Free account. After registering for the account, traders need to agree to the Swap-free terms and conditions before the account is changed.

If you want to revert a registered live account to an Islamic Swap-free account, it is subject to certain terms and conditions and prospective clients should contact the broker’s Clients Support team for the correct procedure.

Your request will be reviewed, and you will receive a reply within a couple of days.

 

What is EGM Securities’ spread costs on an Islamic Account?

Unfortunately, this information is only available for traders who have been approved for Islamic Swap-free accounts.

 

What other features does EGM Securities’ Islamic Account have?

When making use of the EGM Securities’ Islamic account, traders can expect the following key features:

  • There are no additional rollover commissions where contracts are held for longer than 24-hours.
  • Direct execution on trades.
  • Interest is not charged on contracts which are held for more than 24-hours. There is a consistent zero rollover interest.
  • Traders have access to Expert Advisors, which allow for automated trading.

 

Before registering an account, traders should ensure that they contact the Middle Eastern support desk to find out more regarding such restrictions and/or limits.

Traders should take note that markets open on Sunday at 11pm CET and close on Fridays at 11pm CET. In addition, there may be some restrictions and limits which apply to the Islamic Account.

 

Pros and Cons

PROS CONS
Commission-free trading offered on the Executive account Clients from United States not accepted
MetaTrader 4 offered Fixed spread accounts not offered
Regulated through CMA Only two live account type offered

 

You might also like: EGM Securities Review

You might also like: EGM Securities Account Types Overview

You might also like: EGM Securities Demo Account – Step by Step

You might also like: EGM Securities Fees and Spreads

You might also like: EGM Securities Minimum Deposit

You might also like: EGM Securities Sign up Bonus

 

FAQ

 

Trading environment

 

How many instruments can I trade with EGM Securities?

You can trade the following financial instruments:

60 currency pair

Precious metals

Indices

Commodities

CFDs, and more

 

Which platforms are supported by EGM Securities?

MetaTrader 4.

 

Does EGM Securities offer leverage?

Yes. Leverage of up to 1: 400.

 

What spreads can I expect with EGM Securities?

You can expect spreads that typically start from 0.2 pips.

 

Does EGM Securities charge commission?

No. EGM Securities offers commission-free trading apart from the Premiere Account where a commission of $ 7 per standard lot round turn is charged.

It is unclear whether Islamic account holders are subjected to the same commission charges. Traders must verify this information with the broker as it is not stated on the website.

 

Are there additional charges on the Islamic account?

Not that can be seen from EGM Securities’ website.

 

Is EGM Securities regulated?

Yes. EGM Securities is regulated by CMA.

 

Is EGM Securities a recommended forex trading broker for experts and beginners?

Yes. EGM Securities offers a trading environment for both beginners and expert traders.

 

What is the overall rating out of 10 for EGM Securities?

7/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account offers the use of virtual funds instead of actual capital. This allows for risk-free trading as well as exploring of both the broker’s offer and the trading platform.

A demo account can be used for a variety of reasons including practice trading, testing trading strategies, exploring platforms and offers, and more.

 

Does EGM Securities offer a demo account?

Yes. The broker does offer a demo account that has the same features as the live account.

 

For how long is the demo account valid?

There is no indication on the website for how long a demo account is valid, but most brokers usually offer it for 30 days.

 

Does EGM Securities offer the option of an Islamic Account?

Yes. EGM Securities offers the option of an Islamic Account for traders of the Muslim faith.

 

Which live trading accounts does EGM Securities offer?

EGM Securities offers and Executive Account and a Premiere Account as well as the Swap-free Account for Muslim Traders.

 

What are the available deposit currencies for a live trading account?

  • EUR
  • USD
  • GBP
  • AED

 

Deposits and withdrawals

 

What is the minimum deposit for EGM Securities?

$ 15.

 

How do I make a deposit and withdrawal with EGM Securities?

  • Bank Transfers
  • Credit/Debit Cards
  • Neteller
  • Skrill
  • Mobile Payment Solutions.

 

Does EGM Securities charge withdrawal fees?

No. EGM Securities does not charge any withdrawal fees apart from international withdrawals through bank wire transfer where the charge is 1650 KES or $ 16.50.

 

How long does it take to make a withdrawal?

Transaction times depend on the payment methods used. For domestic withdrawals the time frame is between 1 – 3 business days and for international withdrawals between 3 – 5 business days.

A review about EGM Securities Islamic account

16 Best Forex Brokers in Europe

Fresh Unique Article to increase your trading knowledge: 16 Best Forex Brokers in Europe

Best Forex brokers in Europe Banner
 

In this article, we explore the best Forex brokers in Europe, which are popular amongst traders for their strong regulatory status, their comprehensive platform offering, and their selection of tradable instruments.

 

Choose your quick section of our best Forex Brokers in Europe below.

Our 10 Best Handpicked Best Forex Brokers in Europe Revealed:

To be successful on the Forex market, it is essential that traders can find a Forex trading broker that is reliable and offers comprehensive trading features, as well as excellent customer support.

 

A review about Nord FX
 

NordFX

 

Overview

NordFX is a well-regarded Cyprus-based Forex broker that is regulated by the Cypress Securities and Exchange Commission (CySEC). This regulation ensures traders of a safe trading environment and extensive client protection measures.

NordFX is popular for its varied selection of account types, low minimum deposits, a demo account and MT4 integration, while many traders enjoy using the automated trading signals offered on the broker’s platform.

 

Pros and Cons

PROS CONS
Feature-rich trading platforms Few analytical tools
High leverage offered
Low minimum deposit

 

Features

Feature Information
Regulation VFSC, CySEC
Minimum deposit from $10
Average spread from 0.0 pips
Commissions from ‎0.0035%
Deposit/Withdrawal Fees None
Maximum Leverage 1:1000
Bonuses $8 No Deposit Bonus
Customer Support 24/5

 

A review about Admiral Markets
 

Admiral Markets

 

Overview

Admiral Markets is an extremely popular European Forex broker that is based in Estonia but has offices in several major European cities and traders from all over the world.

Founded in 2001, Admiral Markets is particularly popular for its comprehensive educational and analytical offering, with its Forex trading blog being widely read by traders for its topical and educational articles.

The broker is well-regulated in different jurisdictions, including by the UK Financial Conduct Authority (FCA) and the Australian Securities and Investments Commission (ASIC).

Admiral Markets offers the full MetaTrader suite comprising of MetaTrader 4 and MetaTrader 5, and 3,000 global markets are available to trade through CFDs.

 

Pros and Cons

PROS CONS
Advanced trading tools No fixed spread accounts
Negative balance protection
Segregated client accounts

 

Features

Feature Information
Regulation CySEC, FCA, ASIC
Minimum deposit from $50
Average spread from 0.75 pips
Commissions from No commission on stocks and ETFs
Deposit/Withdrawal Fees $5
Maximum Leverage 1:30
Bonuses $50 Welcome Offer And $50 Per Referral
Customer Support 24/5 – multilingual

 

A review of IG Group
 

IG Group

 

Overview

IG is a globally operative Forex broker that provides traders with access to more than 80 currency pairs, complemented by a trading environment that is tailored to beginner and advanced traders alike.

Beginner traders will find user-friendly and accessible trading platforms that also offer advanced and comprehensive analytical capabilities for advanced traders.

IG offers a range of educational resources, which include native news feed, live webinars, and the IG Academy. Traders have access to several asset classes with excellent customer support.

 

Pros and Cons

PROS CONS
Low index CFD trading fees High stock CFD fees
No withdrawal fees Inactivity fee charges

 

Features

Feature Information
Regulation FCA, FSCA
Minimum deposit from No minimum deposit
Average spread from Variable
Commissions from £3.00 – £8.00 per trade for all types of assets
Deposit/Withdrawal Fees None
Maximum Leverage 1:200
Bonuses None offered
Customer Support 24/6

 

A review of XM
 

XM

 

Overview

XM offers both currency and commodity traders an excellent environment and selection of assets, while beginner and experienced traders will find a suitable trading environment.

The broker has become popular for several differentiating features, which include auto trading, no hidden fees or commissions and ultra-fast order executions, with 99.35% taking place in under 1 second.

This means that traders will not have to contend with slippage and can enjoy responsive trading software that allows them to make the most out of the markets.

 

Pros and Cons

PROS CONS
Great educational tools Average forex fees
Low CFD and withdrawal fees Inactivity fees

 

Features

Feature Information
Regulation IFSC, ASIC, CySEC, FCA and DFSA
Minimum deposit from $5
Average spread from 0.1 pips
Commissions from $3.5 commission per $100 000 traded
Deposit/Withdrawal Fees None
Maximum Leverage 1:30
Bonuses $30 Trading Bonus
Customer Support 24/5

 

A review about FXTM
 

FXTM

 

Overview

FXTM is an immensely popular and far-reaching global Forex broker that also offers the industry leading MetaTrader 4 and MetaTrader 5 platforms.

Traders will have access to several popular asset classes, including Forex, CFDs for Indices and Commodities, spot metals, and shares CFDs.

FXTM offers competitive commissions on most instruments and assets at $0.2 per lot, and very tight spreads on the broker’s ECN accounts.

 

Pros and Cons

PROS CONS
Comprehensive educational tools Inactivity and withdrawal fees
Excellent customer service Limited product offering
High leverage ratios

 

Features

Feature Information
Regulation CySEC, FCA, FSCA
Minimum deposit from $100
Average spread from 0.9 pips
Commissions from No commission
Deposit/Withdrawal Fees $3
Maximum Leverage 1:500 on average
Bonuses $300 Trading Bonus
Customer Support 24/5

 

A review about Forex.com
 

Forex.com

 

Overview

Forex.com stands out amongst many of its competitors for its exceedingly broad range of tradable currencies. These can be accessed on a variety of tailored accounts that cater for different trading styles and experience levels, with low account minimums.

The broker offers an advanced, feature-rich trading platform that will be an excellent choice for beginner and seasoned traders alike, while its educational resources will allow newbies to get a better understanding of trading aspects and grow with the broker.

Forex.com likewise offers advanced traders several independent research and analytical tools, apart from those already embedded in the trading platform.

 

Pros and Cons

PROS CONS
High number of currency pairs High stock CFD fees
Low Forex fees Limited asset portfolio
Well-regulated

 

Features

Feature Information
Regulation FCA, CIMA
Minimum deposit from $50
Average spread from 1 pip
Commissions from Commissions on the commission account only
Deposit/Withdrawal Fees None
Maximum Leverage Variable dependent on instrument traded
Bonuses 20% Welcome Bonus
Customer Support 24/5

 

A review of Vantage FX
 

Vantage FX

 

Overview

Vantage FX is a leading Australian Forex broker that is also popular with European traders for its award-winning customer service and reputation for providing speedy transactions.

Vantage FX is another MetaTrader broker, offering both MT4 and MT5, and traders will also have access to robot trading to enjoy an enhanced automated trading environment that will allow them to make use of the best trading strategies prevailing in the market.

Clients of Vantage FX have access to 38 Forex currency pairs, 24 CFDs, cryptocurrencies, indices, and commodities.

 

Pros and Cons

PROS CONS
Advanced trading platforms Limited range of tradable instruments
Has indemnity insurance
Well regulated

 

Features

Feature Information
Regulation ASIC
Minimum deposit from $200
Average spread from 1.35 pips
Commissions from ‎$3 added per side
Deposit/Withdrawal Fees 20 units of trading account base currency
Maximum Leverage 1:500
Bonuses 50% Welcome Bonus
Customer Support 24/5

 

A Review of FxPro
 

FxPro

 

Overview

FxPro is a globally located Forex broker that offers traders a wide range of asset classes, including forex, stocks, futures, metals, energies, CFDs and market indices.

FxPro is regulated by the Financial Conduct Authority (FCA) and provides tight spreads alongside competitive commissions with no hidden trading fees.

Traders will have access to both MT4 and MT5, as well as the FxPro cTrader platform which is particularly popular for its rapid execution speeds.

FxPro differentiates itself through its STP model, so that there is no dealer intervention to afford the best pricing model available on the market.

 

Pros and Cons

PROS CONS
Client deposits stored in segregated accounts
Wide selection of market instruments
Low trading fees

 

Features

Feature Information
Regulation FCA, CySEC, FSCA
Minimum deposit from $500
Average spread from 1.7 pips
Commissions from $45 per million USD traded.
Deposit/Withdrawal Fees 1.6% for debit and credit card
Maximum Leverage 1:500
Bonuses None
Customer Support 24/5

 

A review about BDSwiss
 

BDSwiss

 

Overview

As the name suggests, BDSwiss is a Switzerland based broker that has been in operation since 2012 and is currently headquartered in the financial hub of Zurich.

BDSwiss differentiates itself for its secure and reliable trading environment, being regulated under CySEC, FSC, and the FSA, and giving traders access to it broad liquidity providers for a potentially lucrative trading environment.

Traders with BDSwiss have access to Forex, commodities, indices, shares, and cryptocurrencies, with over 50 currency pairs to choose from including major and minor options.

BDSwiss also gives several great educational resources for beginner traders, including interactive seminars, while advanced clients will have VIP access, charting tools, and access to an account manager.

 

Pros and Cons

PROS CONS
MetaTrader 4 and 5 are offered Relatively high minimum deposit
Well regulated broker

 

Features

Feature Information
Regulation CySEC, FSC, NFA
Minimum deposit from $200
Average spread from 1.3 pips
Commissions from  0.1% for stock and CFDs
Deposit/Withdrawal Fees 10 EUR from 20 EUR upwards
Maximum Leverage 1:500

 

A review about Plus500
 

Plus500

 

Overview

Plus500 is a well-regulated Australian broker with a global presence. The broker was first established in 2008 and has since grown extremely popular for its beginner-friendly trading environment and its secure trade offering.

Plus500 is regulated in several jurisdictions, including by the Financial Conduct Authority (FCA), e Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC).

Plus500 offers a variety of trading platforms which are compatible with desktop and mobile, with traders able to access a remarkable 2000 instruments using CFDs.

The broker has won numerous awards over its operational history, the most recent of which include Best Overall Broker and Best Trading App.

 

Pros and Cons

PROS CONS
Competitive pricing Relatively few research tools
Vast range of market instruments
Well regulated

 

Features

Feature Information
Regulation FCA, ASIC
Minimum deposit from $100
Average spread from 0.5 pips
Commissions from ‎$3
Deposit/Withdrawal Fees None
Maximum Leverage 1:30
Bonuses Deposit Bonus
Customer Support 24/5

 

A review about AvaTrade
 

AvaTrade

 

Overview

AvaTrade is a well-known Dublin based Forex broker that is regulated globally in Europe, Australia, Japan and most recently in South Africa.

AvaTrade differentiates itself for its unparalleled selection of trading platforms, which include the full MetaTrader suite for mobile and desktop, RoboX, Mirror Trader, MQL5 Signal Service, API Trading, and Duplitrade.

Traders with AvaTrade will have access to Forex, cryptocurrencies, indices, bonds, stocks, ETFs, commodities, and options.

 

Pros and Cons

PROS CONS
Excellent educational resources High EUR/USD and inactivity fees
Wide range of tradable instruments
Wide range of trading platforms

 

Features

Feature Information
Regulation Central Bank of Ireland, MiFID, ASiC, BVI
Minimum deposit from $100
Average spread from 0.9 pips
Commissions from No commission on Forex
Deposit/Withdrawal Fees None
Maximum Leverage 1:400
Bonuses First Deposit Bonus
Customer Support 24/5 – multilingual

 

A review about Pepperstone
 

Pepperstone

 

Overview

First established in 2010, Pepperstone is a well-regarded broker that is popular with beginner traders as well as advanced and professional clients.

The broker offers a remarkable selection of 11 advanced trading platforms, with a variety of investment products that include index CFDs, precious metals, energy, soft commodities, and cryptocurrencies, as well as Forex.

Pepperstone can offer clients some of the best pricing on the markets due to its direct access to almost 22 major banks and its use of electronic crossing networks for raw, interbank spreads and liquidity.

 

Pros and Cons

PROS CONS
Low forex and equity index CFDs Somewhat limited asset portfolio
Negative balance protection
No deposit fee required

 

Features

Feature Information
Regulation FCA, ASIC
Minimum deposit from AUD200
Average spread from 0.4 pips
Commissions from ‎$3.76 commission per lot per trade
Deposit/Withdrawal Fees None
Maximum Leverage 1:500
Bonuses None
Customer Support 24/5

 

A review about Tickmill
 

Tickmill

 

Overview

Tickmill is an ECN broker popular for its award-winning trading conditions. Tickmill is headquartered in London and operates in over 200 countries with an average monthly trading volume of 121bn+.

Clients of Tickmill can trade on over 60 currency pairs as well as stock indices, commodities, and bonds and the highly popular MetaTrader 4 platform.

Commission-free trading is available on the Classic Account, while spreads are very tight and start at 0 pips.

 

Pros and Cons

PROS CONS
Advanced trading software
Competitive pricing
High leverage
STP model
Well regulated

 

Features

Feature Information
Regulation FCA
Minimum deposit from $100
Average spread from 0.1 pips
Commissions from ‎2 per side per 100,000 traded
Deposit/Withdrawal Fees None
Maximum Leverage 1:500
Bonuses $30 Welcome Bonus
Customer Support 24/5

 

A review about FXCM
 

FXCM

 

Overview

FXCM was founded in 2009 and is operated by Leucadia Investments, a well-known investment and financial company.

FXCM is an award-winning broker that has attracted more than 130 000 customer accounts globally, offering Forex, CFDs, cryptocurrencies, commodities, and global stock indices.

 

Pros and Cons

PROS CONS
Advanced trading platforms Limited product portfolio with regards to asset classes
High leverage offered
Low minimum deposit

 

Features

Feature Information
Regulation FCA, ASIC, ACPR, FSP
Minimum deposit from $50
Average spread from 1.3 pips
Commissions from £4 per standard round-turn lot (£2 per side)
Deposit/Withdrawal Fees None
Maximum Leverage 1:400
Bonuses $20 Welcome Bonus
Customer Support 24/5

 

A review of FP Markets
 

FP Markets

 

Overview

FP Markets offers the MetaTrader 4 and MetaTrader 5 platforms, as well as the Iress Trader which is popular for its Direct Market Access execution system.

Traders with FP Markets have access to a very comprehensive range of asset classes, including over 60 currency pairs, over 10 000 shares, 12 global indices, and commodity CFDs such as Brent crude oil, gold, and silver.

FP Markets is regulated in several jurisdictions, including by the Australian Securities and Investments Commission (ASIC), the Cyprus Securities and Exchange Commission (CySEC), and the UK Financial Conduct Authority (FCA).

 

Pros and Cons

PROS CONS
Fast processing for deposits and withdrawals High stock CFD Fees
Low forex fees Limited product portfolio
Streamlined and fast account opening process

 

Features

Feature Information
Regulation Australian ASIC, Cypriot CySEC, SCB
Minimum deposit from $100
Average spread from 0.5 pips
Commissions from  $55 monthly commission for IRESS Trader users only
Deposit/Withdrawal Fees None
Maximum Leverage 1:500
Bonuses $30 Welcome Bonus
Customer Support 24/5

 

A review about Axi
 

Axi

 

Overview

Axi is an Australian-based broker regulated in Europe that was recently rebranded from AxiTrader and which offers foreign exchange speculative trading, including Bitcoin, indices, metal, and commodities.

This MetaQuotes broker offers a comprehensive asset selection with tight spreads that start from 0.0 pips and commission-free trading available on the Standard Account.

Axi provides over 61 different currency pairs, and a wide range of CFDs including bullion, commodities, metals, gold & silver trading, oil trading and indices trading.

 

Pros and Cons

PROS CONS
MetaTrader 4 available Limited research tools
No Minimum Deposit

 

Features

Feature Information
Regulation ASIC, FCA, DFSA
Minimum deposit from No minimum deposit
Average spread from 1.24 pip
Commissions from  $ 7 commission charged per round
Deposit/Withdrawal Fees None
Maximum Leverage 1:400
Bonuses 20% Deposit Bonus
Customer Support 24/5

 

Conclusion

Europe has been a center of trade and currency speculation for many centuries, and in recent years this economic activity has become extremely popular on the Forex market.

Many currency traders and investors have been joining the Forex trading rush to profit from the numerous opportunities that arise between the ever-fluctuating currency prices that occur between the world’s many different national economies.

 

FAQ

 

What is a Forex trading broker?

A Forex broker provides Forex traders with access to the Forex currency markets as well as other investment markets such as those pertaining to commodities, indices, and shares.

Forex brokers will provide their services in return for a fee, which is typically charged as a spread or as commissions.

 

How do I choose a Forex trading broker?

There are certain criteria by which a trader can determine whether a broker is a desirable choice or not. Firstly, a broker should always be well-regulated by a reputable organisation, such as the Financial Conduct Authority (FCA) or the Australian Securities and Investments Commission (ASIC).

Secondly, the broker should offer competitive trading conditions in terms of its pricing as well as its trading features, which include trading platforms and analytical tools.

Thirdly, a broker should provide responsive and professional customer support, which will allow traders to have their issues or queries resolved quickly in the fast-paced world of Forex trading.

 

Why is regulation important in Forex trading?

Regulation will provide traders with certain client protection measures that will safeguard them against unnecessary losses – especially since Forex trading can already be a risky business.

Reputable regulatory agencies will require regular transparent audits from brokers and will have them store client deposits in segregated accounts with top tier banks to protect them from any financial mismanagement.

Added to this, most reputable regulatory agencies ensure that brokers participate in a client compensation scheme which will cover traders financially in case of broker insolvency.

Finally, sound regulation will allow traders sufficient recourse to resolve any disputes they may have with their broker and provide a generally secure trading environment.

 

How do I know a broker is offering competitive pricing?

Competitive pricing will entail commissions which are not too high, and spreads which are generally tight.

Examples of competitive pricing include spreads that start at 0 pips, and commissions that do not exceed $2 per round turn. Added to this, the broker should not have any hidden trading fees, but should remain transparent in all their pricing.

That said, brokers who have slightly higher pricing in terms of their spreads and commissions may offer some trading features that make it worthwhile for the trader’s goals, so that it is ultimately up to the trader’s discretion.

 

How can I tell if a broker is offering a good selection of trading features?

Trading features will include the trading platforms, research tools and educational resources. Ideally, a good broker will offer all three of these.

There are many trading platforms on the Forex market, but a good platform will have fast execution, will have several inbuilt charting and analytical features, and will be compatible with a wide range of interfaces.

Research tools will include an economic calendar and daily news feed, and educational resources will include webinars and beginner training videos.

 

How much money should I invest in a broker?

This will depend on your trading strategy and goals, however, traders should avoid brokers that ask for an extremely high minimum deposit, unless it is a professional account which warrants higher investments.

 

Which are the best Forex brokers in Europe?

See out comprehensive list of the best Forex brokers in Europe directly on the SA Shares website.

Best Forex brokers in Europe Banner

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EGM Securities Fees, Spreads and Commission

Fresh Unique Article to increase your trading knowledge: EGM Securities Fees, Spreads and Commission

A review about EGM Securities fees and spreads
 

EGM Securities spread list starts from 0.2 pips on EUR/USD. This applies to the Premiere account. On the Executive account, the broker charges 1.6 pips per standard lot for the same currency pair.

Choose your quick section of our EGM Securities Fees and Spreads below.

A Quick Overview of our EGM Securities Fees and Spreads Reviewed:

EGM Securities does not offer spread betting, so spread betting fees do not apply.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

Fees and Spreads

No commissions are charged by the broker on the Executive account but a commission of $ 7 per standard lot round turn is charged on the Premiere account.

Factors such as available liquidity (supply and demand), volatility, the trading session and market forces usually has an influence on the price spreads, and they might vary throughout the day.

 

Additional Trading Fees

With the trading in financial instruments such as forex, traders can expect that swap fees, or overnight fees will be charged when positions are held for longer than a trading day.

EGM Securities does not clearly indicate what the swap charges are if short positions or long positions are held overnight. More information might be forthcoming if clients contact customer services.

In addition, EGM Securities, does make provision for an Islamic Swap-free Account for Muslim traders who follow the Sharia Law. They are thus prohibited from earning or paying interest where the holding of open positions is concerned.

EGM Securities charges an inactivity fee after an account is inactive for 180 calendar days or more. The fee payable or closure of inactive accounts is intimated to the customer in advance as per the rules.

 

Broker Fees

With EGM Securities no deposit fees or withdrawal fees are charged, and the broker will cover all bank processing charges. However, if you withdraw internationally through bank wire transfer there will be a charge of 1650 KES or $ 16.50.

Traders need to enquire and verify whether their financial institution charges any additional fees. Traders might also be subjected to currency conversion fees should they transfer fees in a currency which is different from their account base currency.

 

Pros and Cons

PROS CONS
Competitive trading conditions Spreads are not the tightest
Demo account offered
Islamic Account/Swap-free provided for Muslim traders
No deposit fees charged
Zero commissions charged on the Executive account

 

You might also like: EGM Securities Review

You might also like: EGM Securities Account Types Overview

You might also like: EGM Securities Demo Account – Step by Step

You might also like: EGM Securities Islamic Account Overview

You might also like: EGM Securities Minimum Deposit

You might also like: EGM Securities Sign up Bonus

 

FAQ

 

How many instruments can I trade with EGM Securities?

You can trade the following financial instruments:

60 currency pair

Precious metals

Indices

Commodities

CFDs, and more

 

Which platforms are supported by EGM Securities?

MetaTrader 4.

 

Does EGM Securities offer leverage?

Yes. Leverage of up to 1: 400.

 

What spreads can I expect with EGM Securities?

Spreads typically start from 0.2 pips EUR/USD.

 

Does EGM Securities charge commission?

No. EGM Securities offers commission-free trading apart from the Premiere Account where a commission of $ 7 per standard lot round turn is charged.

 

Is EGM Securities regulated?

Yes. EGM Securities is regulated by CMA.

 

Is EGM Securities a recommended forex trading broker for experts and beginners?

Yes. EGM Securities caters for both beginners and expert traders.

 

What is the overall rating out of 10 for EGM Securities?

7/10.

A review about EGM Securities fees and spreads

EGM Securities Demo Account

Fresh Unique Article to increase your trading knowledge: EGM Securities Demo Account

A review about EGM Securities demo account
 

The EGM Securities demo account that is on offer with EGM Securities impersonates a live trading account. With the account traders have access to the same features, options, and functions that they would normally get on a live trading account.

Choose your quick section of our EGM Securities demo account below.

A Quick Overview of our EGM Securities Demo Account Reviewed:

The EGM Demo demo account is also used on the MetaTrader 4 platform, which means traders will have access to the many, tools, functions, and features, which is offered by the platform.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

How to set up a Demo Account – Step by Step

To register for, and set up a demo account with EGM Securities, traders can follow these steps:

  • On the EGM Securities website click on the ‘Try a free demo’ link and you will be redirected to a new window.
  • Here you will be asked to complete the online registration form for a demo account. Traders need to provide their First and Last Name, your country of residence, telephone number and email address.
  • Next you must decide what currency you want to use.
  • Traders also need to consent to receiving marketing communications and select to accept the Privacy Policy terms and conditions.
  • When selecting the option to continue, traders will be redirected to a demo account platform where they are free to explore the broker’s offering and/or to practice trading, test strategies, and more.
  • Your details will be verified and then you will receive an email on the address that you have provided during the registration. The email will contain the trader’s demo account number, and password.

 

A demo account is also a practice account as it provides traders with the freedom and capability to explore what the broker offers without running the risk of suffering any losses as they are provided with virtual money with which to practice trading.

When registering for a demo accounts, beginner traders can familiarize themselves with the live trading environment the broker offers. They can build up their trading skills by participating in trades and in doing so develop their own trading strategies.

Demo accounts are not only for beginner traders, but it also provides more experienced traders with the opportunity to explore what EGM Securities has to offer.

 

Demo Account Features

The only difference is that the demo account is risk-free since traders are provided with virtual funds to conduct their trading. Because of this, traders cannot withdraw any profits which are made on the demo account.

 

Pros and Cons

PROS CONS
Demo account sign-up fully digital It is not clear if the Demo account usually expires after 30-days
MetaTrader 4 offered
Sign-up completed in minutes

 

You might also like: EGM Securities Review

You might also like: EGM Securities Account Types Overview

You might also like: EGM Securities Fees and Spreads

You might also like: EGM Securities Islamic Account Overview

You might also like: EGM Securities Minimum Deposit

You might also like: EGM Securities Sign up Bonus

 

FAQ

 

What is the difference between a demo and live trading account?

 

A demo account offers the use of virtual funds instead of actual capital. This allows for risk-free trading as well as exploring of both the broker’s offer and the trading platform. A demo account can be used for a variety of reasons including practice trading, testing trading strategies, exploring platforms and offers, and more.

 

Does EGM Securities offer a demo account?

Yes.

 

For how long is the demo account valid?

It is not indicated on the website for how long the demo account is valid.

 

Which live trading accounts does EGM Securities offer?

EGM Securities offers an Executive and Premiere live account as well as an Islamic Account for Muslim Traders.

 

What are the available deposit currencies for a live trading account?

EUR, USD, GBP, AED.

A review about EGM Securities demo account

EGM Securities Account Types

Fresh Unique Article to increase your trading knowledge: EGM Securities Account Types

A review about EGM Securities account types
 

EGM Securities is a new online broker situated in Nairobi, Kenya. It was founded in 2016 and runs a Non-Dealing Desk (NDD). This means it provide direct access to Interbank market exchange rates.

Choose your quick section of our EGM Securities below.

A Quick Overview of our EGM Securities Account types Reviewed:

With EGM Securities traders can trade in a number of financial instruments, like over 60 currency pair, precious metals, indices, commodities, CFDs, and many more.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Securities at a glance

Broker’s Name EGM Securities
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Withdrawal Options ·         Bank Transfers

·         Credit/Debit Cards

·         Neteller

·         Skrill

·         Mobile Payment Solutions

Platform Types MetaTrader 4
OS Compatibility Web browsers, windows, PC, Mac, Android, iOS
Tradable Assets ·         60 currency pair

·         Precious metals

·         Indices

·         Commodities

·         CFDs, and more.

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/6

 

EGM Securities Overview

Trade executions are done by using either Straight Through Processing (STP) or Electronic Communications Network (ECN), or in many instances, both.

The broker is part of a broader group of brokers licensed in the United Kingdom, Jordan, the UAE and Australia.

EGM Securities offers trading through the globally known MetaTrader 4 with a choice of two account types, an Executive and a Premiere account. It also provides a free demo account as well as a Swap-free account.

In addition, the broker provides educational and research tools to support first time traders as well as the more experience trader.

 

EGM Securities Account Types

With EGM Securities traders can choose between opening an Executive or a Premiere account. Beginner traders can also open a demo account and trader of the Muslim faith, a Swap-free account.

 

EGM Securities Account Features

Premiere Account

This account has the following features:

  • Minimum deposit: $ 100
  • Typical spreads: Start from 0.2 pips
  • Minimum trade size: 0.01 lot
  • Maximum volume per singe trade: 150 lots for Majors
  • Commission: USD 70 per USD 1 million on Forex and USD 7.0 per 1 standard lot round turn on precious metals
  • 24/6 customer support

 

Executive Account

This account has the following features:

  • Minimum deposit of $ 15
  • Spreads starting at 1.6 pip
  • Minimum trade size of 0.01 per lot
  • Maximum volume per single trader is 150 lots for Majors
  • No commission charges
  • 24/6 customer support.

 

Clients using either of these accounts can trade in 66 currency pairs, 6 precious metals, 37 CFD instruments and in over 150 shares.

 

Islamic Account

Muslim traders who follow the Sharia law have the option to open an Islamic Account with EGM Securities.

Traders have to first open a live account before changing the account to an Islamic Swap-Free account. They need to complete the registering process and then agree to the Swap-free terms and conditions before the account is changed.

With an Islamic Swap-free account, Muslim clients have an additional swap-free option without being charged during overnight positions of swaps or rollover interests.

There are terms and conditions in place if you have a live account and want to change it to a swap-free account. Clients should contact the broker’s Clients Support team for the correct procedure.

Traders applying for an Islamic account should receive a reply within 1 to 2 business days. Since the demo account offers the same features as the live account, it is likely that the Islamic Account will also have the same features.

 

Demo Account

EGM Securities provide traders with the option to open a Demo Account which can be utilized in many ways, including, but not limited to the following:

A practice account in a risk-free environment for beginner traders who wish to improve their trading skills by utilising the virtual funds provided.

Traders who want to compare and evaluate brokers can explore the trading conditions that is on offer with EGM Securities in a risk-free environment.

Traders, beginner or experienced, who wish to test their trading strategies in a mimicked live trading environment without risking their capital.

 

To sign up for an EGM Securities’ demo account is fully digitalized and hassle free. To open the account is free and normally traders can use the demo account for a period of 30 days. It is not clear on EGM Securities’ website for how long the demo account is valid.

With the demo account, trader can practise trading without any risk involved by using the same features as the live account type.

Registering for an account can be done within a few minutes. As soon as the trader is registered, they can download the MetaTrader 4 platform and commence with trading.

 

Islamic Account

An Islamic Account caters specifically for Muslim traders who follow the Sharia law. The law prevents its followers from paying any type of interest, such as overnight fees.

Overnight fees are charged should traders hold positions open for longer after the trading day has concluded. This type of account allows absolution from such fees, or interest, should they hold positions open for longer.

These specifications for opening an Islamic Account are offered by EGM Securities to Muslim traders who follow the Sharia law. Most of the features offered on the Islamic account is the same as offered on the two live account types, like the minimum deposit, spreads, commissions, deposits, and withdrawals.

If more information is required on the feature of an Islamic account and how to open one, potential clients can contact customer services.

Traders need to verify the details of the account with EGM Securities if interested in registering for an Islamic account as conditions may have changed from the time of writing.

These changes are as per the broker’s discretion and/or changes in market conditions.

 

Pros and Cons

PROS CONS
Commission-free trading offered on the Executive account Only two live account types offered
Demo account offered Fixed spread accounts not offered
Islamic account offered
MetaTrader 4 offered
No deposit fees charged
Regulated by CMA
Segregated client funds used

 

You might also like: EGM Securities Review

You might also like: EGM Securities Demo Account – Step by Step

You might also like: EGM Securities Fees and Spreads

You might also like: EGM Securities Islamic Account Overview

You might also like: EGM Securities Minimum Deposit

You might also like: EGM Securities Sign up Bonus

 

FAQ

 

Trading environment

 

How many instruments can I trade with EGM Securities?

You can trade the following financial instruments:

60 currency pair

Precious metals

Indices

Commodities

CFDs, and more

 

Which platforms are supported by EGM Securities?

MetaTrader 4.

 

Does EGM Securities offer leverage?

Yes. Leverage of up to 1: 400.

 

What spreads can I expect with EGM Securities?

You can expect spreads that typically start from 0.2 pips.

 

Does EGM Securities charge commission?

No. EGM Securities offers commission-free trading apart from the Premiere Account where a commission of $ 7 per standard lot round turn is charged.

It is unclear whether Islamic account holders are subjected to the same commission charges. Traders must verify this information with the broker as it is not stated on the website.

 

Are there additional charges on the Islamic account?

Not that can be seen from EGM Securities’ website.

 

Is EGM Securities regulated?

Yes. EGM Securities is regulated by CMA.

 

Is EGM Securities a recommended forex trading broker for experts and beginners?

Yes. EGM Securities offers a trading environment for both beginners and expert traders.

 

What is the overall rating out of 10 for EGM Securities?

7/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account offers the use of virtual funds instead of actual capital. This allows for risk-free trading as well as exploring of both the broker’s offer and the trading platform.

A demo account can be used for a variety of reasons including practice trading, testing trading strategies, exploring platforms and offers, and more.

 

Does EGM Securities offer a demo account?

Yes. The broker does offer a demo account that has the same features as the live account.

 

For how long is the demo account valid?

There is no indication on the website for how long a demo account is valid, but most brokers usually offer it for 30 days.

 

Does EGM Securities offer the option of an Islamic Account?

Yes. EGM Securities offers the option of an Islamic Account for traders of the Muslim faith.

 

Which live trading accounts does EGM Securities offer?

EGM Securities offers and Executive Account and a Premiere Account as well as the Swap-free Account for Muslim Traders.

 

What are the available deposit currencies for a live trading account?

EUR, USD, GBP, AED.

 

Deposits and withdrawals

 

What is the minimum deposit for EGM Securities?

$ 15.

 

How do I make a deposit and withdrawal with EGM Securities?

Bank Transfers

Credit/Debit Cards

Neteller

Skrill

Mobile Payment Solutions

 

Does EGM Securities charge withdrawal fees?

No. EGM Securities does not charge any withdrawal fees apart from international withdrawals through bank wire transfer where the charge is 1650 KES or $ 16.50.

 

How long does it take to make a withdrawal?

Transaction times depend on the payment methods used. For domestic withdrawals the time frame is between 1 – 3 business days and for international withdrawals between 3 – 5 business days.

A review about EGM Securities account types

EGM Securities Reviewed

Fresh Unique Article to increase your trading knowledge: EGM Securities Reviewed

A review about EGM Securities
 

EGM Securities runs a Non-Dealing Desk (NDD) which means it provide direct access to Interbank market exchange rates. Trade executions are provided by using Straight Through Processing (STP). Traders can trade on the MetaTrader 4 platform with a choice between two live account types.

Choose your quick section of our EGM Securities below.

A Quick Overview of our EGM Securities Review:

EGM Securities give traders the opportunity to trade various financial markets, such as over 60 currency pair, precious metals, indices, commodities, CFDs, and more.

Overall Rating

4.8/5

Rated #76 of
Recommended FX Brokers

Min. Deposit

USD 100

Regulators

CMA

Trading Desk

MetaTrader 5

Crypto

Yes

Total Pairs

Islamic Account

Yes

Trading Fees

Low

Account Activation Time

24 Hours

EGM Markets at a glance

Broker’s Name EGM Markets
Headquartered Nairobi, Kenya
Year Founded 2016
Regulating Authorities CMA
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1: 400
Minimum Deposit $ 15
Deposit Options Bank Transfers, Credit/Debit Cards, Neteller, Skrill, Mobile Payment Solutions
Withdrawal Options Bank Transfers, Credit/Debit Cards, Neteller, Skrill, Mobile Payment Solutions
Platform Types MetaTrader 4
OS Compatibility Windows, Linux, MacOS, Android, iOS
Tradable Assets Web browsers, Windows, Desktop, Android, iOS
Languages supported on Website 60 currency pair, Precious metals, Indices, Commodities, CFDs, and more.
Customer Support Languages English
Customer Service Hours English

 

Who is EGM Securities?

According to research in South Africa, EGM Securities is an online forex trading company based in Kenya. The company was founded in 2016 and headquarters in Nairobi

The broker is part of a broader group of brokers licensed in the United Kingdom, Jordan, the UAE, and Australia.

The broker also provides sufficient educational tools as well as research tools to assist with the day-to-day trading.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

EGM Securities is regulated and authorised through Capital Markets Authority (CMA) in Kenya. CMA is the Government Regulator of Kenya charged with licensing and regulating the capital markets.

Other companies in the group are regulated in the UK by the UK’s Financial Conduct Authority (FCA). In Jordan it is regulated by the Jordan Securities Commission (JSC) and in Dubai, by the UAE’s Securities and Commodities Authority (SCA).

Client’s funds are kept in segregated accounts and is not mixed with the company’s own funds.

 

Pros and cons

PROS CONS
Educational and research tools offered Few choices of account types
Low minimum deposit requirement US clients not accepted
MetaTrader 4
Regulated

 

Leverage

EGM Securities offers a fixed leverage up to 1: 400 on FX pairs and 1: 200 on indices.

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

Traders are at risk of incurring losses which may exceed their initial deposit, leading to a negative balance on their trading account if the trader does not have the benefit of negative balance protection.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

EGM Securities offer traders a choice between two live account types, and Executive and a Premiere account. It also allows traders to open a free demo account as well as a Swap-free account.

 

Executive Account

Traders can expect the following features with this account:

  • Minimum deposit: $ 15
  • Typical spreads: Start from 1.6 pips
  • Minimum trade size: 0.01 lot
  • Maximum volume per single trade: 150 lots for Majors
  • Commission: No commission charged:

 

Premiere Account

  • With this account the following features can be expected:
  • Minimum deposit: $ 100
  • Typical spreads: Start from 0.2 pips
  • Minimum trade size: 0.01 lot
  • Maximum volume per singe trade: 150 lots for Majors
  • Commission: USD 70 per USD 1 million on Forex and USD 7.0 per 1 standard lot round turn on precious metals

 

On both the accounts traders can trade in 66 currency pairs, 6 precious metals, 37 CFD instruments and in over 150 shares.

 

Demo Account

In addition to the account types offered, EGM Securities also offers traders with the option of registering a demo account. Traders must note, however, that there may be a time limit on the availability of the demo account.

 

Islamic Account Option

EGM Markets offers Muslim traders with the option of converting their live trading account into an Islamic Account or a Swap Free account. With this account a client is not charged or credited with swaps or overnight fees when trading positions are kept open for longer after the trading day has concluded.

If you wish to convert your existing account to a swap free account, contact the broker’s Client Support team.

 

Market instruments

At EGM Securities traders can trade in 66 currency pairs, 6 precious metals, 37 CFD instruments and in over 150 shares (UK, EU, and US).

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

The minimum deposit required to open an account with EGM Securities is $ 15 on the Executive Account.

On the Premiere account spreads start at 0.2 pips per standard lot on the EURUSD currency pair. On the Executive account, spreads are 1.6 pips per standard lot for the same currency pair.

EGM Securities does not charge commission on the Executive account but a commission of $ 7 per standard lot round turn is charged on the Premiere account.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

EGM Securities does not charge deposit or withdrawal fees apart from an international withdrawal through bank wire transfer where the charge is 1650 KES or $ 16.50. Traders may, however, be subjected to fees charged by their bank for transactions.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

 

EGM Securities offers traders with a variety of ways through which deposits and withdrawals can be made, including:

Bank Transfers

Credit/Debit Cards

Neteller

Skrill

Mobile Payment Solutions

 

The currencies that can be used in USD, EUR, GBP, and AED.

Transaction times depend on the payment methods used. For domestic withdrawals, the period is between 1 – 3 business days and for international withdrawals between 3 – 5 business days.

The broker does not accept or make a third-party payment and funds must be deposited and withdrawn from the same account that was originally registered with the broker.

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform.

EGM Securities offer trading on the globally known MetaTrader 4 which is available on web, desktop, Android, and iOS devices.

 

MetaTrader 4

Some of the features offered with MT4 are:

  • Trading skills development
  • Web and mobile trading
  • Structured data available via charting package
  • Expert Advisors (EAs) available
  • A broad range of tradable pairs
  • Responsible leverage
  • Research and analysis tools
  • Multilingual customer support
  • Technical indicators for you to make data-driven decisions
  • Clients support 24/6

 

How to open an account

To open an account with EGM Securities, traders can select the option to ‘Open an account’ from the homepage. This will redirect to a new page containing a digital application. Traders can complete the form by filling in all the required fields before continuing.

Traders will receive a verification email on the address that they provided. Once traders click on ‘Verify your email’, they will be redirected back to the broker’s website where traders can complete their registration.

Traders must provide a proof of ID along with proof of address and complete their economic profile before their registration can be completed. This forms part of a ‘Know Your Client’ (KYC) process as part of Anti-Money Laundering (AML) procedures with which brokers must comply to ensure the safety and security of traders.

 

Customer support

EGM Securities can be contacted 24/6 either by making use of the Live Chat function, which is present throughout the website, by telephone, or by email.

EGM Securities also has a FAQ section which can be consulted should traders need assistance.

 

Education

EGM Securities offers traders a choice between various educational tools. Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Under the Academy link the following educational tools can be found:

Glossary

Videos

Webinars

Guides

Infographics

FAQ

Seminars

Market Research

 

Research

Research tools help traders in their activities in addition to helping them hone their skills in making informed trading decisions. EGM Securities offers traders the use of an Economic Calendar, trading calculators and a newsroom with latest news, articles, market wrap up and technical views.

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. EGM Securities does not have any awards or recognition listed on the broker website yet.

 

Conclusion

EGM Securities is a new broker that offers a choice between several trading instruments on the MT4 platform which is the preferred platform of most traders.

Although the broker only offers two live account types it also offers a free demo account and traders of the Muslim faith can open a Swap-free account.

The broker is regulated through CMA, the local regulatory body in Kenya and funds are kept in segregated accounts.

In addition, the broker offers educational and research tool to assist beginner as well as more experiences traders.

EGM securities has other positive features like cross-device and cross-platform trading, data-driven decision making through charting packages, Expert Advisors (EAs), and technical indicators.

 

Disclaimer

Before deciding to trade with EGM Securities, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

The broker warns clients that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors. Margined Forex and CFD trading are leveraged products and can result in losses that exceed deposits.

Ensure you understand the risks and be sure to manage your risk exposure effectively. EGM Securities does not provide any investment advice.

The broker warns that margin trading involves the potential for profit as well as the risk of loss. Movements in the price of foreign exchange and commodities are very unpredictable, and the broker cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

 

Trading environment

 

How many instruments can I trade with EGM Securities?

You can trade any of the following:

60 currency pair

Precious metals

Indices

Commodities

CFDs, and more

 

Which platforms are supported by EGM Securities?

MetaTrader 4.

 

Does EGM Securities offer leverage?

Yes. EGM Securities offers leverage up to 1: 400.

 

What spreads can I expect with EGM Securities?

Spreads typically start from 0.2 pips EUR/USD.

 

Does EGM Securities charge commission?

No. EGM Securities offers commission-free trading except for the Premiere Account where a commission of $ 7 per standard lot round turn is charged.

 

Is EGM Securities regulated?

Yes. EGM Securities is regulated by CMA.

 

Is EGM Securities a recommended forex trading broker for experts and beginners?

Yes. EGM Securities caters for both beginners and experts.

 

What is the overall rating out of 10 for EGM Securities?

7/10.

 

ACCOUNTS

 

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

 

Does EGM Securities offer a demo account?

Yes.

 

How long is the demo account valid?

There is no indication on the website for how long a demo account is valid, but most brokers usually offer it for 30 days.

 

Which live trading accounts does EGM Securities offer?

EGM Securities offers traders with a choice between the following live trading accounts:

EGM Securities offers two live trading accounts namely a Premiers and an Executive account. Muslim traders also have the option to open a live Islamic Swap/Free account.

 

What are the available deposit currencies for a live trading account?

USD, EUR, GBP, and AED.

 

DEPOSITS AND WITHDRAWALS

 

What is the minimum deposit for EGM Securities?

$ 15.5.

 

How do you make a deposit and withdrawal with EGM Securities?

You can use any of the following:

Bank Transfers

Credit/Debit Cards

Neteller

Skrill

Mobile Payment Solutions

 

Does EGM Securities charge withdrawal fees?

No. EGM Securities does not charge any withdrawal fees apart from international withdrawals through bank wire transfer where the charge is 1650 KES or $ 16.50.

 

How long does it take to make a withdrawal?

Transaction times depend on the payment methods used. For domestic withdrawals, the period is between 1 – 3 business days and for international withdrawals between 3 – 5 business days.

A review about EGM Securities

Directa Simpa Reviewed

Fresh Unique Article to increase your trading knowledge: Directa Simpa Reviewed

A review about Directa Simpa
 

The purpose of Directa’s inception is to allow individuals to operate directly from their personal computers and now on their handheld devices on the financial markets with an immediate execution of their orders at reduced costs.

Choose your quick section of our Directa Simpa below.

A Quick Overview of our Directa Simpa Review:

Directa has activated its online trading system via the Internet in December 1998 as an entirely proprietary platform that has been continuously refined over time.

 

Directa Simpa at a glance

Broker’s Name Directa Simpa
Headquartered Torino, Italy
Year Founded 1995/1996
Regulating Authorities Not indicated
Countries not accepted for trade Not indicated
Demo Account Yes
Islamic Account (Swap Free) No
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage Not indicated
Minimum Deposit Not indicated
Deposit Options Not indicated
Withdrawal Options Not indicated
Platform Types dLite, Darwin 2.0 Online Trading Platform
OS Compatibility Web, iOS, and Android
Tradable Assets Shares, bonds, funds, ETFs, and certificates
Languages supported on Website English, Italian, Czech, and German
Customer Support Languages English, Italian, Czech and German
Customer Service Hours 24/5

 

Who is Directa Simpa?

According to research in South Africa Directa Simpa is the pioneer of online trading in Italy that was founded in 1995 and has been operational since March 1996.

The purpose of Directa’s inception is to allow individuals to operate directly from their personal computers and now on their handheld devices on the financial markets with an immediate execution of their orders at reduced costs.

It began operations in 1996 with a proprietary non-Internet system, making it the first telematic broker in Italy and one of the first in the world, but has since specialised to meet the needs of active investors (day traders and scalper).

Customers with Directa can trade on the Milan Stock Exchange (equities, derivatives, and fixed income securities), NYSE, NASDAQ, OTC, AMEX, CME, Eurex, Frankfurt’s XETRA, Cboe Europe and the Forex market, via LMAX Exchange.

Directa has activated its online trading system via the Internet in December 1998 as an entirely proprietary platform that has been continuously refined over time.

Today, these Directa platforms that were internally developed, is available free and do not require installing any software. They are compatible with all major operating systems.

Over 18 000 users trust their online trading operations with Directa’s trading tools, apps, and platforms.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like Directa Simpa, is to establish which regulating authorities are watchdogs over its actions.

The Directa Simpa website does not give any indication that the broker is regulated by a reputable authority but guarantees provided by Italian law in the event of the bank’s bankruptcy are up to € 20,000 for each account.

Directa however has one of the safest Firewall systems possible, and Standard SSL (Secure Socket Layer) 128-bit encryption is used to protect customer passwords.

Additionally, the client may mark more than one computer with an identification code issued by the Directa server, preventing any other from connecting to the account even with the correct access code and password.

Finally, it is not possible to order money transfers to accounts that are not in the client’s name or as specifically indicated in the contract.

 

Pro and cons

PROS CONS
Advanced services for professional trading No evidence of reputable regulation
Forex and CFD derivatives trading system No information on leverage etc.
More than 10 000 financial instruments Little information on broker services
Professional trading platforms
Simple, dynamic, or variable commission

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

Although Directa Simpa mentions the possibility of buying and selling securities by utilizing the financial leverage, the website does not provide any information on leverage ratios.

 

Accounts

A forex account at Directa Simpa is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

 

Directa Simpa offers the following types of accounts:

 

Demo Account

This account can be opened for free with the platform that best suits your needs. You will have a virtual liquidity of € 100 000 available for 15 days.

 

Directa Account at Zero Costs

With Directa it is possible to carry out trading/investing operations while keeping money and securities in an ordinary account held at one of Directa’s partner banks throughout the country.

This account has zero account opening or closing costs, no monthly or annual management fees, zero securities custody and administration costs and no liquidity transfer costs charged to the Customer.

No fees are charged for the use of proprietary platforms and zero fees for access to markets.

There is no stamp duty on liquidity also for amounts exceeding € 5 000 average per year.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

Directa Simpa offers the following of the above: Shares, bonds, funds, ETFs, and certificates. In addition to the trading on Italian stocks, on European Blue Chips and on the American markets, Directa also offers crowdfunding and trading at no cost on a wide range of listed funds, ETFs, and Certificates.

 

Fees

Cost depends on several factors, like spread and margins, and Directa Simpa clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

Trading fees seem to be charged according to an intricate system and is set out in detail, although a bit incomprehensible, on the broker’s website.

From July 2020 for all Directa customers, zero commissions are applicable on the ETP 21SHARES with underlying Bitcoin listed on Xetra, both for opening long or short positions.

Bitcoin ETPs aim to replicate the performance of Bitcoin. The minimum trade value of the order to benefit from the promotion is € 500.

From May 2020 for all Directa customers, zero commissions apply on a selection of RIZE ETFs.

RIZE is the first self-styled specialist thematic Exchange Traded Fund issuer. Rize ETF focus on thematic Exchange Traded Funds (ETF), offering investors exposure to emerging megatrends.

The broker’s accounts have zero account opening or closing costs, no monthly or annual management fees, zero securities custody and administration costs and no liquidity transfer costs charged to the Customer.

No fees are charged for the use of proprietary platforms and zero fees for access to markets.

There is no stamp duty on liquidity also for amounts exceeding € 5 000 average per year.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of Directa Simpa no information could be obtained at the time of writing about minimum requirements or payment methods to fund accounts.

 

Trading platforms

The forex trading platform provided by Directa Simpa to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

 

Directa Simpa provides the following platforms:

 

dLite

This is a simple and intuitive platform, compatible with all operating systems and available for all modern PCs, tablets, and smartphones. It offers a single trading environment with operational modules as well as data visualisation tools, customisable according to a customer’s needs.

 

Darwin 2.0 Online Trading Platform

The advanced professional online stock trading platform is complete with every feature a trader may ever need. The investor has in a single trading environment, many operational trading modules as well as data visualisation tools.

 

How to open an account

Similarly, to a bank, to register a forex trading account with Directa Simpa for the first time, you will be required to go through a basic “know your customer” process, which will allow Directa Simpa to ascertain that your submitted details and ensure the safety of your funds and account details.

With Directa Simpa the process entails a standard procedure and can be initialised from the website.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of Directa Simpa customers can reach the support team via phone and email.

 

Education

Before starting to trade, potential clients of Directa Simpa should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

Directa Simpa offers platforms with technologically advanced features, including guidance on how to use it to trade successfully.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With Directa Simpa they have access to basic reviews, analysis, and news.

 

Awards

Being an awarded company instils extra confidence by traders.  Although Directa Simpa is acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion  

Directa Simpa can be described as the pioneer of online trading in Italy and one of the first telematic brokers in Italy and in the world.

Directa customers can trade on the Milan Stock Exchange (equities, derivatives, and fixed income securities), NYSE, NASDAQ, OTC, AMEX, CME, Eurex, Frankfurt’s XETRA, Cboe Europe and the Forex market, via LMAX Exchange.

The broker’s platforms were internally developed, are available free and do not require installing any software. They are compatible with all major operating systems.

Simple, dynamic, or variable commission is available, more than 10 000 financial instruments can be traded, and advanced services are provided for professional trading.

 

Disclaimer

Directa Simpa warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Directa Simpa, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Directa Simpa warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence Directa Simpa cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

 

Trading environment

 

How many instruments can I trade with Directa Simpa?

You can trade several different instruments with Directa Simpa, which include the following:

Shares

Bonds

Funds

ETFs

Certificates

 

Which platforms are supported by Directa Simpa?

Directa Simpa provides the following trading platforms:

dLite

Darwin 2.0 Online Trading Platform

 

Does Directa Simpa offer leverage?

No information available whether Directa Simpa offers leverage.

 

What spreads can I expect with Directa Simpa?

Since details on the website are not comprehensive, more information should be obtained from the customer support service.

 

Does Directa Simpa charge commission?

Dynamic or variable commission is available and more information on commissions can be obtained from the customer support service.

 

Is Directa Simpa regulated?

No, Directa Simpa seems not to be regulated by any reputable authorities.

 

Is Directa Simpa a recommended forex trading broker for experts and beginners?

Directa Simpa offers a fair-trading environment for all types of traders.

 

What is the overall rating out of 10 for Directa Simpa?

5/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

 

Does Directa Simpa offer a demo account?

Yes.

 

How long is the demo account valid?

The demo account can be used for 15 days.

 

Which live trading accounts does Directa Simpa offer?

Directa Account at Zero Costs.

 

What are the available deposit currencies for a live trading account?

USD, EUR.

 

Deposits and withdrawals

 

What is the minimum deposit for Directa Simpa?

Not indicated.

 

How do you make a deposit and withdrawal with Directa Simpa?

Directa Simpa does not give a clear indication of what payment methods can be used for funding accounts or execute withdrawals.

 

Does Directa Simpa charge withdrawal fees?

No, but fees from financial institution may apply.

 

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

A review about Directa Simpa

CWOption Reviewed

Fresh Unique Article to increase your trading knowledge: CWOption Reviewed

A review about CWOption
 

CWOption​ is a b-book broker (market maker) and offers forex trading of currencies, indices, shares and commodities – binary options only – via mobile and web trading platforms. CWOption is unregulated.

Choose your quick section of our CWOption below.

A Quick Overview of our CWOption Review:

CWOption belongs to NYT Consultants LTD and offers many benefits for its clients including promotions, welcome and trading bonuses.

 

CWOption at a glance

Broker’s Name CWOption
Headquartered St. Vincent and the Grenadines with offices in United Kingdom
Year Founded 2015
Regulating Authorities No regulation
Countries not accepted for trade United States
Demo Account Yes
Islamic Account (Swap Free) Not indicated
Institutional Accounts No
Managed Accounts No
Maximum Leverage Not indicated
Minimum Deposit $250
Deposit Options Credit/debit cards, wire transfer, WebMoney, Carte Bleue, Neteller, Skrill
Withdrawal Options Credit/debit cards, wire transfer, WebMoney, Carte Bleue, Neteller, Skrill
Platform Types SpotOption
OS Compatibility Web, iOS, and Android
Tradable Assets Currencies, commodities, stocks, indices
Languages supported on Website English, Dutch and Spanish.
Customer Support Languages English, French, German, Italian, Spanish, Dutch
Customer Service Hours 24/5

 

Who is CWOption?     

According to research in South Africa CWOption (Capital World Option) is a forex binary broker founded in 2014 and headquartered in St. Vincent and the Grenadines with offices in other countries like the United Kingdom.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like CWOption, is to establish which regulating authorities are watchdogs over its actions.

CWOption is registered in St. Vincent and the Grenadines but is owned and operated by NYT Consultants LTD. that is registered in United Kingdom.

Although not properly regulated, this company is committed to provide a reliable and convenient trading platform, high quality trading services and SSL encryption protocol is applied in addition to other secure systems to ensure the safety of transactions and funds.

It follows Anti Money Laundering (AML) regulations by strict monitoring over transactions.

 

Pro and cons

PROS CONS
Excellent 24 hours customer service Minimum trade size is steep for traders with small accounts
Provide mobile and web trading platforms Unregulated and offshore broker
Regular promotions and bonuses
Several payment methods available
Specialised daily and weekly reviews of the market

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

It is not clear from information on the website whether CWOption offers a leverage ratio.

 

Accounts

A forex account at CWOption is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

CWOption offers the following types of accounts:

 

Micro Accounts

This account requires a minimum deposit of $250 and is designed for beginner traders with little capital. It offers a minimum transaction size of $10 and traders do not receive the same benefits as other accounts.

However, they have access to daily market reports and analysis, as well as tutorials and video tutorials on general trading and binary options.

 

Mini Accounts

This is an account type for traders with little experience but a higher level of capital to trade in the binary options market and requires a minimum deposit of $500.

It offers the same services and benefits as Micro accounts, including daily trading advice and recommendations, as well as remote support from the CWOption trading room.

 

Standard Accounts

This is CWOption’s regular trading account, designed for intermediate level traders with a higher level of capital and trading experience with binary options and requires a minimum deposit of $1 000.

It includes all benefits of the Micro and Mini accounts along with more underlying assets like commodities, indexes, and shares to trade with binary options. Traders can enjoy VIP spreads, personal training, and improved trading conditions.

 

Gold Account

With a minimum deposit of $5 000 this type of account is for professional traders with an elevated level of trading experience with binary options. In addition to the services and benefits of Standard accounts, it also offers fixed spreads, higher payments for options expired and a personal account manager.

Traders with a Gold account receive numerous exclusive offers, including trading signals from outside suppliers.

 

Platinum Account

This is an account for VIP clients and requires a minimum deposit of $20 000. It offers many additional services, such as higher payments for options that expire, a VIP account manager, analysis and personalised reports of the market, trading platforms with all functions enabled and more.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

CWOption offers an ample variety of assets to trade – more than 57 stocks, currencies, indices, and commodities.

 

Fees

Cost depends on several factors, like spread and margins, and CWOption clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

CWOption charges fees of $25 for wire transfers but no other fees for withdrawals.  There are also no minimum thresholds.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

 

In the case of CWOption the following minimum deposits are required to open accounts:

Micro Accounts – $250

Mini Accounts – $500

Standard Accounts – $1 000

Gold Account – $5000

Platinum Account – $20 000

 

A $25 charge is applicable to wire transfer fees, but no other fees are charged.

Credit/debit cards, wire transfer, WebMoney, Carte Bleue, Neteller or Skrill can be used to fund accounts or withdraw money.

 

Trading platforms

The forex trading platform provided by CWOption to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

CWOption provides SpotOption, which is a popular binary options trading platform and traders can trade on their desktop, or laptop since the platform is based on the Web, which offers the advantage of requiring no download or installation.

It can be accessed from anywhere with an Internet connection through the CWOption website and is characterised by a comprehensive and user-friendly interface, which allows to trade easily with High/Low, One Touch and other options types based on the financial instruments offered by the broker.

It also sports several features designed to manage the positions that allow to acquire new options and track active trades.

 

How to open an account

Similarly, to a bank, to register a forex trading account with CWOption for the first time, you will be required to go through a basic “know your customer” process, which will allow CWOption to ascertain that your submitted details and ensure the safety of your funds and account details.

With CWOption the process can be initialised and completed from the website, providing the trader has all the necessary documentation and identification.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of CWOption customers can reach the support team via a web form, telephone, live chat, email, or paper mail.

The live chat service is available 24/5.

 

Education

Before starting to trade, potential clients of CWOption should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

Their clients can use beneficial educational materials to enhance their trading skills and knowledge.

CWOption offers basic articles, lots of videos, FAQ, a glossary and coaching from its Education Center.

In that section of the site, you will find a large assortment of videos in various categories that can provide you with training in technical and fundamental analysis.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With CWOption you can make use of social trading, get market reviews, signals, double up or rollover.

 

Awards

Being an awarded company instils extra confidence by traders.  Although CWOption is acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion

CWOption is not perfect but offers commendable services.  Its minimum trade size is quite steep for those with small accounts, but some excellent features make up for these deficiencies, like an unrestricted demo account and friendly withdrawal terms.

The broker provides quick and safe payment methods and has innovative and helpful customer support services. They offer attractive and profitable affiliate plan as well as bonuses and promotions.

 

Disclaimer

CWOption warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with CWOption, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

CWOption warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence CWOption cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

 

Trading environment

 

How many instruments can I trade with CWOption?

You can trade several different instruments with CWOption, which include the following:

Currencies

Commodities

Stocks

Indices

 

Which platforms are supported by CWOption?

CWOption provides the following popular trading platforms:

SpotOption

 

Does CWOption offer leverage?

Information on leverage options is not clear.

 

What spreads can I expect with CWOption?

The CWOption website offers incomplete information on spreads and more information can be obtained from the customer support service.

 

Does CWOption charge commission?

More information on commissions can be obtained from the customer support service.

 

Is CWOption regulated?

No, CWOption is currently not regulated.

 

Is CWOption a recommended forex trading broker for experts and beginners?

CWOption offers a fair-trading environment for all types of traders.

 

What is the overall rating out of 10 for CWOption?

5/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

 

Does CWOption offer a demo account?

Yes.

 

How long is the demo account valid?

The demo account can be used with no limits.

 

Which live trading accounts does CWOption offer?

Micro

Mini

Standard

Gold

Platinum

 

What are the available deposit currencies for a live trading account?

USD, Euro, Great Britain pound.

 

Deposits and withdrawals

 

What is the minimum deposit for CWOption?

$ 250.

 

How do you make a deposit and withdrawal with CWOption?

CWOption offers the following deposit methods:

Credit/debit cards

Wire transfer

WebMoney

Carte Bleue

Neteller

Skrill

 

Withdrawals can be done via:

Credit/debit cards

Wire transfer

WebMoney

Carte Bleue

Neteller

Skrill

 

Does CWOption charge withdrawal fees?

There are fees of $25 for wire transfers but no other fees for withdrawals.

 

How long does it take to make a withdrawal?

All withdrawal requests are processed within 3 business days, but it may take up to 5days for the funds to be visible on an account.

 

A review about CWOption

Credit Suisse Reviewed

Fresh Unique Article to increase your trading knowledge: Credit Suisse Reviewed

A review about Credit Suisse
 

Credit Suisse is an established and reputable Forex broker with an international presence. In their capacity as bankers, Credit Suisse provides several standard services such as personal banking, loans and mortgages, investments, and wealth management.

Choose your quick section of our Credit Suisse review below.

A Quick Overview of our Credit Suisse Review:

Credit Suisse is also involved in many humanitarian and sponsorship projects around the world, most of which are detailed in a company newsletter and online magazine.

 

Credit Suisse at a glance

Broker’s Name Credit Suisse
Headquartered Switzerland/New York
Year Founded 1996/1999
Regulating Authorities None
Countries not accepted for trade No countries mentioned
Demo Account Yes
Islamic Account (Swap Free) No
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage Not applicable
Minimum Deposit No minimum prescribed
Deposit Options Not indicated
Withdrawal Options Not indicated
Platform Types PrimeTradeTM, my Solutions, Merlin, FIX Connectivity
OS Compatibility Web, iOS and Android, Desktop
Tradable Assets Forex, CFDs
Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/7

 

Who is Credit Suisse?

According to research in South Africa Credit Suisse is a banking and investment company stablished in 1996 with headquarters in Switzerland and locations worldwide.

Credit Suisse Asset Management, LLC is a fee-based advisor in New York City established in 1999 that works with high-net-worth individuals and institutional clients. There are around 100 advisors employed, and the firm has more than $71.47 billion in assets under management.

Their website offers prospective customers and current client information is presented in a professional, easy to read style, although it lacks essential information on its services as brokerage.

Credit Suisse is an established and reputable Forex broker with an international presence. In their capacity as bankers, Credit Suisse provides several standard services such as personal banking, loans and mortgages, investments, and wealth management.

Apart from providing personal banking and Forex services, including secure online banking, Credit Suisse claims to provide ‘innovative solutions’ to corporations and governments.

Credit Suisse is also involved in many humanitarian and sponsorship projects around the world, most of which are detailed in a company newsletter and online magazine.

 

The following investment strategies are available at Credit Suisse:

Quantitative Investment Strategies (QIS)

Credit Investments Group

Commodities

Quantitative Trading

Insurance Linked Strategies

 

While Credit Suisse has put a lot of care and detail into giving the consumer a detailed and information-packed website that covers all areas of the company, it can be a little overwhelming and is not always easy to navigate. Apart from this, although the site tells a lot about this esteemed institution, it is difficult to find all the important detail if you want to joint them as a forex trader.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like Credit Suisse, is to establish which regulating authorities are watchdogs over its actions.

There is no information available regarding Credit Suisse regulation.

 

Pro and cons

PROS CONS
Locations and clients worldwide No information on regulation
Reputable Forex broker with an international presence Website lacks information on forex trading
Website looks professional
Well-known banking and investment company

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

The Credit Suisse website does not give any information on what maximum leverage ratio traders can use.

 

Accounts

A forex account at Credit Suisse is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

Credit Suisse provides a variety of algorithmic trading strategies to help reduce market impact, improve performance versus benchmarks and allow clients to focus on the bigger picture.

Access is available through most Foreign Exchange OMS/EMS platforms, via direct FIX integration, as well as via PRIMETrade (Credit Suisse’s Single Dealer Platform), offering seamless algorithmic order submission and execution.

The firm does not list a specific minimum account size but since all the individual clients are classified as high-net-worth, it is likely that a high minimum is required, likely at least $1 million.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

The Credit Suisse website is not clear on what trading asset classes are available for traders who want to make use of its brokerage services.

 

Fees

Cost depends on several factors, like spread and margins, and Credit Suisse clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

Fees at Credit Suisse are based on a percentage of assets under management and fee schedules depend on the strategy used. For QIS, the management fee will be between 0.50% and 1.50%.

For CIG strategies, the fees range from 0.20% to 0.75%. For commodities strategies it ranges from 0.40% to 0.80%. Legacy strategies fees range from 0.39% to 1.50%. The quantitative trading strategy has an annual management fee of 0.75% plus operating cost pass through.

Performance-based fees may also apply.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of Credit Suisse, the following are required:

The firm does not list a specific minimum account size but says it may impose one. Given that all the individual clients are classified as high-net-worth, it is likely that a high minimum is required, likely at least $1 million.

 

Trading platforms

The forex trading platform provided by Credit Suisse to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

Credit Suisse provides the following platforms:

 

PrimeTradeTM

Credit Suisse PrimeTradeTM is a proprietary multi-asset trading platform giving access to futures, foreign exchange, cash treasury and precious metals markets.

 

my Solutions

The Credit Suisse my Solutions portal enables a trader to design, price and trade structured and flow products that are tailored to your needs.

 

Merlin

Credit Suisse Merlin provides the ability to trade a spectrum of vanilla FX options to exotic products and complex strips.

 

FIX Connectivity

Credit Suisse’s FIX infrastructure offers tailored connections to major vendor platforms to support client execution and STP requirements.

 

How to open an account

Similarly, to a bank, to register a forex trading account with Credit Suisse for the first time, you will be required to go through a basic “know your customer” process, which will allow Credit Suisse to ascertain that your submitted details and ensure the safety of your funds and account details.

Customers can open an account by contacting the institution itself.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of Credit Suisse customers can reach the support team via phone or email.

 

Education

Before starting to trade, potential clients of Credit Suisse should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

Credit Suisse does not indicate on its website what educational support is available to traders.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With Credit Suisse they have access to a team of experts, which can assist traders in all their needs.

 

Awards

Being an awarded company instils extra confidence by traders.  Credit Suisse can show several awards accumulated during its years in business. Credit Suisse has won the prestigious ‘Best Private Bank for Entrepreneurs’ award from Professional Wealth Management (PWM) and The Banker for two years.

 

Conclusion

Credit Suisse Asset Management, LLC is a fee-based advisor in New York City established in 1999 that works with high-net-worth individuals and institutional clients. Credit Suisse is a banking and investment company stablished in 1996 with headquarters in Switzerland and locations worldwide.

 

There are around 100 advisors employed, the firm has more than $71.47 billion in assets under management and renders the following kind of services:

Quantitative Investment Strategies (QIS)

Credit Investments Group

Commodities

Quantitative Trading

Insurance Linked Strategies

 

Disclaimer

Credit Suisse warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Credit Suisse, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Credit Suisse warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence Credit Suisse cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

 

Trading environment

 

How many instruments can I trade with Credit Suisse?

You can trade several different instruments with Credit Suisse, which include the following:

Forex

CFDs

 

Which platforms are supported by Credit Suisse?

Credit Suisse provides the following popular trading platforms:

PrimeTradeTM

my Solutions

Merlin

FIX Connectivity

 

Does Credit Suisse offer leverage?

No information on the website.

 

What spreads can I expect with Credit Suisse?

Details on the website is not comprehensive, more information can be obtained from the customer support service.

 

Does Credit Suisse charge commission?

Yes, more information on commissions can be obtained from the customer support service.

 

Is Credit Suisse regulated?

No, Credit Suisse is not regulated.

 

Is Credit Suisse a recommended forex trading broker for experts and beginners?

Credit Suisse offers a fair-trading environment for all types of traders.

 

What is the overall rating out of 10 for Credit Suisse?

6/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

 

Does Credit Suisse offer a demo account?

Yes.

 

How long is the demo account valid?

The demo account can be used unlimited.

 

Which live trading accounts does Credit Suisse offer?

Credit Suisse provides a variety of algorithmic trading strategies.

 

What are the available deposit currencies for a live trading account?

USD, and more.

 

Deposits and withdrawals

 

What is the minimum deposit for Credit Suisse?

None.

 

How do you make a deposit and withdrawal with Credit Suisse?

Credit Suisse offers the following deposit methods:

Bank transfers

Credit cards

 

Does Credit Suisse charge withdrawal fees?

No, but fees from financial institution may apply.

 

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

 

 

 

A review about Credit Suisse

CGS CIMB Reviewed

Fresh Unique Article to increase your trading knowledge: CGS CIMB Reviewed

A review about CGS CIMB
 

CGS CIMB Securities International Pte. is a joint venture between China Galaxy International Financial Holdings Limited and CIMB Group Sdn Bhd. Following the merger, CGS-CIMB is now regulated by the Monetary Authority of Singapore (MAS).

Choose your quick section of our CGS CIMB review below.

A Quick Overview of our CGS CIMB Review:

CGS CIMB has advanced trading features and an award-winning research team helping traders successfully navigate the market.

 

CGS CIMB at a glance

Broker’s Name CGS-CIMB
Headquartered Singapore
Year Founded Not indicated
Regulating Authorities Monetary Authority of Singapore (MAS)
Countries not accepted for trade Not indicated
Demo Account Yes
Islamic Account (Swap Free) Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1:20
Minimum Deposit 100 SGD
Deposit Options Cash payment, online transfer via PayNow, bank transfer, or cheque
Withdrawal Options Cash payment, online transfer via PayNow, bank transfer, or cheque
Platform Types iTrade, MetaTrader 4, Viewpoint
OS Compatibility Desktop, Web, iOS, and Android
Tradable Assets FX, Futures, Wealth management assets, Securities and Bonds
Languages supported on Website English, Chinese
Customer Support Languages English, Chinese
Customer Service Hours 08.30 to 18.00 (SGT) Monday to Friday.

 

Who is CGS-CIMB?

According to research in South Africa CGS-CIMB is a Singapore-based broker offering trading in forex, CFDs, futures, securities, and others.

The broker is headquartered in Singapore, with branches in Kuala Lumpur, Jakarta, Bangkok, London, Mumbai, and South Korea.

CGS-CIMB provides cross-platform trading on the MT4, iTrade and Viewpoint platforms and provides financial instruments to over 2 600 institutional clients and 400 000 retail clients.

CGS-CIMB accepts traders from Australia, Thailand, Canada, United States, United Kingdom, South Africa, Singapore, Hong Kong, India, France, Germany, Norway, Sweden, Italy, Denmark, United Arab Emirates, Saudi Arabia, Kuwait, Luxembourg, Qatar, and most other countries.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like CGS-CIMB, is to establish which regulating authorities are watchdogs over its actions.

CGS-CIMB is a member of Singapore Exchange Limited (SGX) and regulated by the Monetary Authority of Singapore. As per the Securities and Futures Regulations, the broker keeps client funds in segregated trust accounts.

The MAS not only prioritises client fund safety but also strives to educate consumers on the risks of financial services through the MoneySENSE education programme that was thus launched in 2003 to protect investors.

All available platforms use optional two-factor authentication, which enables a One-Time Password when logging in. Data exchange within the platforms are also securely encrypted.

 

Pro and cons

PROS CONS
Dividend payments Limited funding methods
MT4, iTrade, and Viewpoint as platforms No cryptocurrencies
Range of assets to trade No live chat
Tight spreads Only available in SGD or USD

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

For forex products CGS-CIMB offers a maximum leverage ratio of 1:20 and for CFDs on equities, you can leverage up to 1:10. A breakdown of CFD margin requirements is provided on the website.

 

Accounts

A forex account at CGS-CIMB is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

CGS-CIMB offers the following types of accounts:

The broker does not state clearly whether any general demo accounts are available, but it offers a 14-day free trial of the iTrade stocks trading platform, although also not in all jurisdictions.

The account type you choose will depend on the asset you are trading, and, in most cases, traders will need to contact customer service to initiate account opening.

There are three options for forex trading: Mini, Classic, and Accredited Investor. All accounts can only be held in a single base currency of USD or SGD.

  • The Mini account requires a 100 SGD initial deposit, offers spreads from 0.3 pips and a minimum lot size of 0.01 lots and a maximum trading limit of 0.5 lots.
  • The Classic account, aimed at corporate clients, requires a 5 000 SGD initial deposit, 0.1 lots minimum order volume, and offers spreads from 0.7 pips. The maximum order volume is unlimited.
  • The Accredited Investor account is subject to certain requirements and requires a 10 000 SGD initial deposit, has spreads from 0.7 pips, a minimum order volume of 0.1 lots, and an unlimited maximum order volume.

 

CFD investors must open a separate CFD account which uses the Viewpoint platform. The minimum deposit to open this account is 2 000 SGD and spreads are typical from 0.3 pips.

For Securities trading users can choose between a Cash Trading Account (CTA), Margin Trading Account (MTA), or Securities Borrowing and Lending (SBL). Details of these can be requested from customer support.

Islamic Cross-Border Trading solutions are also available on application.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

 

CGS-CIMB offers the following of the above:

Leveraged products – FX currency pairs and synthetic crosses, CFDs, Equity Linked Notes (ELN), and Daily Leveraged Certificates (DLC)

Futures – Commodities, stocks, indices, currencies, interest rates, fixed income, shares, and options

Wealth management assets – Mutual funds and unit trusts

Securities – Stocks, shares, and ETFs

Bonds – Corporate and government

 

Fees

Cost depends on several factors, like spread and margins, and CGS-CIMB clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

CGS-CIMB offers commission-free FX trading with spreads starting as low as 0.3 pips in the starter account and 0.7 pips in the other accounts.

If you are trading FX CFDs, target spreads are 0.36 pips for EUR/USD and 1 pip for FTSE 100. Fees are charged at 0.4 pips. For CFD shares, all-in commissions are charged from 0.20%, plus a 3.75% +/- base rate financing fee.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

 

In the case of CGS-CIMB the following minimum deposit requirements are:

Mini account – 100 SGD.

Classic account 5 000 SGD.

Accredited Investor account – 10 000 SGD.

 

Deposits for the Mini, Classic, or Accredited Investor FX accounts can only be done via digital bank transfer or cheque. The broker does not charge any fees, but bank charges may apply in some cases. Fund deposits are only available in the base currency of the account (SGD or USD) and if deposits are made in a different currency, a non-refundable conversion will be applied.

Funding of the CFD account can be done via cash payment, online transfer via PayNow, bank transfer, or cheque. Traders can only withdraw excess funds in a CFD account if their free equity is more than 2 000 SGD or if there are no open CFD positions.

Withdrawals can take up to 5 days to be processed.

 

Trading platforms

The forex trading platform provided by CGS-CIMB to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

 

iTrade

CGS-CIMB provides a proprietary web-based platform, iTrade, offering real-time pricing, market news, fundamental reporting features, and more. The platform comes with 77 pre-built indicators and drawing tools, plus free access to the intuitive investing tools iScreener, iFilter, and Stock Filter.

Professional users can also opt for iTradePro, with advanced features like customisable strategy analysis, multiple charts and timeframes, back-testing with unlimited combinations, Market Streamers to uncover opportunities, and advanced technical charting tools.

 

MetaTrader 4

MT4 is a favourite among retail and professional forex traders due to low latency and fast execution.  Traders can execute several order types including stop limits and trailing stops, can explore automated strategies and conduct advanced price analysis with dozens of technical indicators and graphics.

 

Viewpoint

Viewpoint, accessible via a desktop browser, is the largest Direct Market Access (DMA) CFD provider, offering access to over 14 000 counters across 20 markets.

It is highly customisable with many widgets for different preferences, a range of powerful charting tools, advanced order management and real-time risk management tools.

CGS-CIMB offers mobile app versions of all its platforms, so users can access their investment portfolios and real-time information from anywhere.

 

How to open an account

Similarly, to a bank, to register a forex trading account with CGS-CIMB for the first time, you will be required to go through a basic “know your customer” process, which will allow CGS-CIMB to ascertain that your submitted details and ensure the safety of your funds and account details.

With CGS-CIMB you may sign up for an account if you are 18 years or older, not an undischarged bankrupt and has no delinquent records with any stockbroking companies in Singapore.

To apply, you must click on the ‘Register’ button on the CGS-CIMB iTrade website and proceed.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of CGS-CIMB customers can reach the support team via email or a telephone hotline but there is no live chat option.

Traders can only contact the broker between 08.30 and 18.00 (SGT) Monday to Friday.

They could also try the broker’s FAQ pages for news and information.

 

Education

Before starting to trade, potential clients of CGS-CIMB should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

CGS-CIMB offers a knowledge centre with fundamental and technical analysis, as well as market news and an IPO library. There is a limited diversity of resources, lacking webinars and e-books.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

 

With CGS-CIMB the iTrade platform comes with the following additional free integrated tools:

iScreener – Equities research dashboard with 4-star risk ratings of stocks

iFilter – Real-time alerts of Big Block Trades and large market movements

Stock Filter – Stock screener across 12 markets to filter trading opportunities

 

The Viewpoint platform also utilises the Thematic Investment Portfolio System (TIPS), a CFD research portal that allows clients to identify market trends and themes.

CGS-CIMB provides daily in-depth research reports and market insights, with which investors can stay up to date with of the latest developments in the respective markets.

 

Awards

Being an awarded company instils extra confidence by traders.  Although CGS-CIMB is acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion

CGS-CIMB allows you to trade securities across various global exchanges from its online and mobile trading platforms. Its fees and commission rates are like those of its competition, but in terms of its range of stock markets, CGS-CIMB offers a slightly smaller mix compared to some brokerages.

 

Disclaimer

CGS-CIMB warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with CGS-CIMB, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

CGS-CIMB warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence CGS-CIMB cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

 

How many instruments can I trade with CGS-CIMB?

You can trade several different instruments with CGS-CIMB, which include the following:

FX

Futures

Wealth management assets

Securities

Bonds

 

Which platforms are supported by CGS-CIMB?

CGS-CIMB provides the following popular trading platforms:

iTrade

MetaTrader 4

Viewpoint

 

Does CGS-CIMB offer leverage?

Yes, CGS-CIMB offers a maximum leverage of 1: 20

 

What spreads can I expect with CGS-CIMB?

CGS-CIMB offers spreads starting as low as 0.3 pips in the starter account and 0.7 pips in the other accounts.

 

Does CGS-CIMB charge commission?

More information on commissions can be obtained from the customer support service.

 

Is CGS-CIMB regulated?

Yes, CGS-CIMB is regulated by the Monetary Authority of Singapore (MAS).

 

Is CGS-CIMB a recommended forex trading broker for experts and beginners?

CGS-CIMB offers a fair-trading environment for all types of traders.

 

What is the overall rating out of 10 for CGS-CIMB?

7/10.

 

Accounts

 

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

 

Does CGS-CIMB offer a demo account?

The broker does not state clearly whether any general demo accounts are available, but it offers a 14-day free trial of the iTrade stocks trading platform in certain jurisdictions.

 

How long is the demo account valid?

Not clearly indicated.

 

Which live trading accounts does CGS-CIMB offer?

  • For forex trading: Mini, Classic, and Accredited Investor
  • CFD investors must open a separate CFD account
  • For Securities trading – a Cash Trading Account (CTA), Margin Trading Account (MTA), or Securities Borrowing and Lending (SBL).

 

What are the available deposit currencies for a live trading account?

SGD or USD.

 

Deposits and withdrawals

 

What is the minimum deposit for CGS-CIMB?

100 SGD.

 

How do you make a deposit and withdrawal with CGS-CIMB?

CGS-CIMB offers the following payment methods:

Cash

PayNow

Bank transfer

Cheque

 

Does CGS-CIMB charge withdrawal fees?

No, but fees from financial institution may apply.

 

How long does it take to make a withdrawal?

Withdrawals can take up to 5 days to be processed.

A review about CGS CIMB

CFI Markets Reviewed

Fresh Unique Article to increase your trading knowledge: CFI Markets Reviewed

A review about CFI Markets
 

CFI Markets is an award winning global financial markets provider with years of experience and regulated entities in several jurisdictions, focused on low spreads, professional services, dedicated support, and powerful tools.

Choose your quick section of our CFI Markets review below.

A Quick Overview of our CFI Markets Review:

CFI Markets LTD is registered in Cyprus and regulated by CySEC, one of the most reputable regulators in the financial world.

 

CFI Markets at a glance

Broker’s Name CFI Markets
Headquartered Cyprus
Year Founded 2012
Regulating Authorities Financial Conduct Authority, UK (FRN: 602588), and CySEC (Licence: 179/12).

CySEC License No. 179/12, FCA Reg. No. 602588, BaFin Reg. No. 1338881, MiFID, ACIIF (CFI Markets Ltd, Company Registration: 303814, CIF licence: 179/12​​​​)

Countries not accepted for trade United States
Demo Account Yes
Islamic Account (Swap Free) Yes
Institutional Accounts Yes
Managed Accounts No
Maximum Leverage 1:200
Minimum Deposit $0
Deposit Options Neteller, Skrill, PayPal, JCC (Master, Maestro and Visa card), Safe Charge, Wire transfer
Withdrawal Options Neteller, Skrill, PayPal, JCC (Master, Maestro and Visa card), Safe Charge, Wire transfer
Platform Types MT4
OS Compatibility Windows, Web, iOS, and Android
Tradable Assets FX, Metals and CFDs
Languages supported on Website English, Arabic
Customer Support Languages English, Arabic
Customer Service Hours 24/5

 

Who is CFI Markets?

According to research in South Africa CFI Markets (Credit Financier Invest) is a forex trading services broker established in 2012 that gives traders access to a wide variety of instruments like currencies, indices, and commodities in several markets.

CFI Financial Group has regulated subsidiaries in London, Larnaca, Beirut, Amman, Dubai, and Port Louis.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like CFI Markets, is to establish which regulating authorities are watchdogs over its actions.

CFI Markets is regulated by the Financial Conduct Authority, UK (FRN: 602588), and CySEC (Licence: 179/12). CFI Markets holds all client funds in a segregated bank account at tier-1 banks. CFI Markets has been established since 2012 and have a head office in Cyprus.

Regulated by CySEC means that the broker is also a member of the Investor Compensation Fund which guarantees each client for up to 20,000 euros. If you cannot get your money due to a situation like a bankruptcy of the company, ICF will compensate you.

 

Pro and cons

PROS CONS
Established in 2012 Account types are not efficient
Minimum deposit from $100 Conditions of payment methods are not useful
Regulated by FCA, CySEC, BaFIN Inactivity fee charged
Segregates client funds Limited range of instruments

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

CFI Markets offers a maximum leverage ratio of 1:200 but this leverage is for professional investors only because leverage has been reorganized under ESMA guidelines in CySEC regulated brokers.

The maximum leverage limit is 1:30 but professional investors can use up to 1: 200.

 

Accounts

A forex account at CFI Markets is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

 

CFI Markets offers four different account types:

 

Micro Account

No minimum deposit

Spreads start from 2.3 pips

 

Hybrid Account

No minimum deposit

Spreads are fixed at 2 pips

 

Elite Account

$25 000 deposit

Spreads are from 0.3 pips + 6 USD/Lot

 

VIP Account

Deposit of $50 000

Spreads from 0.3 pips

Negotiable commission

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

CFI Markets offers over 37 different instruments to trade, including over 27 currency pairs, Metals and CFDs.

 

Fees

Cost depends on several factors, like spread and margins, and CFI Markets clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

CFI Markets charges commission on the VIP Account and either fixed or variable spreads on the other accounts.

Spreads on the VIP account starts from 0.3 pips plus negotiable commission, Micro Account spreads start from 2.3 pips, Hybrid Account spreads are fixed at 2 pips and Elite Account spreads start at 0.3 pips.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of CFI Markets the following minimum deposits are required:

Micro Account has no minimum deposit

Hybrid Account has no minimum deposit

Elite Account requires a $25 000

VIP Account can be opened with a deposit of $50 000

 

The minimum withdrawal limit is $ 100. If you have less than $ 100 in your account, you cannot withdraw.

 

Trading platforms

The forex trading platform provided by CFI Markets to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

CFI Markets provides the popular MT4 forex trading platform. The combination of downloadable platforms for both Mac and Windows allows traders to trade with a device of choice and the broker also offer mobile apps for Android and iOS.

 

How to open an account

Similarly, to a bank, to register a forex trading account with CFI Markets for the first time, you will be required to go through a basic “know your customer” process, which will allow CFI Markets to ascertain that your submitted details and ensure the safety of your funds and account details.

 

With CFI Markets every new client must pass a few basic compliance checks to ensure that they understand the risks of trading and can trade. When you open an account, you will be asked for the following:

A scanned colour copy of your passport, driving license or national ID.

A utility bill or bank statement from the past three months showing your address.

You will also need to answer a few basic compliance questions to confirm how much trading experience you have.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of CFI Markets customers can reach the support team via Email, phone, fax, or a live chat option on the website.

 

Education

Before starting to trade, potential clients of CFI Markets should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

CFI Markets offers education and analysis by means of regular webinars.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With CFI Markets they have access to basic analysis, news, and the useful features of the MT4 platform.

 

Awards

Being an awarded company instils extra confidence by traders.  CFI Markets has been awarded “Best Online Financial Trading Services, Middle East” for 2020 by Capital Finance International.

 

Conclusion

CFI Markets is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

CFI Markets can be described as a company that has been doing good business since established in 2012 and gives traders access to a wide variety of instruments in the major markets. CFI Markets LTD is registered in Cyprus and regulated by CySEC, one of the most reputable regulators in the financial world, which makes it a trustworthy broker.

CFI Financial Group is an award winning global financial markets provider and is focused on low spreads, professional services, dedicated support, and powerful trading tools.

 

Disclaimer

CFI Markets warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with CFI Markets, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

CFI Markets warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence CFI Markets cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with CFI Markets?

You can trade several different instruments with CFI Markets, which include the following:

Forex

Metals

CFDs

Which platforms are supported by CFI Markets?

CFI Markets provides the following popular trading platforms:

MT4

Does CFI Markets offer leverage?

Yes, CFI Markets offers a maximum leverage of 1: 200.

What spreads can I expect with CFI Markets?

CFI Markets offers spreads of around 2.3 pips in the micro account type. However, the Hybrid account type has a fixed spread with 2 pips, which I can say is good. 1.7 pips minimum.

Does CFI Markets charge commission?

More information on commissions can be obtained from the customer support service.

Is CFI Markets regulated?

Yes, CFI Markets is regulated by CySEC, FCA and MiFID.

Is CFI Markets a recommended forex trading broker for experts and beginners?

CFI Markets offers a fair-trading environment for all types of traders.

What is the overall rating out of 10 for CFI Markets?

7/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does CFI Markets offer a demo account?

Yes.

How long is the demo account valid?

The demo account can be used for 30 days.

Which live trading accounts does CFI Markets offer?

Micro Account

Hybrid Account

Elite Account

VIP Account

What are the available deposit currencies for a live trading account?

USD, EUR & More

 

Deposits and withdrawals

What is the minimum deposit for CFI Markets?

$ 0.

How do you make a deposit and withdrawal with CFI Markets?

CFI Markets offers the following deposit methods:

Neteller

Skrill

PayPal

JCC (Master, Maestro and Visa card)

Safe Charge

Wire transfer

 

Withdrawals can be done via:

Neteller

Skrill

PayPal

JCC (Master, Maestro and Visa card)

Safe Charge

Wire transfer

 

Does CFI Markets charge withdrawal fees?

No, but fees from financial institution may apply/Yes, the different amounts can be found on the company homepage.

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

 

 

 

A review about CFI Markets

Cedar FX Reviewed

Fresh Unique Article to increase your trading knowledge: Cedar FX Reviewed

 

A review about CedarFX
 

CedarFX gives access to over 170 popular trading assets, including the newest asset class of cryptocurrencies, with the MetaTrader 4 platform.  Cedar FX has no limits on the number of live or demo trading accounts, making it an excellent addition to the world of CFD brokers.

Choose your quick section of our Cedar FX review below.

A Quick Overview of our CedarFX Review:

Cedar FX also has an impressive commitment to supporting the environment with NGO Ecologi, supporting planting trees and reducing carbon footprints around the world.

 

CedarFX at a glance

Broker’s Name Cedar FX
Headquartered St. Vincent and the Grenadines
Year Founded 2020
Regulating Authorities Not regulated
Countries not accepted for trade No restricted countries mentioned
Demo Account Yes
Islamic Account (Swap Free) No
Institutional Accounts No
Managed Accounts No
Maximum Leverage 1:500
Minimum Deposit $10 in Bitcoin
Deposit Options Wire Transfer, Visa, MasterCard, BTC
Withdrawal Options BTC
Platform Types Web Trading, MT4
OS Compatibility Windows, Apple (Mac), Windows Phone, Android, iPhone
Tradable Assets 170 different assets: 55 different Forex currency pairs, 64 stocks, 11 indices, metals, and commodities, along with 35 crypto pairs.
Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/7

 

Who is CedarFX?

According to research in South Africa Cedar FX is a CFD broker launched in 2020 in St. Vincent and the Grenadines, focused on an eco-friendly stance, ultra-fast withdrawals, ultra-low spreads and zero commissions for the 0% Commission Account.

It gives access to over 170 popular assets, including 35 different cryptocurrency pairs and 55 Forex pairs.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like Cedar FX, is to establish which regulating authorities are watchdogs over its actions.

Based in St. Vincent and the Grenadines, Cedar FX is not regulated by any government regulators. Although this is a negative, Cedar FX still must follow all the laws of its jurisdiction, and it complies with the Know Your Customer and Anti-Money Laundering regulations placed on brokers in the European Union.

A benefit of not being regulated is that the broker can offer leverage of more than 1:30 as all the EU-regulated brokers have been limited to, and traders can have access to leverage of as much as 1:500 on some assets.

 

Pro and cons

PROS CONS
A 0% Commission account available Offshore Broker
Eco-friendly account option available No VIP account options
High leverage can be used No industry awards yet
Unlimited number of live and demo accounts Rely on Bitcoin for deposits and withdrawals

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

Cedar FX offers a maximum leverage ratio of 1: 500, depending on the type of instrument you are trading. Cedar FX offers 1:200 leverage for indices and commodities, 1:100 leverage for all crypto pairs, 1:500 leverage for Forex and metals, and 1:20 leverage for stocks.

 

Accounts

A forex account at Cedar FX is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

 

CedarFX offers the following types of accounts:

 

Unlimited Demo Account

  • Cedar FX provides a demo account that is limitless in both time and virtual funds. The demo account must be used at least once every 14 days, otherwise it is shut down and the trader would need to request a new demo account.
  • There are two live account types offered by Cedar FX — the 0% Commission Account and the Eco Account.

 

The Zero Commission Account

  • This primary standard account that most traders prefer, is the 0% commission account. It has no commissions or additional fees and ultra-low spreads.
  • No deposit or withdrawal fees are charged, and cryptocurrency withdrawal requests are processed the same day to reflect in a user’s wallet.

 

Ecological Awareness Account

The Eco-account is designed to allow traders to help reduce the carbon footprint of humans on the planet. The Eco-account does come with a $1 commission on each lot traded, with Cedar FX matching this commission and sending each month’s proceeds to Ecology, a non-profit entity that plants trees and works to reduce the carbon footprint on the Earth. For each lot traded 10 new trees are planted.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

Cedar FX offers the following of the above:

At Cedar FX clients can trade more than 170 individual assets from the following asset classes:

55 different Forex currency pairs, 64 stocks, 11 indices, metals, and commodities, along with 35 crypto pairs.

 

Fees

Cost depends on several factors, like spread and margins, and Cedar FX clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

Cedar FX does not charge fees for deposits or for any transactions on the platform. The lack of commission on the 0% Commission Account also helps to lower the costs associated with trading and help traders maximise their profits.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of Cedar FX, you can fund your account via the popular cryptocurrency Bitcoin, of if you do not have any Bitcoin you can use a credit or debit card. In this instance you are redirected to a merchant website to purchase Bitcoin, which you then deposit at Cedar FX.

It should only take a couple minutes until you can choose an asset and trade. The minimum deposit on Cedar FX in bitcoin is $10 and the minimum deposit available for other types of payment methods is $30. Traders can make deposits using EUR, USD, GBP, and BTC.

 

Trading platforms

The forex trading platform provided by Cedar FX to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

Cedar FX provides the MetaTrader 4 platform to its clients, with its powerful tools and simple interface to easily start trading, although powerful enough for seasoned traders who run the most complex trading strategies.

The MT4 platform can be downloaded for Windows PCs, be accessed as a Web Trader and is available for both Android and iOS devices.

 

How to open an account

Similarly, to a bank, to register a forex trading account with Cedar FX for the first time, you will be required to go through a basic “know your customer” process, which will allow Cedar FX to ascertain that your submitted details and ensure the safety of your funds and account details.

With Cedar FX the process is fast and easy with a simple form with your full name, email address, and strong password to register an account. There is even the option to use your Facebook or Google account to register and log into the account.

You create an account on the sign-up page of the site and once you have created and verified your account, you will be directed to fill out a form with all the relevant details needed.

Traders can open as many demo and live accounts as they like and can also open simultaneous 0% Commission and Eco Accounts.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of Cedar FX customers can reach the support team 24/7via live chat and email, a web form, or they offer a call back service where they will make a phone call to the client at the time and number requested.

Unfortunately, Cedar FX currently only offers support in English.

 

Education

Before starting to trade, potential clients of Cedar FX should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

Cedar FX offers several educational answers for traders in the form of FAQ.

The demo accounts are a further help to traders to learn more about the platform and learn by trial and error. You can open as many demo accounts as you like before opting for a live account.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With Cedar FX they have access to a few online research options, calendars, and market news.

 

Awards

Being an awarded company instils extra confidence by traders.  However, despite Cedar FX being acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion

Not regulated but a transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

Cedar FX can be described as a company focused on an eco-friendly stance, ultra-fast withdrawals, ultra-low spreads, and zero commissions.

A downside to the platform is the reliance on Bitcoin for deposits and withdrawals.

 

Disclaimer

Cedar FX warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Cedar FX, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Cedar FX warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence Cedar FX cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with Cedar FX?

You can trade several different instruments with Cedar FX, which include 170 different assets:

  • 55 different Forex currency pairs
  • 64 stocks
  • 11 indices
  • metals
  • commodities
  • 35 crypto pairs

Which platforms are supported by Cedar FX?

Cedar FX provides the popular MT4 trading platform.

Does Cedar FX offer leverage?

Yes, Cedar FX offers a maximum leverage of 1: 500.

What spreads can I expect with Cedar FX?

Cedar FX offers low spreads, while details on the website are not comprehensive, more information can be obtained from the customer support service.

Does Cedar FX charge commission?

No, more information on commissions can be obtained from the customer support service.

Is Cedar FX regulated?

No, Cedar FX is not regulated by reputable authorities.

Is Cedar FX a recommended forex trading broker for experts and beginners?

Cedar FX offers a fair-trading environment for all types of traders.

What is the overall rating out of 10 for Cedar FX?

7/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does Cedar FX offer a demo account?

Yes.

How long is the demo account valid?

The demo account must be used at least once every 14 days, but a trader can use it unlimited. request a new demo account.

Which live trading accounts does Cedar FX offer?

The Zero Commission Account.

Ecological Awareness Account.

What are the available deposit currencies for a live trading account?

USD

EUR

GBP

 

Deposits and withdrawals

What is the minimum deposit for Cedar FX?

$ 10.

How do you make a deposit and withdrawal with Cedar FX?

Cedar FX offers the following deposit methods:

Wire Transfer

Visa

MasterCard

BTC

 

Withdrawals can be done via:

  • BTC

 

Does Cedar FX charge withdrawal fees?

No, but fees from financial institution may apply.

How long does it take to make a withdrawal?

Traders can enjoy same-day withdrawals for cryptocurrencies and receive access to their funds with no additional fees attached.

A review about CedarFX

Capital Investment Brokers Reviewed

Fresh Unique Article to increase your trading knowledge: Capital Investment Brokers Reviewed

 

A review about Capital Investment Brokers
 

Founded in 2005, Capital Investment Brokers Limited facilitates more than 5 000 trade executions per second, claiming themselves as a faster trading operator than any other competitors in the market.

Choose your quick section of our Capital Investment Brokers review below.

A Quick Overview of our Capital Investment Brokers Review:

Capital Investment Brokers features and services have been designed with an aim to serve both experienced professionals and novice traders around the globe and you can start with as low as a $500 cap to register for a Micro Account with this broker.

 

Capital Investment Brokers at a glance

Broker’s Name Capital Investment Brokers
Headquartered Vanuatu, United Kingdom, St. Vincent, and the Grenadines
Year Founded 2005
Regulating Authorities VSFC #14637
Countries not accepted for trade United States
Demo Account Yes
Islamic Account (Swap Free) Not indicated
Institutional Accounts Yes
Managed Accounts No
Maximum Leverage 1:200
Minimum Deposit $500
Deposit Options Credit/Debit Card, Bank-Wire Transfer, Local Bank Transfer, Neteller, Ok Pay, YuuPay
Withdrawal Options Credit/Debit Card, Bank-Wire Transfer, Local Bank Transfer, Neteller, Ok Pay, YuuPay
Platform Types MT4
OS Compatibility Windows, iOS, Android
Tradable Assets FX, Metals, CFDs, Stocks and Futures
Languages supported on Website English
Customer Support Languages English, Spanish, Arabic
Customer Service Hours 24/5

 

Who is Capital Investment Brokers?

According to research in South Africa Capital Investment Brokers Limited is a registered IBC in St. Vincent and the Grenadines with headquarters also in London.

Brokers offers direct access to multiple destinations of liquidity in the Forex markets without the intervention by a dealing desk and provides trading solutions simple enough for the forex novice yet sophisticated enough for professional traders.

Capital Investment Brokers strives to satisfy financial needs, forging long term relations and becoming a fundamental factor in helping clients reach their financial goals. It focuses on bringing the best service to clients through technological platforms, specific products, educational material, and the best personalised service.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like Capital Investment Brokers, is to establish which regulating authorities are watchdogs over its actions.

Capital Investment Brokers keep funds deposited by clients in segregated accounts and totally separate from any accounts CIB maintains.

The broker is only regulated by VSFC (#14637), which is not regarded as one of the most reputable authorities in the world.

 

Pro and cons

PROS CONS
Access to Forex, precious metals, CFDs, and futures from one account Not properly regulated
Direct market access Offshore broker
Fast execution on every order type
Leverage up to 200 to 1
Low variable spreads on multiple platforms
The price you see, the price you get
Tight spreads even at higher trading volumes

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

 

Capital Investment Brokers offers the following leverage ratios:

Mini Account – 200:1

Standard account – 200:1

ECN account – 200:1

VIP account – 100:1

 

Accounts

A forex account at Capital Investment Brokers is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

 

Capital Investment Brokers offers the following types of accounts:

Mini Account, with a minimum deposit of $500.

Standard Account with a minimum deposit of $1 000.

ECN Account with a minimum deposit of $1 000.

VIP Account with a minimum deposit of $10 000.

Base account Currencies offered are USD, EUR, and GBP.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

Capital Investment Brokers offers the following of the above: Forex, Metals, CFDs, Stocks and Futures.

 

Fees

Cost depends on several factors, like spread and margins, and Capital Investment Brokers clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

Capital Investment Brokers offers spread of 0.6 minimum + 1.5 average on EURUSD on a Mini account, 0.6 minimum + 1.5 average on a Standard account, 0.6 minimum + 1.5 average  on the ECN account and 0.3 minimum + 1.2 average on the VIP account.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

 

In the case of Capital Investment Brokers, the following are required:

Mini Account – minimum deposit of $500

Standard Account – minimum deposit of $1 000

ECN Account – minimum deposit of $1 000

VIP Account – minimum deposit of $10 000

 

Base account currencies offered are USD, EUR and GBP and Credit/Debit Card, Bank-Wire Transfer, Local Bank Transfer, Neteller, Ok Pay or YuuPay can be used to fund accounts.

 

Trading platforms

The forex trading platform provided by Capital Investment Brokers to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

Capital Investment Brokers provides the popular Metatrader4 (MT4) with its advanced features as trading platform.

 

How to open an account

Similarly, to a bank, to register a forex trading account with Capital Investment Brokers for the first time, you will be required to go through a basic “know your customer” process, which will allow Capital Investment Brokers to ascertain that your submitted details and ensure the safety of your funds and account details.

With Capital Investment Brokers the process can be completed online from the company website.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of Capital Investment Brokers customers can reach the support team via phone, email, a live chat option or contact form on the website.

 

Education

Before starting to trade, potential clients of Capital Investment Brokers should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

Capital Investment Brokers offers traders full access to learning materials exclusively offered by its training section. Traders with any level of experience can benefit from this learning centre’s video lessons that cover both the basic and advanced price-action courses and assist traders in getting prepared to participate in financial markets.

Webinars offered by Capital Investment Brokers cover new features, recent thoughts about the market, and opportunities in the market. These webinars help traders on right track to their trading goals with motivation and positivity.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With Capital Investment Brokers registered clients have access to a daily trade signal service prepared by highly experienced market experts.

Other research options include news, technical analysis, market research, conditional ordering, a calendar, calculators, trading strategies, trading signals, alerts, and charts.

 

Awards

Being an awarded company instils extra confidence by traders.  However, despite Capital Investment Brokers being acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion

Capital Investment Brokers is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

Capital Investment Brokers prides itself on outstanding customer support to professional trading solutions, with many positive reviews from existing clients.

 

Disclaimer

Capital Investment Brokers warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Capital Investment Brokers, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Capital Investment Brokers warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence Capital Investment Brokers cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with Capital Investment Brokers?

You can trade several different instruments with Capital Investment Brokers, which include the following:

Forex – All kinds of forex currency pairs

Futures – CFD, Stocks, Indices

Precious Metals – Golds, Silver, etc.

Energies – Gas, Oil, etc.

Which platforms are supported by Capital Investment Brokers?

Capital Investment Brokers provides the popular MT4 trading platform.

Does Capital Investment Brokers offer leverage?

Yes, Capital Investment Brokers offers a maximum leverage of 1: 200.

What spreads can I expect with Capital Investment Brokers?

Capital Investment Brokers offers spread of 0.6 minimum + 1.5 average on EURUSD on a Mini account, 0.6 minimum + 1.5 average on a Standard account, 0.6 minimum + 1.5 average  on the ECN account and 0.3 minimum + 1.2 average on the VIP account.

Does Capital Investment Brokers charge commission?

No, more information on commissions can be obtained from the customer support service.

Is Capital Investment Brokers regulated?

Capital Investment Brokers is only regulated by VSFC.

Is Capital Investment Brokers a recommended forex trading broker for experts and beginners?

Capital Investment Brokers offers a fair-trading environment for all types of traders.

What is the overall rating out of 10 for Capital Investment Brokers?

6/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does Capital Investment Brokers offer a demo account?

Yes.

How long is the demo account valid?

The demo account can be used unlimited.

Which live trading accounts does Capital Investment Brokers offer?

Mini Account

Standard Account

ECN Account

VIP Account

What are the available deposit currencies for a live trading account?

USD, EUR, and GBP.

 

Deposits and withdrawals

What is the minimum deposit for Capital Investment Brokers?

$ 500.

How do you make a deposit and withdrawal with Capital Investment Brokers?

Capital Investment Brokers offers the following deposit methods:

Credit/Debit Card

Bank-Wire Transfer

Local Bank Transfer

Neteller

Ok Pay

YuuPay

 

Withdrawals can be done via:

Credit/Debit Card

Bank-Wire Transfer

Local Bank Transfer

Neteller

Ok Pay

YuuPay

 

Does Capital Investment Brokers charge withdrawal fees?

No, but fees from financial institution may apply.

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

A review about Capital Investment Brokers

CIM Banque Reviewed

Fresh Unique Article to increase your trading knowledge: CIM Banque Reviewed

 

A review about CIM Banque
 

Founded in 1995, C.I.M. Banque is regulated by the Swiss Federal Banking Commission as well as the Financial Industry Regulatory Authority, Securities Investor Protection Corporation, and the Securities and Exchange Commission.

Choose your quick section of our CIM Banque review below.

A Quick Overview of our CIM Banque Review:

Through C.I.M. Bank, in collaboration with Interactive Brokers – a global leader in brokerage – clients can trade stocks, futures, options and forex directly in the markets and receive instant execution of their orders.

 

CIM Banque at a glance

Broker’s Name C.I.M Banque
Headquartered Geneva Switzerland
Year Founded 1995
Regulating Authorities Swiss Federal Banking Commission, Financial Industry Regulatory Authority, Securities Investor Protection Corporation, and the Securities and Exchange Commission.
Countries not accepted for trade No countries indicated on website
Demo Account Yes
Islamic Account (Swap Free) Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1:200
Minimum Deposit $100
Deposit Options Bank Wire Transfer, Neteller, Skrill, UnionPay, Cashu, MasterCard, Visa Card, Moneybookers, and WebMoney.
Withdrawal Options Moneybookers, WebMoney, Cashu, Neteller, MasterCard, Visa Card, and Bank Transfers.
Platform Types MT4 platform for web and mobile devices.
OS Compatibility Web, iOS and Android
Tradable Assets Bonds, funds, stocks, commodities
Languages supported on Website English, French, Italian, Spanish, Russian, German, Japanese
Customer Support Languages English, French, Italian, Spanish, Russian, German, Japanese
Customer Service Hours 24/7

 

Who is CIM Banque?

According to research in South Africa C.I.M Banque is a Swiss Private Bank based in Geneva, Switzerland, and Wollerau and Lugano.

This makes the broker quite trustworthy to invest with and utilising their trading services. Clients’ funds are kept in segregated banking accounts, and for additional security, C.I.M. Banque uses tier-1 banks, which means that traders’ funds are always secure and safe with the firm.

The broker offers its clientele tailored services as well as an understanding of each client’s needs, making use of experts – either in private banking or in corporate banking – for knowledge and advice so that clients can enjoy a smooth banking experience.

The process of opening an account can be executed 100% online, after which clients can benefit from services that include the following:

  • E-banking
  • Apple Pay, Samsung Pay, Google Pay
  • Trading with Interactive Brokers

 

They have access to market data 24 hours a day and 6 days a week to stay connected to global markets and can trade and get live price executions on 12 markets, in 31 countries and on 22 currencies.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like C.I.M Banque, is to establish which regulating authorities are watchdogs over its actions.

When choosing a broker like C.I.M. Banque the administrative body and regulatory status of the broker is of utmost importance since brokers who conduct trades without supervision of a regulatory body do so at their own discretion and their capital invested may be at risk.

C.I.M. Banque is regulated and supervised and checked for conduct by the Financial Industry Regulatory Authority (FINRA), Securities and Exchange Commission (SEC), Securities Investor Protection Corporation (SIPC) regulatory bodies.

Such a regulated broker will not manipulate market prices and any withdrawal request sent to C.I.M. Banque will be honoured.

If C.I.M. Banque violate any of these regulatory rules they could be stripped of their regulated status.

 

Pro and cons

PROS CONS
Minimum amount required for setting up a trading account is just 100$ Charges a withdrawal fee which varies with the method of payment
More than 10 000 traders trust the platform Charges inactivity fees.
Regulated and monitored by multiple regulatory bodies

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. If you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g., 5% or 1%), and you must have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.

C.I.M Banque offers a maximum leverage ratio of 1: 200

 

Accounts

A forex account at C.I.M Banque is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

C.I.M Banque offers the following types of accounts:

  • Demo Account
  • Mini Account
  • VIP Account
  • Islamic Account

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a significant role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper, or petroleum, are hard commodities that play a significant role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

C.I.M Banque offers over 74 instruments of the above, including bonds, funds, stocks, and commodities.

 

Fees

Cost depends on varied factors, like spread and margins, and C.I.M Banque clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

C.I.M Banque does charge commission on CFD instruments.

Withdrawal and inactivity fees are charged, and withdrawal fees varies according to the payment method.

C.I.M. Banque does charge a fee for inactive accounts as well as deposit fees.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of C.I.M Banque the following a minimum deposit amount of $100 is required and several payment methods can be used to fund an account. These include: Bank Wire Transfer, Neteller, Skrill, UnionPay, Cashu, MasterCard, Visa Card, Moneybookers, and WebMoney.

 

Trading platforms

The forex trading platform provided by C.I.M Banque to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

C.I.M Banque provides MT4 platform for web and both iOS and Android mobile devices.

 

How to open an account

Similarly, to a bank, to register a forex trading account with C.I.M Banque for the first time, you will be required to go through a basic “know your customer” process, which will allow C.I.M Banque to ascertain that your submitted details and ensure the safety of your funds and account details.

With C.I.M Banque the process entails

Customers can open a demo or a live account from the company website.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of C.I.M Banque customers can reach the support team via phone, an email form on the website, as well as a live chat option.

 

Education

Before starting to trade, potential clients of C.I.M Banque should avail themselves of all information and trading skills needed to be successful in the world of forex and commodity trading.

C.I.M Banque offers a broad selection of educational resources. Traders can first spend time reading up on how the markets and trading works, making active trades, active trading times, and managing risk.

 

Research

To be able to trade with confidence, traders should do as much as research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they do not lose money unnecessarily and trade as profitable as possible.

With C.I.M Banque they have access to advanced financial chart comparison tools, research-backed analysis on financial markets and investments from top analysts.

 

Awards

Being an awarded company instils extra confidence by traders.  However, despite C.I.M Banque being acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion  

CIM Banque is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

C.I.M Banque can be described as a company with an excellent customer system in place with support offered in multiple languages such as English, Chinese, Spanish, German, Italian, and others. Their margin requirements vary by trader, instruments, and accounts and their trading platform provides the necessary tools to trade successfully.

 

Disclaimer

C.I.M Banque warns potential customers that Forex and CFDs trading always carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with C.I.M Banque, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

C.I.M Banque warns that margin trading involves the potential for profit as well as the risk of loss and that movements in the price of foreign exchange and commodities are very unpredictable, hence C.I.M Banque cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with C.I.M Banque?

You can trade several different instruments with C.I.M Banque, which include the following:

Bonds

Funds

Stocks

Commodities

Which platforms are supported by C.I.M Banque?

C.I.M Banque provides the following popular trading platforms:

MT4 platform for web

iOS or Android mobile devices

Does C.I.M Banque offer leverage?

Yes, C.I.M Banque offers a maximum leverage of 1: 200

What spreads can I expect with C.I.M Banque?

C.I.M Banque offers a minimum spread of 0.5.

If details on the website is not comprehensive, more information can be obtained from the customer support service.

Does C.I.M Banque charge commission?

Yes, commissions on transactions start from 2,25 euros per transaction.

Is C.I.M Banque regulated?

Yes, C.I.M Banque is regulated by the Swiss Federal Banking Commission as well as the Financial Industry Regulatory Authority, Securities Investor Protection Corporation, and the Securities and Exchange Commission.

Is C.I.M Banque a recommended forex trading broker for experts and beginners?

C.I.M Banque offers a fair-trading environment for all types of traders.

What is the overall rating out of 10 for C.I.M Banque?

8/10

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does C.I.M Banque offer a demo account?

Yes.

How long is the demo account valid?

The demo account can be used for 30 days.

Which live trading accounts does C.I.M Banque offer?

Demo Account

Mini Account

VIP Account

Islamic Account

What are the available deposit currencies for a live trading account?

USD, EUR.

 

Deposits and withdrawals

What is the minimum deposit for C.I.M Banque?

$ 100.

How do you make a deposit and withdrawal with C.I.M Banque?

C.I.M Banque offers the following deposit methods:

Bank Wire Transfer

Neteller

Skrill

UnionPay

Cashu

MasterCard

Visa Card

Moneybookers

WebMoney

 

Withdrawals can be done via:

Moneybookers

WebMoney

Cashu

Neteller

MasterCard

Visa Card

Bank Transfers

 

Does C.I.M Banque charge withdrawal fees?

Yes, fees vary according to the payment method – the different amounts can be found on the company homepage.

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

 

 

 

A review about CIM Banque

BlitzBrokers Reviewed

Fresh Unique Article to increase your trading knowledge: BlitzBrokers Reviewed

 

A review about BlitzBrokers
 

BlitzBrokers offers trading on the MetaTrader 4 platform, with tight spreads and competitive commissions. However, the broker leaves much to be desired in terms of its trading features, customer support and regulatory status.

Choose your quick section of our BlitzBrokers review below.

A Quick Overview of our BlitzBrokers Review:

BlitzBrokers offers some compelling incentives to trade with them, which are primarily the access to tight spreads and advanced trading on the MetaTrader 4 platform.

 

BlitzBrokers at a glance

Broker’s Name BlitzBrokers
Headquartered Australia
Year Founded 2016
Regulating Authorities Not directly regulated
Countries not accepted for trade Not indicated
Islamic Account (Swap Free) No
Demo Account Yes
Institutional Accounts No
Managed Accounts No
Maximum Leverage 1:200
Minimum Deposit No minimum deposit
Deposit Options ·         Skrill

·         Visa

·         Visa Electron

·         JCB

·         MasterCard

·         Maestro

·         Bank Transfer

Withdrawal Options ·         Skrill

·         Visa

·         Visa Electron

·         JCB

·         MasterCard

·         Maestro

·         Bank Transfer

Platform Types MetaTrader 4
OS Compatibility Windows, Linux, MacOS, Android, iOS
Tradable Assets ·         Forex

·         Commodities

·         Indices

·         Shares

Languages supported on Website English only
Customer Support Languages English only
Customer Service Hours 24/5

 

Who is BlitzBrokers?

According to research in South Africa, BlitzBrokers was established in 2016 in Australia, and operates as a partner broker, or introducing broker, for AxiTrader.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

BlitzBrokers claims that its partner broker, AxiTrader, is regulated by the Australian Securities and Investments Commission (ASIC). One of the most reputable regulatory bodies in the industry.

BlitzBrokers operates as an introducing broker for AxiTrader, but it is not evident that the latter entity’s regulatory status will fully apply to the operations of BlitzBrokers. Traders would be advised to take this into consideration before signing up with the broker.

 

Pros and cons

PROS CONS
Competitive commissions Limited assets
MetaTrader 4 available Limited selection of trading platforms
Tight spreads Poor customer support
Wide selection of deposit currencies Questionable regulatory status

 

Leverage

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

However, as beneficial as leverage may be, it can also be detrimental when used incorrectly or abused. Leverage increases a trader’s chance of gains and thus, it also increases the risk of losses.

Traders are at risk of incurring losses which may exceed their initial deposit, leading to a negative balance on their trading account if the trader does not have the benefit of negative balance protection.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

When traders apply leverage, the margin requirement is reduced, and the trader can open larger positions.

BlitzBrokers offers a maximum leverage of 1:200, which, though not the highest in the industry, is certainly higher than that offered by brokers regulated in the EEA, where leverage has been capped at 1:30.

Still, traders should proceed with caution when using high leverage with this broker, considering its unclear regulatory status.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

BlitzBrokers offers two account types centred around the MetaTrader 4 platform, namely the MT4 Standard and MT4 Pro account.

 

MT4 Standard Account

The MT4 Standard Account provides spreads from 1 pip upward, with no commission or minimum deposit. It features 5-digit pricing, margin up to 400:1 and is available in EUR, GBP, and USD.

 

MT4 Pro Account

On the MT4 Pro Account traders get extremely competitive spreads from 0.0 pips, with commission of $7 per round trip. Pro Account holders gain access to margins up to 400:1 and the same markets as Standard Account holders.

 

Demo Account

A free demo account can be opened with BlitzBrokers, which allows new traders to test out the broker’s features in a risk-free environment. The demo account is also an excellent training ground for beginner traders and comes funded with virtual currency.

 

Islamic Account Option

Unfortunately, BlitzBrokers does not appear to offer an Islamic Account, which is a pity, as such an account is designed to allow Muslim traders to avoid swap fees, a type of interest that is prohibited by Sharia law.

 

Market instruments

BlitzBrokers provides access to the following asset classes:

Forex

Commodities

Indices

Shares

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

One of the first fees that traders will encounter concerns a minimum deposit fee which is paid after the trader has completed account registration.

Next, traders must consider the spreads, commissions, and margin requirements. As already noted, BlitzBrokers offers variable spreads and commissions depending on the account types.

The MT4 Standard Account provides spreads from 1 pip upward, with no commission or minimum deposit.

On the MT4 Pro Account traders get extremely competitive spreads from 0.0 pips, with commission of $7 per round trip.

This is certainly an enticing offer and can be ranked alongside more of the competitive offerings in the Forex industry.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

BlitzBrokers will charge swap fees on positions held overnight, which is interest charged on these positions at the prevailing rate. Unfortunately, the broker does not offer swap-free accounts for Muslim traders.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

BlitzBrokers offers a variety of popular deposit and withdrawal methods, which include the following:

Skrill

Visa

Visa Electron

JCB

MasterCard

Maestro

Bank Transfer

 

The broker likewise has a varied selection of deposit currencies, minimizing the probability of conversion fees for many traders. These currencies include CAD, CHF, EUR, GBP, HKD, JPY, NZD, SGD, and USD.

There is no minimum deposit required to open an account, and the broker does not charge deposit or withdrawal fees.

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform. Where some brokers offer a variety of third-party platforms, others prefer offering their own proprietary platforms, if they have one.

BlitzBrokers provides access to the highly popular MetaTrader 4 platform, which will provide traders with access to the following features:

  • Traders can analyse financial markets, perform advanced trading operations, run trading robots (Expert Advisors) and copy deals of other traders.
  • Three trade execution modes, including Instant Execution, as well as 2 market, 4 pending and 2 stop orders and a trailing stop function.
  • Quick trading functions allow sending trading orders straight from the chart with one click.
  • The built-in tick chart feature provides an accurate method for determining entry and exit points.
  • 9 timeframes, allowing traders to see the price dynamics in detail.
  • 30 built-in technical indicators and 24 graphic objects are available for the most comprehensive analysis of price dynamics.

 

How to open an account

Opening an account with BlitzBrokers is an easy, straightforward process that consists of the following steps:

  • Complete your application: fill in your details using the form on the application page. The website is encrypted to secure your personal information.
  • Confirm your ID: to meet the broker’s obligations, BlitzBrokers needs to confirm your identity. This can be done electronically.
  • Fund your account: Use one of the provided payment methods to deposit funds into your trading account.

 

Customer support

BlitzBrokers lacks severely in terms of its customer support offering. At the time of writing, all support channels remained unresponsive, while several reviews reported similar issues.

This, combined with the broker’s questionable regulatory status, is a troubling sign, as all traders need to be able to contact the broker to resolve technical and account issues.

 

Education

BlitzBrokers does not provide any educational resources on its website, such as training manuals, webinars, educational courses, or even a glossary.

Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Research

Research tools help traders in their activities in addition to helping them hone their skills in making informed trading decisions.

Apart from the analytical tools built into the MetaTrader 4 platform, the broker does not offer any independent research or charting tools on its website.

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. However, BlitzBrokers does not list any awards on its website to date.

 

Conclusion

However, the broker’s site is lacking in many features, including education and research, which other brokers offering similar trading conditions also provide.

Added to this, the broker’s severe lack of adequate customer support, coupled with its questionable regulatory status, means that traders should proceed with caution when signing up.

 

Disclaimer

BlitzBrokers warns potential customers that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with BlitzBrokers, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

BlitzBrokers warns that margin trading involves the potential for profit as well as the risk of loss.

Movements in the price of foreign exchange and commodities are very unpredictable, hence BlitzBrokers cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with BlitzBrokers?

BlitzBrokers provides access to the following assets:

Forex

Commodities

Indices

Shares

Which platforms are supported by BlitzBrokers?

MetaTrader 4.

Does BlitzBrokers offer leverage?

Yes. The broker provides a maximum leverage of 1:200

What spreads can I expect with BlitzBrokers?

The MT4 Standard Account provides spreads from 1 pip upward. On the MT4 Pro Account traders get extremely competitive spreads from 0.0 pips.

Does BlitzBrokers charge commission?

Yes. Commission of $7 per round trip on the Pro Account

Is BlitzBrokers regulated?

The broker is not directly regulated. Its partner broker, AxiTrader, is regulated by ASIC.

Is BlitzBrokers a recommended forex trading broker for experts and beginners?

No. BlitzBrokers is better suited for advanced traders with a high-risk appetite.

What is the overall rating out of 10 for BlitzBrokers?

6/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

Does BlitzBrokers offer a demo account?

Yes.

How long is the demo account valid?

This is not indicated.

Which live trading accounts does BlitzBrokers offer?

BlitzBrokers offers the MT4 Standard and the MT4 Pro Accounts.

What are the available deposit currencies for a live trading account?

CAD, CHF, EUR, GBP, HKD, JPY, NZD, SGD, and USD.

 

Deposits and withdrawals

What is the minimum deposit for BlitzBrokers?

There is no minimum deposit.

How do you make a deposit and withdrawal with BlitzBrokers?

Skrill

Visa

Visa Electron

JCB

MasterCard

Maestro

Bank Transfer

Does BlitzBrokers charge withdrawal fees?

No.

How long does it take to make a withdrawal?

Typically, bank transfers can take between 3 to 5 business days, while e-payments can take around 10 minutes.

A review about BlitzBrokers

Axes Reviewed

Fresh Unique Article to increase your trading knowledge: Axes Reviewed

 

A review about Axes
 

Axes is an excellent option for both beginner and advanced traders. The broker offers a variety of trading instruments available with tight, competitive spreads, an STP pricing model, and fast execution.

Choose your quick section of our Axes review below.

A Quick Overview of our Axes Review:

The only real drawback to Axes is the fact that the lax International Financial Market Relations Regulation Centre (IFMRRC) regulates the broker.

 

Axes at a glance

Broker’s Name Axes
Headquartered London
Year Founded 2018
Regulating Authorities IFMRRC
Countries not accepted for trade Most countries accepted, including USA
Islamic Account (Swap Free) No
Demo Account Yes
Institutional Accounts Yes
Managed Accounts Yes
Maximum Leverage 1:500
Minimum Deposit $100
Deposit Options ·         Credit/debit card

·         Bank transfer

·         UnionPay

·         Neteller

·         PayPal

·         Skrill

Withdrawal Options ·         Credit/debit card

·         Bank transfer

·         UnionPay

·         Neteller

·         PayPal

·         Skrill

Platform Types MetaTrader 4, MetaTrader 5, cTrader
OS Compatibility Windows, Linux, MacOS, Android, iOS
Tradable Assets ·         Forex

·         Shares

·         Indices

·         Futures

·         Energies

·         Precious metals

·         Cryptocurrencies

Languages supported on Website Wide selection of over 30 languages
Customer Support Languages Wide selection of over 30 languages
Customer Service Hours 24/5

 

Who is Axes?

According to research in South Africa, Axes is a multi-asset Forex broker based in London that offers an advanced and feature-rich trading environment, with access to a wide asset selection, tight spreads, excellent trading platforms and great customer support.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

Axes is licensed to operate by the Financial Services Authority (FSA), which is the prevalent financial body in the offshore locale of Saint Vincent and the Grenadines.

In terms of actual regulation, the International Financial Market Relations Regulation Centre (IFMRRC) oversees the broker.

While the broker is technically licensed and regulated, traders should note that these regulatory bodies are not as stringent or reputable as those such as the FCA in the UK or CySEC.

 

Pros and cons

PROS CONS
Excellent education Lax regulation
Excellent research No Islamic Account
Multiple advanced trading platforms
Low minimum deposit
Tight spreads
Wide choice of deposit currencies

 

Leverage

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

However, as beneficial as leverage may be, it can also be detrimental when used incorrectly or abused. Leverage increases a trader’s chance of gains and thus, it also increases the risk of losses.

Traders are at risk of incurring losses which may exceed their initial deposit, leading to a negative balance on their trading account if the trader does not have the benefit of negative balance protection.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

When traders apply leverage, the margin requirement is reduced, and the trader can open larger positions.

Axes offers varying leverage levels depending on the instrument being traded, with the maximum available being ratio 1:500, as follows:

Shares – up to 1:25

Forex – up to 1:500

Metals – up to 1:200

Indices – up to 1:500

Energies – Up to 1:100

 

These higher leverage levels are generally not available to retail traders from brokers operating within the EEA, where regulatory authorities have capped the maximum leverage at 1:30.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

Axes offers traders the option of three accounts, namely the Live, Professional and VIP accounts. As can be derived from the account names, these are structured on a tiered basis, with conditions improving with each account.

For example, the VIP account provides 30% off spreads, as well as account managers and unlimited VPS use.

The Live account is more of a standard option which will suit most retail traders, but all these accounts do come with the following benefits:

Multiple payment options & free deposits

MT5 for desktop, web, & mobile

Tight spreads & low fees

250+ CFD assets

 

Demo Account

A free demo account is available from Axes, which can be opened easily through an online application directly through the broker’s website.

The demo account is funded with virtual currency and allows traders to explore the broker’s features in a risk-free environment, including full access to the MetaTrader 5 platform.

 

Islamic Account Option

Unfortunately, Axes does not provide an Islamic, or swap-free account, for Muslim traders. This is a drawback for traders of the Muslim faith, as the interest accrued through swap fees is prohibited by Sharia law.

 

Market instruments

Axes provides an excellent variety of trading instruments, which consist of the following:

Forex –over 70 major, minor, and exotic currency pairs

Shares – Over 150 global company shares

Indices –global spot indices including the FTSE 100 and S&P 500

Futures –commodity-backed and indices-backed futures

Energies –CFDs on energies such as natural gas and oil

Precious metals –gold, silver, and platinum

Cryptocurrencies – Bitcoin & Litecoin

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

One of the first fees that traders will encounter concerns a minimum deposit fee which is paid after the trader has completed account registration.

Next, traders must consider the spreads, commissions, and margin requirements. With Axes, spreads on forex pairs start at 0.8 pips for the EUR/USD, 1.5 pips for the EUR/GBP, and 1.6 pips for the GBP/USD.

As such, these represent extremely competitive spreads relative to the industry offer today. All client trades are executed with No Dealing Desk intervention. Most trades are filled in under 10 milliseconds, with up to 2,000 trades executed per second.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

The broker does charge swap fees as well as an inactivity fee on accounts. The price structure for both categories can be requested from the broker’s client support.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

Axes accepts the following deposit methods:

Credit/debit card

Bank transfer

UnionPay

Neteller

PayPal

Skrill

 

Both deposits and withdrawals are supported free of charge by the broker, although your selected payment processor may charge a fee, which is beyond the broker’s control.

The minimum deposit required to open an account is $100, which is a low requirement compared to many other brokers in the industry.

The broker provides an excellent selection of accepted deposit currencies, including:

USD

EUR

GBP

CHF

PLN

AUD

JPY

ZAR

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform. Where some brokers offer a variety of third-party platforms, others prefer offering their own proprietary platforms, if they have one.

Axes offers trading on three highly advanced trading platforms, namely MetaTrader 4, MetaTrader 5 and cTrader.

Though offering distinct features, each of these platforms provides access to more than 260 CFD assets in 6 different classes, quality execution, advanced online trading tools, and trading systems.

 

How to open an account

Opening an account with Axes is an easy, straightforward process that consists of the following steps:

Navigate to the “Accounts” portal located on the homepage and select the option to open a new account.

Provide your registration details, including your full name, email address, contact details etc.

Select the account for which you wish to apply.

You will have to submit certain documentation, including proof of address. Once this submission has been verified, you can deposit into your new account and begin trading.

 

Customer support

Axes offers excellent multilingual customer support, with a reliable and professional support team that can be contacted via live chat, email, or telephone.

 

Education

Axes provides a good variety of educational tools, including free online courses as well as comprehensive video tutorials. These courses are available for both beginner and advanced traders.

Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Research

Research tools help traders in their activities in addition to helping them hone their skills in making informed trading decisions.

Apart from the advanced research tools built into the broker’s three feature-rich trader platforms, Axes also provides traders with independent analytical tools, including an economic calendar, market analysis, and a variety of trading calculators.

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. Axes has an excellent offering; therefore, it is not surprising that Axes has won several awards to date.

The latest awards include Best FX Execution from CFI.Co Awards, Best Execution Broker from Global Brands Magazine, and Best FX Provider from Online Personal Wealth Awards.

 

Conclusion

Axes is a legit forex trading company and is a regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.”

Beginner traders will appreciate the comprehensive educational resources, excellent customer support, and the low minimum deposit. Advanced traders will appreciate the feature-rich trading platforms, tight spreads, and great analytical features.

 

Disclaimer

Axes warns potential customers that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Axes, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Axes warns that margin trading involves the potential for profit as well as the risk of loss.

Movements in the price of foreign exchange and commodities are very unpredictable, hence Axes cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

TRADING ENVIRONMENT

How many instruments can I trade with Axes?

Axes provides access to the following assets:

Forex

Shares

Indices

Futures

Energies

Precious metals

Cryptocurrencies

Which platforms are supported by Axes?

MetaTrader 4, MetaTrader 5 and cTrader.

Does Axes offer leverage?

Yes. The broker provides a maximum leverage of 1:500.

What spreads can I expect with Axes?

With Axes, spreads on forex pairs start at 0.8 pips for the EUR/USD, 1.5 pips for the EUR/GBP, and 1.6 pips for the GBP/USD.

Does Axes charge commission?No.

 

Is Axes regulated?

Yes, the International Financial Market Relations Regulation Centre (IFMRRC) regulates Axes.

Is Axes a recommended forex trading broker for experts and beginners?

Yes. Axes offers an excellent environment for both beginners and experts.

What is the overall rating out of 10 for Axes?

8/10.

 

ACCOUNTS

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

Does Axes offer a demo account?

Yes.

How long is the demo account valid?

This is not indicated.

Which live trading accounts does Axes offer?

Axes offers traders the option of three accounts, namely the Live, Professional and VIP accounts.

What are the available deposit currencies for a live trading account?

USD

EUR

GBP

CHF

PLN

AUD

JPY

ZAR

 

DEPOSITS AND WITHDRAWALS

What is the minimum deposit for Axes?

$100.

How do you make a deposit and withdrawal with Axes?

Credit/debit card

Bank transfer

UnionPay

Neteller

PayPal

Skrill

Does Axes charge withdrawal fees?

No.

How long does it take to make a withdrawal?

Typically, bank transfers can take between 3 to 5 business days, while e-payments can take around 10 minutes.

A review about Axes

Atiora Reviewed

Fresh Unique Article to increase your trading knowledge: Atiora Reviewed

 

A review about Atiora
 

Atiora is an offshore broker that is not regulated, and is only registered with the Financial Services Commission in St Vincent and the Grenadines.

Choose your quick section of our Atiora review below.

A Quick Overview of our Atiora Review:

While Atiora does attempt to provide certain security measures for its clients, traders are always cautioned to think carefully about signing up with an unregulated broker.

 

 

Atiora at a glance

Broker’s Name Atiora
Headquartered St Vincent and the Grenadines
Year Founded 2015
Regulating Authorities Not regulated
Countries not accepted for trade United States
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts No
Managed Accounts Yes
Maximum Leverage 1:1000
Minimum Deposit $1
Deposit Options ·         Bank Wire Transfer

·         Visa Credit/Debit Card

·         Mastercard Credit/Debit Card

·         UnionPay

·         Neteller

·         Skrill

·         Fasapay

·         OKPay

·         WebMoney

·         PerfectMoney

Withdrawal Options ·         Bank Wire Transfer

·         Visa Credit/Debit Card

·         Mastercard Credit/Debit Card

·         UnionPay

·         Neteller

·         Skrill

·         Fasapay

·         OKPay

·         WebMoney

·         PerfectMoney

Platform Types MetaTrader 4, WebTrader
OS Compatibility Windows, Linux, MacOS, Android, iOS
Tradable Assets ·         Forex

·         Spot metals

·         Commodities

·         CFDs

·         Cryptocurrencies

Languages supported on Website English
Customer Support Languages English
Customer Service Hours 24/5

 

 

Who is Atiora?

According to research in South Africa, Atiora is an offshore broker established in 2015 and headquartered in St Vincent and the Grenadines.

With access to a wide selection of instruments, traders are offered the highly functional MetaTrader 4 platform, complemented by competitive trading conditions on certain accounts.

However, customer support is limited, and traders should be aware that the broker is not regulated.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

Atiora is an offshore broker that is registered with the Financial Services Commission in St Vincent and the Grenadines. This does not mean however that the broker is regulated.

As such, there is not independent regulatory body that oversees the broker’s activities, and which could hold it accountable in cases of severe misconduct.

That said, the broker does attempt to provide a certain level of security for traders, offering negative balance protection and storing funds in segregated accounts.

 

Pros and cons

PROS CONS
Extremely high leverage Lax regulation
MetaTrader 4 available Poor customer support
No deposit or withdrawal fees  
Tight spreads available  
Wide selection of deposit methods  
Wide selection of tradable assets  

 

Leverage

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

However, as beneficial as leverage may be, it can also be detrimental when used incorrectly or abused. Leverage increases a trader’s chance of gains and thus, it also increases the risk of losses.

Traders are at risk of incurring losses which may exceed their initial deposit, leading to a negative balance on their trading account if the trader does not have the benefit of negative balance protection.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

When traders apply leverage, the margin requirement is reduced, and the trader can open larger positions.

Atiora offers variable maximum leverage ratios which are determined by the account type, as below:

  • Micro – 1:1000
  • Classic – 1:500
  • Crypto – 1:3
  • Pro – 1:100

 

As can be seen from the above, the maximum leverage offered is 1:1000, which is extremely high when compared to many other brokers in the industry. However, traders should proceed with caution when using such high ratios, particularly since the broker is not regulated.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

Atiora offers four different account types, namely the Micro, Classic, Crypto and Pro accounts. The Micro account has an extremely low minimum deposit of $1, which also comes with several other benefits, including commission-free trading and the high leverage ratio of 1:1000.

 

Demo Account

The free demo account from Atiora is available for only 30 days. The account is funded with $50 000 in virtual currencies and allows potential traders the opportunity to test out the broker’s features in a risk-free environment.

 

Islamic Account Option

Atiora offers a swap-free, or Islamic Account, to traders of the Muslim faith. This account will allow such traders to avoid interest on positions held overnight, which is prohibited by Sharia.

Traders can apply for the Islamic Account via the broker’s customer support desk and may be required to provide supporting documents to prove their religious status.

 

Market instruments

Atiora provides an impressive selection of tradable instruments, which include the following:

  • Forex – 90+ currency pairs, 12 major pairs plus minors.
  • Spot metals – 6 instruments including gold, silver, platinum, and palladium.
  • Commodities – WTI and Brent crude oil, US natural gas.
  • CFDs – stock market indices such as the HK50 and UK100.
  • Cryptocurrencies – 9 crypto coins including Bitcoin and Dash.

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

One of the first fees that traders will encounter concerns a minimum deposit fee which is paid after the trader has completed account registration.

Next, traders must consider the spreads, commissions, and margin requirements. With Atiora, traders are provided floating spreads that average at 0.2 pips on the EUR/USD on the Pro Account.

However, the competitive spreads on this account also come with commission of $100 per million. Elsewhere, traders have a less competitive offering, with the Crypto account incurring a 0.15% commission on trades with spreads that start from 5 pips.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

The broker charges swap fees, which is interest accrued on positions held overnight, though Muslim traders can open a swap-free account.

The broker only has three accepted deposit currencies, consisting of GBP, USD, and EUR, so that traders depositing in other currencies will incur a conversion fee.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

Atiora offers a broad selection of deposit and withdrawal methods, which consist of the following:

  • Bank Wire Transfer
  • Visa Credit/Debit Card
  • Mastercard Credit/Debit Card
  • UnionPay
  • Neteller
  • Skrill
  • Fasapay
  • OKPay
  • WebMoney
  • PerfectMoney

 

Unfortunately, the only accepted deposit currencies are USD, EUR, and GBP, which is extremely limited, however, most traders will enjoy the ultra-low minimum deposit requirement of just $1.

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform. Where some brokers offer a variety of third-party platforms, others prefer offering their own proprietary platforms, if they have one.

Atiora provides trading on the ever-popular MetaTrader 4 platform, as well as WebTrader. MetaTrader 4 is supremely popular for its impressive suite of advanced trading features, while its usability makes it a good option for both beginner and advanced traders.

 

How to open an account

Opening an account with Atiora is an easy, straightforward process that consists of the following steps:

  • Navigate to the “Accounts” portal located on the homepage and select the option to open a new account.
  • Provide your registration details, including your full name, email address, contact details etc.
  • Select the account for which you wish to apply.
  • You will have to submit certain documentation, including proof of address. Once this submission has been verified, you can deposit into your new account and begin trading.

 

Customer support

While Atiora does offer a live support option through an online chat portal, the agents are nonetheless slow to respond, which is a troubling sign. The customer support team can also be contacted via email, telephone, or Skype.

 

Education

Unfortunately, Atiora does not provide any educational resources at this stage, and beginner traders would have to look elsewhere to gain the necessary training.

Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Research

Research tools help traders in their activities in addition to helping them hone their skills in making informed trading decisions.

Atiora provides a decent selection of research tools outside of those already built into the MetaTrader 4 platform, consisting of the following:

  • Forex and margin calculators
  • Economic and holidays calendars
  • Breakdown of trading sessions by financial centre

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. Atiora does not list any awards on its website to date. However, this is common amongst many offshore brokers.

 

Conclusion

Atiora is a legit forex trading company and is a transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

Atiora offers a broad selection of trading instruments available via the MetaTrader 4 platform as well as WebTrader, with competitive trading conditions available on some accounts.

 

Disclaimer

Atiora warns potential customers that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Atiora, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Atiora warns that margin trading involves the potential for profit as well as the risk of loss.

Movements in the price of foreign exchange and commodities are very unpredictable, hence Atiora cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading enviroment

How many instruments can I trade with Atiora?

Atiora provides access to the following assets:

Forex

Spot metals

Commodities

CFDs

Cryptocurrencies

Which platforms are supported by Atiora?

MetaTrader 4 and WebTrader.

Does Atiora offer leverage?

Yes. The broker provides a maximum leverage of 1:1000.

What spreads can I expect with Atiora?

With Atiora, traders are provided floating spreads that average at 0.2 pips on the EUR/USD on the Pro Account.

Does Atiora charge commission?

Yes.

Is Atiora regulated?

No, Atiora is only registered with the Financial Services Commission in St Vincent and the Grenadines.

Is Atiora a recommended forex trading broker for experts and beginners?

Yes. Atiora offers a good environment for both beginners and experts.

What is the overall rating out of 10 for Atiora?

6/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

Does Atiora offer a demo account?

Yes.

How long is the demo account valid?

The demo account is available for 30 days.

Which live trading accounts does Atiora offer?

Traders can choose from the following accounts:

Micro

Classic

Crypto

Pro

What are the available deposit currencies for a live trading account?

USD, EUR, and GBP.

 

Deposits and withdrawals

What is the minimum deposit for Atiora?

$1.

How do you make a deposit and withdrawal with Atiora?

Bank Wire Transfer

Visa Credit/Debit Card

Mastercard Credit/Debit Card

UnionPay

Neteller

Skrill

Fasapay

OKPay

WebMoney

PerfectMoney

Does Atiora charge withdrawal fees?

No.

How long does it take to make a withdrawal?

Processing time is up to 1 business day for wire transfer, several hours for credit cards, and most digital wallet transfers are instant.

A review about Atiora

Bitcoin Cash: The Ultimate Guide

Fresh Unique Article to increase your trading knowledge: Bitcoin Cash: The Ultimate Guide

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Bitcoin Cash is a digital currency that was created in 2017 as a hardfork of Bitcoin. It’s known as an Altcoin (alternative coin) and referred to as BCH or Bcash. In 2018, Bitcoin Cash split into two cryptocurrencies: Bitcoin Cash and Bitcoin SV.

Like its big brother Bitcoin, Bcash is a decentralised peer-to-peer network that uses revolutionary ledger-recording technology known as blockchain. This means transactions are processed, verified and stored in a digital ledger which is impossible to manipulate and close to impossible to hack or attack.

Bitcoin Cash was created by ‘rebel’ Bitcoin miners who were concerned about the future of Bitcoin and the scalability of the cryptocurrency. Bitcoin Cash came to the market to address the limitations of Bitcoin where Altcoins such as Litecoin and Ripple threatened its position on the digital currency leaderboard.

Why was Bitcoin Cash created?

Bitcoin Cash was created to increase Bitcoin’s strength in the electronic cash market. It was designed by a peer-to-peer community to increase the block size limit and speed up the transaction processing time.

The aim of Bitcoin Cash is to extend Bitcoin’s positioning into a transaction payment currency to override the market’s perception that Bitcoin is primarily an investment cryptocurrency that’s mainly bought for speculative trading.

Bitcoin Cash competes against a coin like Litecoin that has jumped in popularity because its block generation time is significantly shorter than Bitcoin. Litecoin reduced its block generation time to 2.5 minutes while Bitcoin processing time is about 10 minutes.

The benefit of a faster processing time allows merchants to confirm a transaction in a shorter space of time. A faster transaction time allows Bitcoin Cash to compete against other Altcoins as an electronic coin.

What are the benefits of Bitcoin Cash?

Bitcoin Cash is a hardfork of Bitcoin but they still share the same technological complexities. Both use the same consensus mechanism and supply is capped at 21 million.

Bitcoin Cash solves scalability issues that have plagued Bitcoin which made it an investment currency rather than a transaction currency. Bitcoin could not handle an increase in the number of transactions that were being processed when the blockchain technology surged. This is due mainly to the fact that Bitcoin’s block size is limited to 1MB.

As a result of this limitation, Bitcoin transactions take too long (up to 10 minutes), processing requires expensive equipment and a lot of electricity and the transaction fees are higher. Bitcoin Cash fixed this problem by increasing the size of its blocks to 8MB and, in some cases, up to 32MB.

The larger blocks mean more Bitcoin transactions per minute. The average number of transactions per block on Bitcoin ranges from 1 000 to 1 500. The average number of transactions per block on Bitcoin Cash is up to 25 000 per block.

This increase in block transactions makes Bitcoin Cash far more effective as a payment mechanism for daily transactions. This means Bitcoin can complete with global credit cards such as Visa and Mastercard as well as Altcoins such as Litecoin. The big difference is the fee to transact with Altcoins is significantly cheaper than using Visa which charges high fees for cross-border transactions.

What is a block?

A block is a link in the blockchain technology. It acts as a file where information is permanently recorded and stored securely. A block is a record of some or all of the most recent Bitcoin transactions that have not been recorded in preceding blocks.

In accounting terms, a block is a page in a ledger. As soon as a block is created, it creates an opportunity for the next block in the chain to be created. Once a block is submitted to the blockchain, it cannot be removed or changed in any way.

A blockchain is made up of millions of blocks that are in a constant state of change. A block is virtually impossible to attack or hack. Blocks are created by a peer-to-peer network (nodes) where Bitcoin miners solve complex mathematical equations. They are rewarded in Bitcoins for their effort in solving the maths problem. The same applies to Bitcoin Cash.

How does the size of Bitcoin Cash’s block make a difference?

Bitcoin Cash has larger blocks in its blockchain. This means it has a larger transaction space which very rarely gets congested. At the moment, Bitcoin Cash has fewer users than Bitcoin so the electronic coins can be sent and received faster and for a significantly lower transaction fee.

This makes Bitcoin Cash a simpler alternative to Bitcoin, which was essentially the aim of the hardfork. The creators of Bitcoin Cash wanted to get as many people as possible using the electronic cash as a daily payment mechanism and they will achieve this eventually because the Bcash transaction fees are minimal.

At the same time, the significantly lower transaction fee should not put miners off mining Bitcoin Cash. In fact, they benefit from the software upgrade because they can process more Bcash transactions in the time they would process Bitcoin transactions.

What is the difference between Bitcoin and Bitcoin Cash?

When the software hardfork happened in 2017, anyone in possession of Bitcoin acquired the same number of Bcash. The main difference between Bitcoin and Bitcoin Cash is Bcash allows larger blocks in its blockchain. This improves the transaction processing time per second.

In August 2017 Bitcoin Cash began trading at about USD 240 where Bitcoin traded at about USD2 700. Some would say that Bitcoin Cash is the ‘poor man’s’ Bitcoin but that’s not the case. Bitcoin Cash is like having silver coins in your wallet while your Bitcoin ‘gold’ sits in the vault.

Bitcoin and Bitcoin Cash function as a peer-to-peer cryptocurrency and use open-source software. They both use the same proof-of-work algorithm to timestamp every new block.

One key difference between Bitcoin Cash and Bitcoin is Bcash does not use Segregated Witness (SegWit). SegWit only keeps information or metadata that relates to a transaction in a block. SegWit makes it more expensive to mine Bitcoin because ordering the transactions in the block is time-consuming.

What is the difference between Bitcoin Cash and Bitcoin SV?

Bitcoin Cash created quite a bit of controversy when it came to market in 2017. One faction were adamant Bitcoin should retain small blocks in its blockchain while another faction wanted large blocks. The latter favoured the use of large blocks because it created a more useable virtual currency for daily transactions. The Bitcoin purists were determined to see Bitcoin retain its status as an investment coin.

In November 2018, a hardfork of Bitcoin Cash occurred when two rival factions created Bitcoin Cash ABC and Bitcoin SV. Bitcoin Cash ABC is now referred to as Bitcoin Cash.

The Bitcoin Cash ABC faction was led by entrepreneur Roger Ver and Jihan Wu of Bitmain. The Bitcoin SV faction was led by Craig Steven Write and billionaire Calvin Ayre. The latter created Bitcoin SV (SV is short for Satoshi’s Version) to increase the block size limit to 128MB.

Bcash and Bitcoin SV is both a solution that add a second layer to the cryptocurrency. The split aimed to increase the number of transactions the network ledger could process. Both achieved this by significantly increasing its block size.

The way the cryptocurrency world looks at these semi-hardforks is the same way you’d look at a new version of Microsoft Word. The blockchain technology is consistent but the processing time and add-ons enhance the original product. Bitcoin Cash and Bitcoin SV are a software upgrade rather than a new product.

Why does the size of a block matter?

At the launch stage, the average size of a block in Bitcoin’s blockchain was less than 100KB and the transaction fee was very cheap, only a few cents. This made the blockchain technology weak and vulnerable to attack. To prevent hackers from crippling the Bitcoin network system, the size of a block was limited to 1MB.

When this was implemented, a Bitcoin block was typically generated in 10 minutes. This allowed enough space and time between transactions to maintain the security of the blockchain. Unfortunately, this security measurement became Bitcoin’s Achilles heel because the processing time was slow and the transaction fees increased.

Bitcoin then increased the size of its block to 600K in January 2015. At the same time, the number of Bitcoin transactions surged which caused a traffic jam in the processing pip

eline. It also pushed up the fee for transaction confirmations. The transaction fee is determined by the Bitcoin miners and they typically push transactions with higher fees to the front of the queue to make more money.

The Bitcoin Core team blocked a proposal to increase the block size again. While a debate was raging in the Bitcoin inner circles; a new, more flexible block size was created in the form of Bitcoin Cash.

Bitcoin Cash introduced a larger block into the mainstream. Where Bitcoin blocks are limited to 1MB, Bitcoin Cash is 8MB.

A larger block in the blockchain effectively speeds up the transaction processing time. This means merchants do not have to wait long for a transaction to be processed which allows Bitcoin Cash to compete with credit cards.

Is Bitcoin Cash a safe investment?

Bitcoin Cash is not so much an investment than a daily transaction mechanism. The average size of a block mined on Bitcoin Cash’s blockchain is larger which has two benefits. The

transaction processing time is quicker than Bitcoin and the transaction fees are lower.

Bitcoin is the gold standard of cryptocurrencies and Bitcoin Cash is a cheaper alternative for electronic cash. At the moment, Bitcoin Cash is relatively low-profile and not well known but it’s popularity should grow as it takes on its own identity and moves out of the shadow of its big brother.

Unfortunately, the benefits of a larger block and increased transaction speed are the same reasons why investors are slow to take up Bitcoin Cash and are sticking with Bitcoin. The blockchain transaction volume and volume traded through exchanges for Bitcoin Cash does not come close to what Bitcoin is producing.

What is Bitcoin Cash used for?

Electronic cash

Bitcoin Cash is processed through a peer-to-peer network in the same way Bitcoin is processed. However, the processing speed is almost instantaneous and the transaction fee for Bcash is significantly lower. This is the purpose of Bitcoin Cash; to challenge other Altcoins such as Litecoin in the market who are gaining a stronghold as a more productive and usable electronic payment mechanism.

Investment currency

Bitcoin Cash is more or less a software upgrade of Bitcoin and uses the same technology. It’s only the scalability of Bitcoin Cash that sets it apart from Bitcoin. Bitcoin Cash will experience the same volatility in the cryptocurrency market as Bitcoin does and this is were you could get a good return on your investment if you hold onto your Bitcoin Cash for a longer period.

How do you trade Bitcoin Cash?

Bitcoin Cash is traded in the same way as Bitcoin and other Altcoins such as Litecoin. As an Altcoin, it’s a lot easier to trade Bitcoin Cash because you can buy the virtual money using fiat money such as US dollars, Euros, Pound Sterlings and Rands.

What makes trading Bitcoin Cash easy is you can buy it using your credit card or doing an electronic fund payment (EFT). This makes Bitcoin Cash significantly more flexible than Bitcoin.

The first step you take to trade Bitcoin Cash is to get yourself a digital wallet. Once you have a wallet, you can send and receive Bcash almost immediately.

You get a digital wallet through a reputable exchange such as Luno. Register with Luno and open an account. Follow the easy steps to obtain a wallet and transfer funds into it.

There are 3 ways to get Bitcoin Cash:

  1. Buy Bitcoin through an exchange or a cryptocurrency broker
  2. Accept Bitcoin Cash in exchange for goods and services
  3. Mine Bitcoin Cash

 

 

 

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Alpho Reviewed

Fresh Unique Article to increase your trading knowledge: Alpho Reviewed

 

A review about Alpho
 

Alpho provides access to a wide variety of instruments which can be traded on the advanced and feature rich MetaTrader 5 platform. The broker offers commission-free trading, although spreads are not so tight, starting at 3 pips on the EUR.

Choose your quick section of our Alpho review below.

A Quick Overview of our Alpho Review:

Alpho is a decent broker option for beginner traders seeking an easy entry into the Forex market, with a low minimum deposit, and easy account sign-up process, and decent educational resources.

 

Alpho at a glance

Broker’s Name Alpho
Headquartered Seychelles
Year Founded 2016
Regulating Authorities FSA
Countries not accepted for trade Afghanistan, Cuba, Crimea, Israel, Sudan, North Korea, Ethiopia, Iran, Bosnia and Herzegovina, Iraq, Lao, People’s Democratic Republic, Syria, Uganda, Vanuatu, and Yemen.
Islamic Account (Swap Free) Yes
Demo Account Yes
Institutional Accounts No
Managed Accounts Yes
Maximum Leverage 1:500
Minimum Deposit $100
Deposit Options ·         Credit Card

·         Neteller

·         Ngan Luong

·         Skrill

·         Union Pay

·         Wire Transfer

Withdrawal Options ·         Credit Card

·         Neteller

·         Ngan Luong

·         Skrill

·         Union Pay

·         Wire Transfer

Platform Types MetaTrader 5
OS Compatibility Windows, Linux, MacOS, Android, iOS
Tradable Assets ·         Commodities

·         Forex

·         Indices

·         Shares

Languages supported on Website English, Tamil, Arabic, Vietnamese, Filipino and Indonesian.
Customer Support Languages Multilingual
Customer Service Hours 24/5

 

Who is Alpho?

According to research in South Africa, Alpho is a relatively new Forex broker established in 2016 and headquartered in the Seychelles and regulated in that country by the FSA.

 

Safe or scam

When traders evaluate brokers, regulation is one of the most crucial components that must be considered. Regulated brokers are required to comply with stringent rules and regulations set by regulatory entities and through this, client fund security can be ensured.

The activities of regulated brokers are also overseen by such entities to ensure that there is no fraud or foul play, and to ensure that traders are always protected against such activities.

Alpho is an offshore broker that is regulated by the Financial Services Authority of Seychelles (FSA). While this regulatory body is not as highly regarded as the FCA or CySEC, it nonetheless does provide for some important client protection measures.

The Seychelles Financial Services Authority (FSA) is the regulator for non-bank financial services in the Seychelles.

Established under the Financial Services Authority Act, 2013, the Authority is responsible for the licensing, supervision, and development of the non-bank financial services industry of the Seychelles.

 

Pro and cons

PROS CONS
Commission-free trading Lax regulation
High leverage Offshore broker
MetaTrader 5 available
No deposit or withdrawal methods
Wide variety of deposit methods
Wide variety of trading instruments

 

Leverage

Leverage is a tool which is offered by numerous brokers to traders. With leverage, traders can open larger positions, allowing traders more exposures to the market in which they are trading despite their initial deposit.

However, as beneficial as leverage may be, it can also be detrimental when used incorrectly or abused. Leverage increases a trader’s chance of gains and thus, it also increases the risk of losses.

Traders are at risk of incurring losses which may exceed their initial deposit, leading to a negative balance on their trading account if the trader does not have the benefit of negative balance protection.

Leverage is expressed as a ratio, for instance 1:1, 1:50, 1:100, 1:500, and even up to 1:3000. Leverage and margin go together, with margin being the amount required from the trader at the start of the trade. This amount serves as collateral for any credit risks which may arise.

When traders apply leverage, the margin requirement is reduced, and the trader can open larger positions.

Alpho offers variable leverage on the different instruments which can be traded, but the maximum leverage ratio available is 1:500. This is significantly higher than the leverage offered by many brokers today, particularly those operating within the EEA, where leverage has been capped at 1:30.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments. Brokers may offer traders either with a variety of accounts, with each catering for varying levels of skill, knowledge, and experience, or a single account that can be used.

The number of accounts along with the features offered will vary from one broker to the next. For this reason, it is imperative that traders evaluate brokers and make use of the demo accounts offered to explore the broker’s offering.

With Alpho, traders can register for one single account type which grants full access to all the 886 instruments which are available to trade, the MetaTrader 5 platform, and the maximum leverage ratio of 1:500.

 

Demo Account

The broker offers beginner traders the option of opening a free demo account, which is especially useful to be able to test out the broker’s trading features before deciding to apply for a real account.

The demo account is funded with virtual currency and allows traders full access to the MetaTrader 5 platform. Unfortunately, the broker does not indicate whether the demo account expires, or if it is available for an indefinite period.

 

Islamic Account Option

Alpho offers traders of the Muslim faith the option of opening an Islamic Account, also referred to as a swap-free account. This allows Muslim traders to avoid interest accrued on positions held overnight, which is restricted by Sharia law.

As with the live and demo account, traders can apply for the Islamic Account after having registered with the broker.

 

Market instruments

With Alpho, users can trade on 886 financial instruments covering Forex, Commodities, Indices and Shares on the popular MetaTrader 5 trading platform.

 

Fees

Another crucial factor that traders must consider when evaluating a broker is the fees that they will incur. These fees relate to both trading and non-trading activities and actions.

 

Trading Fees

One of the first fees that traders will encounter concerns a minimum deposit fee which is paid after the trader has completed account registration.

Next, traders must consider the spreads, commissions, and margin requirements. Commission-free trading is available from Alpho, which takes a profit solely from the spread.

Spreads are variable and will be determined by the instrument or market being traded. Spreads starting from 3 pips on the Euro Dollar, which is high compared to many other brokers in the industry, even others who do not charge commission.

The full break down of the spread list for each instrument can be viewed directly on the broker’s website.

 

Non-trading fees

Where non-trading fees are considered, traders must consider fees relating to account inactivity, deposit and withdrawal fees, account management and maintenance fees, currency conversion fees, and others.

From 1st, 2019, Alpho introduced a monthly Maintenance Fee of USD 10 (or currency equivalent) for all its current and new trading accounts.

The Maintenance Fee will be charged if there are no transactions (deposits, withdrawals, or trading activity) on your Trading Account for a period of at least one month or more.

The broker does not appear to charge deposit or withdrawal fees, although a fee may be charged by the trader’s selected payment processor, which is beyond the broker’s control.

Depending on your deposit currency, conversion fees may apply. Traders will have to contact the customer support team in this regard.

 

Deposit and withdrawal

When evaluating brokers, the ease with which deposits and withdrawals can be made is another imperative factor to consider.

Alpho has a broad selection of accepted deposit methods, which consist of the following:

Credit Card

Neteller

Ngan Luong

Skrill

Union Pay

Wire Transfer

 

The minimum deposit required to open a live account is $100, which is low compared to most other brokers in the industry today.

 

Trading platforms

The trading platform is the software that traders use to execute their trades. Each broker reserves the right to offer their own preferred trading platform. Where some brokers offer a variety of third-party platforms, others prefer offering their own proprietary platforms, if they have one.

Alpho provides traders with access to the MetaTrader 5 platform, which is the updated version of the highly popular MetaTrader 4 platform.

In comparison with MetaTrader 4, MetaTrader 5 has been significantly improved. It contains more advanced graphs and analytical tools as well as more timeframes including 2 minutes and 8 hours. An economic calendar has also been added.

The email system now allows attachments to be sent and the possibility to trade exchange. Most importantly, MetaTrader 5 provides further ways of trading in terms of both investment instruments and trade methodologies.

MetaTrader 5 has more timeframes, allows more pending orders and more technical indicators. You can fully access all your trading through the web, while being able to monitor all aspects of markets from anywhere in the world.

 

How to open an account

Opening an account with Alpho simply involves clicking on the “Join” button located on the homepage of the broker’s website.

At the registration portal, traders provide their name, email and telephone number and should read and accept the terms and conditions before being redirected to the client portal.

At the client portal, users can then decide whether they would like to open a live account or a demo account and set their withdrawal and deposit methods. However, true trading can only begin once their profile has been completed and the verification process is complete.

 

Customer support

Alpho provides multilingual customer support in English, Tamil, Arabic, Vietnamese, Filipino and Indonesian.

The customer support team can be contacted via telephone or email only, and the lack of a live support chat option might mean that pressing client queries take longer to be resolved.

 

Education

Alpho has a decent educational offering, in the form of a free online and chaptered guide available from the broker’s website. However, other resources, like webinars, are not available.

Such tools, resources, and materials prove helpful especially for beginner traders who do not yet know how to navigate trading or the markets.

 

Research

Research tools help traders in their activities in addition to helping them hone their skills in making informed trading decisions.

In terms of its research offering, Alpho provides updated market news, an economic calendar, and insightful videos on the latest market movements from around the globe.

 

Awards

Awards serve to instil confidence in a broker as it reflects the level of service the broker offers. Alpho does not list any awards on its website to date. However, this is common amongst many offshore brokers.

 

Conclusion

Advanced traders will enjoy access to the MetaTrader 5 platform and higher leverage of up to 1:500 which can be used to trade an impressive range of 886 instruments.

However, all traders should keep in mind that Alpho is an offshore broker regulated by the FSA, which is not as stringent as some of the larger regulatory agencies in the Forex trading industry.

 

Disclaimer

Alpho warns potential customers that Forex and CFDs trading carries a substantial risk and may not be suitable for all investors.

Before deciding to trade with Alpho, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Alpho warns that margin trading involves the potential for profit as well as the risk of loss.

Movements in the price of foreign exchange and commodities are very unpredictable, hence Alpho cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQ

Trading environment

How many instruments can I trade with Alpho?

With Alpho, users can trade on 886 financial instruments covering Forex, Commodities, Indices and Shares.

Which platforms are supported by Alpho?

MetaTrader 5.

Does Alpho offer leverage?

Yes. The broker provides a maximum leverage of 1:500.

What spreads can I expect with Alpho?

Spreads starting from 3 pips on the Euro Dollar, which is high compared to many other brokers in the industry, even others who do not charge commission.

Does Alpho charge commission?

No.

Is Alpho regulated?

Yes, Alpho is regulated by the FSA in the Seychelles.

Is Alpho a recommended forex trading broker for experts and beginners?

Yes. Alpho offers a good environment for both beginners and experts.

What is the overall rating out of 10 for Alpho?

7/10.

 

Accounts

What is the difference between a demo and live trading account?

A demo account is an account funded with virtual money that allows for risk-free trading while a live trading account requires actual capital.

With a demo account, traders can safely explore the broker’s offer, practice trading, or test out their trading strategies that they wish to use in a live trading environment.

Does Alpho offer a demo account?

Yes.

How long is the demo account valid?

This information is not provided by the broker.

Which live trading accounts does Alpho offer?

Traders can open one type of live trading account, which is also available as a swap-free Islamic version.

What are the available deposit currencies for a live trading account?

This information is not provided.

 

Deposits and withdrawals

What is the minimum deposit for Alpho?

$100

How do you make a deposit and withdrawal with Alpho?

Credit Card

Neteller

Ngan Luong

Skrill

Union Pay

Wire Transfer

Does Alpho charge withdrawal fees?

No.

How long does it take to make a withdrawal?

Typically, bank wire transfer can take between 3 to 5 business days, while e-payment options can take up to 10 minutes.

 

 

 

A review about Alpho

Sanlam iTrade Reviewed

Fresh Unique Article to increase your trading knowledge: Sanlam iTrade Reviewed

A review about Sanlam iTrade 

Sanlam iTrade is the online share trading platform of Sanlam Private Investments (SPI), in other words it acts as the private client portfolio manager and stock broking business within the bigger Sanlam Group.

Choose your quick section of our Sanlam iTrade review below.

A Quick Overview of our Sanlam iTrade Review:

Further, the Sanlam iTrade Academy supports clients by making investment effortless with its free digital training boutique.

 

Sanlam iTrade at a glance

Broker’s Name Sanlam iTrade
Headquartered Tyger Valley, Cape Town, South Africa
Licensing and Registration Sanlam Limited is a South African Licensed Financial Service Provider and a Registered Credit Provider.
Products and services Trading, Information, Global Trading, iManaged portfolios
Portfolios available The General Equity Portfolio

The Dividend Income Portfolio

Demo Accounts Yes, called Virtual Trade Simulator (VTS)
OS Compatibility Desktop, Mobile – iOS and Android
Tradable Assets CFDs on Indices, FX, Commodities, Futures, Indices, Cash Indices, Interest Rate Futures, Bond Futures, Currencies, Commodities, Individual Shares
Languages supported English
Customer Support Options Phone, Fax and email
Customer Service Hours 24/7

 

Overview of Sanlam iTrade

Sanlam iTrade is the online trading platform of Sanlam Private Investments that goes above and beyond the expected to add value to its clients’ lives. Being an advanced online trading platform, it offers traders everything they need to make successful investment decisions, pro-actively manage their portfolios and trade on the JSE at competitive prices.

 

Why trade online?

More and more people of different generations are discovering the benefits of investing directly on the JSE. These include:

  • Offering online clients the quality, quantity and speed of information that is usually only available to professional investment managers.
  • Convenience and availability anywhere, anytime – you can manage and research your investments from 24/7, from the convenience of your home or office or while travelling the world.
  • Cost-effectiveness – the abundance of information, research and live data is available at a small monthly fee and trading fees can be 50% lower than normal stockbroking fees.
  • Speed – there is no waiting on the telephone to talk to a stockbroker. Transactions are processed straight into the JSE within seconds, followed by immediate trade confirmation via SMS.
  • Pro-active portfolio management – while you are away from your office, price alerts will keep you informed and automatic stop-loss orders will protect you from sudden price declines.

 

How are you linked to the JSE as Sanlam iTrade client?

Sanlam iTrade provides you the opportunity to trade on the JSE as if you were right there on the trading floor yourself.

It provides real-time live prices with market depth and the five best bid and offer prices plus volumes. It processes buying and selling orders through the JSE in seconds with Direct Market Access and send immediate trade confirmations via e-mail and SMS.

You can also protect your portfolio from sharp price movements by placing stop-loss orders.

 

What products and services does Sanlam iTrade offer?

Sanlam iTrade offers local JSE equities and CFDs with immediate trade execution on a state-of-the-art trading platform with direct market access (DMA), and at competitive costs.

 

Trading

Trading in contracts for difference (CFDs) is fully transparent and at the exact JSE price, without spreads or doubles.

It provides comprehensive share data on every listed share and exchange traded fund (ETF), including financial statements, annual reports, consensus broker forecasts, detailed fact sheets and performance statistics.

A searchable Stock Exchange news service (SENS) archive and much more is available.

You are able to create your own watch lists with price alerts to keep on top of shares you are interested in.

Sanlam iTrade provides secure, fast online trading with more than 98% uptime and the use of a state-of-the-art Iress platform which a trader can customize to his own requirements.

With Sanlam iTrade a trader can trade any JSE listed instrument: shares, ETFs, ETNs or warrants.

Price alerts for up or down triggers are sent via e-mail or SMS.

Stop-loss orders are provided to protect a trader’s portfolio from sudden downward movements.

Traders trade CFDs because the costs are much lower, 0.35% compared to 0.5% and they can trade CFDs on JSE shares on the same Iress trading platform they use for trading shares, by just selecting the CFD account.

Whilst some competitors quote their own bids and offers on CFDs, you trade the JSE spot price for a CFD with Sanlam iTrade, which assures you to get the “true” market price and protects you from misleading quotes as made by some trading platforms.

Sanlam iTrade’s fees are also listed separately, which means it is operating fully transparent.

Stop-losses can be set to protect a portfolio from sharp declines. If a trader’s margin falls below pre-determined levels, Sanlam iTrade will automatically close positions to maintain the margin.

 

Information

You have access to live JSE SENS news that enables you to learn of sensitive news simultaneously as any stockbroker on the JSE.

You get graphs with technical analysis tools like MACD, Stochastics and relative strength indicator (RSI).

You get access to company research from three different sources.

You can trade on your IOS or Android mobile device and view your portfolio and watchlist.

You can gain experience without risk through their learning centre, and a virtual trade simulator.

 

Global Trading

You can trade on more than 20 global markets on the iTradeGlobal platform against competitive brokerage fees and free live prices for European markets.

You get free NewsEdge news, Tradingfloor technical analysis and comprehensive share data and research on more than 11 000 global shares for a small fee.

 

iManaged portfolios

iManaged portfolios are not unit trusts but individual share portfolios. The minimum investment is R200 000 and there is a maximum of 10 shares in each portfolio to minimise trading costs.

Their iManaged portfolios are not individually tailored but are strictly managed according to model portfolio guidelines, giving you access to the expertise, experience and excellent track record of their investment team. You may however change your account status to self-manage the portfolio at any stage.

 

Trading instruments

With Sanlam iTrade traders can trade CFDs on all major global markets through a relationship with Sanlam Private Investments in London, SPI Direct. This offering entails trading CFDs on Indices, FX, Commodities, Individual Shares and Bonds:

Futures Indices – Wall Street; S & P 500; Nasdaq 100; UK 100; DAX 30; Nikkei 225; Australia; China; Hong Kong; India; Brazil and more.

Cash Indices – UK 100; Wall Street; S&P; DAX; Spain; Nikkei, etc.

Interest Rate Futures – Euribor; Euroswiss, Short Sterling.

Bond Futures – Bund; Gilt; US 30 Year; US 10 Year, etc.

Currencies – 24 hour trading in all major currencies plus many minor pairs like USD/ZAR; EUR/ZAR and GBP/ZAR.

Commodities – Brent Crude; Carbon Emissions; Gold; Gold Futures; Silver; Copper; Wheat; etc.

Individual Shares – UK 100 & Mid 250; selection of S&P 500 & NASDAQ 100; German; French; Indian; Australian and more.

Sanlam iTrade guarantees market leading tight spreads with low margins, as low as 0.1%. Unlike the local JSE CFDs, foreign CFDs trade on market makers’ doubles with no commissions.

Spreads vary from exchange to exchange, with full information available on the Sanlam iTrade website.

Traders can have peace of mind with SPI Direct guaranteed stop orders at a small extra cost, which means that they will also be protected from overnight price moves.

Traders can make the most of market moves with trailing stops, which automatically track their positions, so that they don’t need to worry about monitoring their position and moving their stops manually.

 

Types of portfolios available

Two iManaged portfolios are available with Sanlam iTrade:

 

The General Equity Portfolio

This portfolio’s primary objective is to provide above-average total returns (capital plus income) over an investment horizon of at least three years, by investing in quality ordinary shares that are listed on the JSE.
This portfolio usually is suitable for long-term investors that are looking for concentrated equity exposure through a diversified portfolio of quality shares, spread over the resources, industrial and financial sectors of the market.

 

The Dividend Income Portfolio

This is a diversified local equity portfolio which may include both ordinary and preference shares.

The portfolio’s objective is to invest in shares that offer higher dividend yields than the general market, and which is believed to sustain or grow their dividends over time.

The portfolio aims to provide a combination of income and capital growth, but with a larger emphasis on growing the income stream in real terms over an investment horizon of 3 years.

It is best suited for investors who can withstand potential capital volatility in the shorter term.

 

What does it cost?

A monthly fee of just R50 plus VAT gives a trader access to this innovative online offering of features and facilities.

Monthly fees are waived if a trader pay more than R300 broking fees in a month. Broking fees start at R75 basic charge plus 0.5% broking fee (excluding statutory levies and taxes). The fee scale drops to 0.4% for trades above R500 000 and to 0.35% above R1m.

Monthly fees of R50 plus VAT include website use and all admin costs as well as 150 free live prices. With this monthly fee being waived if you trade more than R300 in broking fees in a month, many of their clients never pay any monthly fees.

iTradePro is also available but costs an extra R57 per month. This is meant for the more active traders with unlimited live prices on their portfolios, watchlists.

CFD costs are detailed on CFD trading webpages and there are no extra monthly fees for CFDs.

The minimum investment for iManaged portfolios (which are individual share portfolios, not unit trusts) is R150 000, and there are usually not more than 10 shares in each portfolio to minimise trading costs.

Portfolio Management fees are 1.5% per year and are calculated monthly on the value of the portfolio. There is also a small R300 per year custodian fee. Transaction costs are kept in line with iTrade’s low fee structure.

 

Mobile trading

Traders can view their portfolios and watchlists on any type of IOS or Android device by downloading the Iress app.

Market information and SENS news can also be viewed on these devices and traders can place and manage orders to buy or sell shares or local CFDs as well as stop-loss orders.

 

Education

If you are new to online trading, Sanlam iTrade’s website offers enough online education and interactive training courses to empower you to manage your investments successfully.

Furthermore, a Sanlam iTrade’s Virtual Trade Simulator is available with which you can learn to trade with a fictitious share portfolio. By registering as an iView client, you can use it for free for the first month, thereafter it will cost you only R200 per year.

Sanlam iTrade offers a host of free webinars and online courses to equip you with the skills and knowledge (especially about the terminology) to get you trading. These courses will help traders achieve market-beating returns, whether they are new, intermediate or experienced investors.

Various education models explain how to use the website to trade as well as interpret macro-economic releases and share data to ensure technical analysis works for you. The site offers links to educational websites too.

Professional courses for all your investment knowledge needs are offered through the Sanlam iTrade Academy, an online learning platform. It provides digital training courses on a range of topics to registered clients.

Trainees can sign up to the Academy through creating their own unique academy profile which will give them access to all training courses offered by Sanlam iTrade. Trainees are awarded a certificate of completion at the end of each training course.

All courses provided by the Sanlam iTrade Academy are free of charge.

Even after completing these courses, you may not feel confident enough to start trading. Then you can first register to practise demo trades on their Virtual Trade Simulator (VTS) and get limited access to some of the information and features on the website itself.

Different practice options are offered:

  • Local JSE Trading Demo – Register as an iView client
  • JSE CFD Trading Demo
  • SA Residents Global Trading Demo
  • Non-residents Global Trading Demo

 

Research options

Sanlam iTrade gives its traders adequate fundamental share data and research options.

Sanlam iTrade provides a powerful research tool that provides information on the South African economy, the impact of the international economy, JSE-listed companies and technical analysis on markets and shares.

For every share, you get access to a news archive and more than 10 years of financial statements. Sanlam iTrade makes trading and performance statistics available on top of statutory company information and dividend info.

They continuously update model portfolios for different risk categories and manage it.

They provide consensus broker forecasts on more than 100 companies, giving traders the buy/hold/sell views of top brokers as well as three-year earnings forecasts.

Furthermore Sanlam iTrade provides a comprehensive charting facility for traders to undertake their own technical analysis on all JSE shares and indices, currencies, commodities and international indices. Statistical analysis includes MACD, RSI, DMI (ADX), Stochastics, Fibonacci Retrace, Bollinger Bands and more.

Other similar options include:

Daily analysis and market commentaries.

Intra-day tables with graphs of market indicators like JSE Indices, Global Indices, Currencies and Commodities.

Comprehensive end-of day charts of all JSE shares, JSE Indices, Currencies, Global Indices and Commodities with technical analysis tools like Moving Averages, Stochastics, MACD, RSI, etc.

Technical analysis research provided by Trading Central, which is considered a global benchmark in technical analysis with more than 150 Financial Institutions and Banks trusting them.

Trading Central provides event-driven research and technical analysis strategies based on market studies to help traders make profitable decisions.

MAPS is an exceptional, multidimensional tool that enables users to view and understand vast amounts of data instantly – almost like a satellite navigational system for shares.

MAPS allow traders to view multiple shares at a glance, e.g. the major JSE indices or watch lists. Price movements are reflected in colour: shades of green for up and shades of red for down, making it easier to see sharp price movements at a glance. Such price movements can be viewed for Today, Year to Date or 52 Weeks.

 

 

Support and contact

Whether you are a new customer that needs guidance in the trading process or an experienced trader that needs information or has a problem to be solved, a support team with Sanlam iTrade is ready to assist.

 

Presence on Social Media:

 

Sanlam iTrade is a leader in the online trading sector of social media with more than 8 000 followers on Facebook and 3 000 on Twitter (@SanlamiTrade).

Sanlam iTrade was responsible for another world first, the iTrade Fantasy League Portfolio. Sanlam iTrade asked its Facebook fans to choose 20 shares and manage the portfolio for nine months in 2013. They invested R1m in the shares chosen and the portfolio outperformed the JSE All Share Index, after which the profit of R167 000 was divided between the winners of the competition and CHOC, a childhood cancer organisation.

Sanlam iTrade can be followed on LinkedIn, Twitter, Facebook, YouTube and Instagram.

 

Awards

Sanlam iTrade’s service delivery is highly rated by its clients. This was proved since 2011 when Sanlam iTrade won the People’s Choice Award in the Business Day Investor’s Monthly Stockbroker of the Year Awards in both 2011 and 2012.

The clients rating their stockbrokers were the only judges.

In 2013 Sanlam iTrade was ranked first in the category Overall Costs; In 2014 they were ranked second in the overall Top Stockbroker category with Sanlam Private Wealth and received 5 stars for Trading Tools, Client Education and Resources as well as Responsiveness and Transparency.

In the company’s own Client Satisfaction Survey more than 94% of clients rated their overall experience with Sanlam iTrade as “Excellent” or “Good”.

Admin Service as well as IT Service was rated as excellent or good by well above 80% of clients.

More than 95% of clients rated the chances of recommending iTrade as excellent or good.

 

 

Conclusion

Sanlam iTrade offers the perfect array of online trading and portfolio management tools, neatly assembled together in one package. Their tools are more than adequate and assist in the rendering of outstanding trading opportunities.

A variety of products and services are provided, with trading across many markets possible, all at a reasonable cost.

 

Introduction to stock broking

Sanlam iTrade is the online share trading platform of Sanlam Private Investments (SPI), in other words it acts as the private client portfolio manager and stock broking business within the bigger Sanlam Group.

 

What is a stock exchange?

A stock exchange creates a market where buyers and sellers can trade in shares and it enables companies to raise capital for new ventures or expansion. When a person buys shares, it gives him part ownership of a company. As a shareholder, you may vote at the company’s AGM and you are entitled to a part of the profit when dividends are declared by the board.

 

Who can trade on a stock market?

Newcomers to the stock market must realise that it is not a game for gamblers, on the other hand, there is no reason to fear trading stocks.

Sanlam iTrade offers a free course for beginners titled “Shares Made Simple”, that clarifies much about the stock market. A new customer can also first familiarise himself with a virtual portfolio instead of jumping straight into the market with his own money.

This way you can buy and sell shares with virtual money and first learn how they react to different factors like news-breaking national and international events or a company’s profit statement.

When you decide to start trading, it is more cost effective to trade in shares online rather than seeing a financial planner.

Sanlam iTrade was introduced as an advanced online trading platform that offers everything you need and more to make successful investment decisions, pro-actively manage your portfolio and trade on the JSE at competitive rates.

As part of SPI’s strategy to become the leading private client investment manager and stockbroker Sanlam iTrade supports the Sanlam Group’s objective to grow and become South Africa’s leading diversified financial services group.

 

FAQs

What is Sanlam iTrade

Sanlam iTrade is the online share trading platform of Sanlam Private Investments (SPI) and acts as a private client portfolio manager and stock broking business.

Which type of portfolios does Sanlam iTrade offer?

The General Equity Portfolio

The Dividend Income Portfolio

Why is it beneficial to trade online?

  • Clients enjoy the same quality, quantity and speed of information available to professional investment managers.
  • Clients can manage and research their investments 24/7, from the convenience of your home or while travelling the world.
  • All the information, research and live data is available at a lower cost than normal stockbroking fees.
  • Transactions are processed straight into the JSE within seconds, followed by immediate trade confirmation via SMS.
  • Even while you are away from your office, price alerts keep you informed and automatic stop-loss orders protect you from sudden price declines.

What products and services does Sanlam iTrade offer?

Trading

Information

Global Trading

iManaged portfolios

What will it cost to make use of Sanlam iTrade’s services?

  • Monthly fee is R50 plus VAT but are waived if a trader pays more than R300 broking fees in a month.
  • Broking fees start at R75 basic charge plus 0.5% broking fee.
  • iTradePro is available at an extra R57 per month.
  • Portfolio Management fees are 1.5% per year.

How can I learn more about trading from Sanlam iTrade?

Interactive training courses offered on the website

A Virtual Trade Simulator

Free webinars

Do I need an office to trade with Sanlam iTrade or can I trade on a mobile device?

No, a trader can execute all operations on a mobile (iOS or Android) device.

Is Sanlam iTrade a recommended trading broker for experts and beginners?

Beginners can learn from Sanlam iTrade the necessary skills to start trading and experts will be able to make use of some of its more sophisticated services.

What is the overall rating out of 10 for Sanlam iTrade?

9/10

How do I register?

To join Sanlam iTrade you simply register on their website.

 

 

 

A review about Sanlam iTrade

Can Fine Art Be a Long-term Investment?

Fresh Unique Article to increase your trading knowledge: Can Fine Art Be a Long-term Investment?

Fine art as a long term investment can increase in value over time, much like stocks and bonds. Art is a long-term investment as profits from it will not be earned overnight. Investors who are looking to stretch their investment over 10-years or more are often advised to invest in fine art.

Choose your quick section of our can fine art be a long term investment below.

A Quick Overview of our Fine Art be a long term investment Review:

One thing that must be noted is that the market for fine art has rules of its own. It is a separate market and thus not susceptible to the rise and fall of other markets.

 

History of Fine art as an investment

Fine Art traces its origins back to the Acheulean period of prehistoric art to sculptures like the Venus of Berekhat Ram, which is a ballistic figurine of 230,000 to 700,000 BCE, and the Venus of Tan-Tan, which is a quartzite figurine dating back to 200,000 to 500,000 BCE.

Cave paintings also form part of the history of fine art such as those found in the Chauvet Cave, c.30,000 BCE, Lascaux, Altamira, Pech-Merle, and Cosquer.

It should be noted that during the era of ancient Mediterranean civilizations such as those of later Greek, Roman, and Byzantine culture, medieval Carolingian, Ottonian, Romanesque as well as Gothic art, artists practising fine art were considered only as skilled workers.

They were regarded much like skilled interior decorators and carvers, and nothing more. It was not until the Renaissance that artist as a profession was taken to an entirely new level. This reflected the importance of the ‘design’ element of art, otherwise known as ‘disegno’.

 

Fine Art definition and Meaning

Plainly defined, fine art refers to an art form which is practised predominantly for its aesthetic value along with its beauty, which is also referred to as ‘art for art’s sake’, rather than the functional value that it holds.

Fine art finds its roots in drawing along with design-based works such as painting, printmaking, and sculpturing. Fine art is quite often contrasted with applied art as well as crafts. Both of these are traditionally considered as utilitarian activities.

There are also non-design-based activities which can be considered as fine arts including photography and architecture, with the latter being understood more clearly as an applied art.

Fine art’s definition is constantly seeing extension to incorporate new activities which arise either due to new technology or artistic invention. The former in this can be exemplified by acrylic painting, silkscreen printing, and giclee prints.

The later of the invention incorporates mixed-media artworks which specifically employ collage, décollage, photomontage, or what is known as ‘found art’. It is for these reasons that it is challenging to define fine art or fix a meaning.

 

The difference between Fine Art and other Decorative Arts and Crafts

It was only until the English ‘Arts and Crafts Movement’ during the late 19th century that a rigid distinction could be made between fine art, which is purely aesthetic, and decorative art, which is functional.

With the introduction of the category focused on visual art during the 20th century, the arbitrary distinction became significantly blurred. This resulted in certain crafts and decorative arts, more notably ceramics, being considered as fine art.

 

Which arts are considered Fine Art?

The definition of Fine Art is subjected to change but currently consists of the following:

  • Drawing – including that done with charcoal, chalk, pastel, pencils, pen and ink, book illustrations, and caricature.
  • Paintings – which includes a variety such as encaustic, tempera, ink and wash, oil, watercolour, gouache, and acrylics.
  • Sculptures – which include bronze, sone, and woodcarvings.
  • Printmaking which consists of woodcuts, engraving, etching, lithography, and silkscreen-printing, and
  • Other fine arts such as photography, architecture, manuscript illustration, calligraphy, and animation.

 

An Introduction into Hard Assets

Now that there is a clearer understanding of fine art in its history, definition, and categories which are considered fine art, it is imperative to consider where fine art and investment meet. For this reason, it is necessary to look at hard assets, as fine art is, after all, a physical asset.

In this, we can define what hard assets are, they are tangible assets which can be physically held. This includes, but is not limited to real estate, bullion coins, collectible coins, jewellery, and, as previously noted, fine art.

Fine art may look fantastic in a home, an office, or any other area where it can be appreciated and it, thus, provides people with appreciation for their money. Most hard assets retain their value over time.

A great example to explain this concept is by considering gold coins. They are a popular and common means for investors to protect themselves should the dollar depreciate. When considering that the US Dollar has lost around 95% of its purchasing power since 1913, it makes sense that investors seek other ways to protect their investments.

However, despite this depreciation, the Federal Reserve exported the majority of the monetary inflation to other jurisdictions through the dollar becoming the premier reserve currency in the world.

Transactions on global markets for commodities, for instance, all receive settlement in US Dollars. As result of this, nations that want to trade these commodities must maintain the reserve of the US Dollar to be able to trade internationally.

In the same way that gold is used as a safe-haven for investment, other hard assets are also used, including fine art. But whether it has the same potential to retain, and even increase, in value over time in order to be considered a viable long-term investment, will be explored further in this article.

 

What are Speculation Assets?

When considering hard assets, there are several classes which offer investments a store of value for their money. Others offer the opportunity of profits based on the value of the asset at the time that it is sold.

Gold coins cannot be an example of a speculative asset as they do not increase by a certain amount of money. However, gold coins provide investors with a hedge against inflation and while such a hedge is important in maintaining wealth, it will not return a great amount of profit.

One of the most common forms of speculative investing is the investment in stocks. Stocks are purchased at a certain price based on the information that the broker provides. Those who buy the right stocks then stand the chance of making a profit which could exceed the initial investment amount.

However, stocks are an extremely risky asset class to investment and the potential for financial reward that it is associated with comes with a certain level of risk. The markets could crash at any moment and stocks that were purchased could end up below the price at which they were originally bought, making it fundamentally useless to try and sell them.

 

Speculative Assets and Fair Market Value

When considering the risks which come with investing in stocks, investors will be happy to know that there are other speculative hard assets which are not as prone to violent market movements. This is where collectible coins, and more especially, fine art come in as examples of such assets.

Fine art pieces are purchased and sold around the globe by a variety of high-level wealthy investors. Due to the demand, which is experienced in this market, it retains its value. Demand continues to soar due to more billionaires being minted over the world every year.

This shows that the elite class of substantially wealthy individuals continues to expand despite the rest of the world’s population slipping deeper into poverty.

 

Statistics show that:

  • 1% of the world population currently has control over more than 60% of the world’s assets, with this figure continuously rising.
  • By 2019, there were over 2,200 billionaires originating from countries worldwide.
  • There was a substantial rise of other 150+ billionaires from the previous count of approximately 2,050, recorded in 2017, with a continuous rise in this figure.

 

Wealthy individuals do not like the idea of losing any of their money and while they prefer to keep a substantial part around and invest in businesses, real estate, stocks, and other assets, they prefer to have a fair percentage of their portfolios dedicated to fine art.

As result of this, there is a high demand for fine artworks, with prices on some pieces going for outrageous sums of money.

 

How do Art Investments work?

There are also numerous investors who include paintings in their estate planning. This is so that these assets can be passed along to their descendants. Fine art is often passed from one generation to the next, which greatly increases its value over time.

Investors who have stocks in their portfolio along with fine art will notice that even when their stocks do not perform well, their art investment is doing much better.

However, the market for art also experiences fluctuations and it is impossible to determine the true value of an artwork as a lot depends on the reputation of the artist, the art market, the global economy, and several other factors.

 

Reasons to invest in Fine Art in the Long-Term

The fine art market has grown exponentially

During the past 10 years, the fine art market has experienced growth of 113%. This, and numerous other reasons, is why investors have become more interested in fine art investment.

The Knight Frank Luxury Investment Index, or KFLII, tracks the movement and performance of a variety of assets including fine art, classic cars, and fine wine. The index shows that all three classes have substantially outperformed shares in the last decade.

 

The Fine Art market is cyclical over long-term

Stock market pundits are mirrored quite often in the debate which exists between fine art bulls as well as bears. There have been contractions identified in the art market and not all genres or styles of art perform as well as others.

There have been losses observed in one whereas another may be experiencing substantial growth and returns. There is a specific risk/reward ration which allows investors to tailor the purchases that they make to suit their unique needs.

 

Investing in fine art translates to investing in the artist and the art itself

Art does not always have to be bought at an auction. There are numerous unknown, early emerging artists which are a vital part of the art world, with their works on sale at galleries.

It is a risky financial investment when purchasing work by new artists who are not established yet, but it encourages the artist to innovate and find new ways of expressing themselves. It also supports emerging galleries and contributes to fine art as a whole, inspiring greater movements which may occur in the fine art market.

 

Opportunities in collecting fine art

Another advantage of investing in fine art is that investment increases the social value thereof. Social aspects are often a key driver behind purchases by art collectors.

 

How to start investing in Fine Art

The first step is to decide on the amount of capital that you are willing to invest. It should be an easily-affordable amount, preferably disposable, in case the artwork depreciates. There are also possible storage and maintenance costs involved that should not be overlooked.

The next step is to become more educated about the art world. This can be done by visiting galleries, museums, talking to curators, and other figures who will be able to teach you more.

Browse websites where artworks are showcased and where there are auctions. This is so that you can gain improved insight into how the market operates.

Once you have found an artwork that you wish to invest in, you can narrow down your research to focus on the artwork itself. This includes determining its price, its value, and other factors.

By taking a photo of the artwork, or emailing an image to an appraiser, you can have the quality of the artwork appraised by a professional. Next, you can either purchase the artwork, which is a costly option, or you can purchase shares through an online marketplace.

When purchasing artworks via the internet, ensure that it is done through a legitimate gallery, dealer, or an investment firm to avoid falling prey to elaborate internet scams.

 

 

 

Zenzele Kabili Reviewed

Fresh Unique Article to increase your trading knowledge: Zenzele Kabili Reviewed

A review about Zenzele Kabili 
 

In early 2020, South African Breweries (SAB) announced the creation of its new R5.4-billion broad-based BEE ownership scheme, SAB Zenzele Kabili. As such, this represents the largest and most prolific broad-based BEE transaction in the South African fast-moving consumer goods (FMCG) industry.

Choose your quick section of our Zenzele Kabili review below.

A Quick Overview of our Zenzele Kabili Review:

 

Background of Zenzele Kabili Shares

SAB Zenzele Kabili follows the decade-long success of the SAB Zenzele scheme, which has today delivered R14-billion in value for its beneficiaries, including SAB Zenzele’s 29 000 retailer shareholders, 13 000 current and former SAB employees and the SAB Foundation when it unwound in April 2020.

The Company was incorporated for the specific purpose of the New Empowerment Transaction. On 21 January 2020, SAB subscribed for one SAB Zenzele Kabili Ordinary Share to enable the Company to pass all necessary shareholder approvals required for the implementation of the New Empowerment Transaction. The Company thus became a subsidiary of SAB.

The SAB Zenzele Kabili scheme works to replace and build on the success of SAB Zenzele with the intention of generating value for existing and new BEE investors.

 

The more than 40 000 shareholders who invested in SAB Zenzele received R9.7-billion in value when the transaction ended in April 2020 and were given the option to receive this value in either AB InBev JSE-listed shares or cash proceeds from the sale of these shares.

SAB has received consistent feedback from SAB Zenzele shareholders that they want the opportunity to re-invest part of the value from the unwinding of SAB Zenzele into a new empowerment scheme that will hold shares directly in AB InBev.

Accordingly, the new scheme will allow SAB Zenzele shareholders the opportunity to re-invest.

 

Utilising a scheme of arrangement, which requires 75% approval from SAB Zenzele shareholders, SAB retailers will invest a minimum of 15% of the value of their SAB Zenzele unwind in exchange for shares in SAB Zenzele Kabili, which is listed on the BEE segment of the JSE.

SAB Zenzele shareholders voted on the scheme at the SAB Zenzele annual general meeting in Johannesburg on 19 March 2020.

The R5.4-billion SAB Zenzele Kabili transaction will be funded through a combination of R678-million equity contribution from existing SAB Zenzele shareholders, R600-million equity contribution from a new broad-based employee stock ownership plan (ESOP) funded by SAB, and R344-million reinvestment by the SAB Foundation.

It is further funded by R811 million of AB InBev discounted shares from SAB and R2 973-million of 10-year preference share vendor funding from SAB.

 

Zenzele Kabili Shares Growth Driver

The benefits of re-investing in SAB Zenzele Kabili include the fact that SAB Zenzele Kabili will hold R5.4-billion worth of shares in AB InBev’s global operations, substantial and attractive facilitation from SAB through discounted shares and geared exposure through attractive vendor funding at 70% of prime for 10 years.

SAB Zenzele Kabili shareholders will be able to trade their SAB Zenzele Kabili shares from the outset and will be entitled to receive dividends as 25% of the dividends received by SAB Zenzele Kabili, after servicing administrative and operating costs, will be paid to SAB Zenzele Kabili shareholders as a dividend each year.

 

The opportunity to own AB InBev shares through SAB Zenzele Kabili means that they will participate and benefit from the growth of this global business. SAB Zenzele Kabili will also have enhanced liquidity and transparency of pricing for shareholders.

As an incentive to the Qualifying Investors to participate in the New Empowerment Transaction, it is contemplated that following implementation of the SAB Zenzele Scheme, SAB will contribute additional AB InBev Shares to the value of approximately R811 million as at 31 March 2020 to SAB Zenzele Kabili at no further cost to SAB Zenzele Kabili, being the Discount Shares.

 

The Discount Shares will be in addition to the AB InBev Shares that will have been acquired by SAB Zenzele Kabili under the SAB Zenzele Scheme and the Reinvestment Offer.

As a result, following implementation of the New Empowerment Transaction, the Qualifying Investors will have exposure, through SAB Zenzele Kabili, to a greater number of AB InBev Shares than they would have had but for the New Empowerment Transaction.

 

AB InBev, in which participants of this scheme will be buying shares, showed third quarter results that reflected the company’s fundamental strengths as the world’s leading brewer and the resilience of the global beer category.

The company delivered a strong and balanced top-line performance by quickly adapting to meet the evolving needs of its customers and its consumers.

 

Data from the company’s 2020 financial analysis shows that revenue grew by 4.0% in 3Q20, positively impacted by a healthy volume performance and revenue per hl growth of 2.3%. In 9M20, revenue declined by 6.8% with revenue per hl growth of 1.6%.

Combined revenues of the company’s global brands, Budweiser, Stella Artois and Corona, increased by 6.8% globally and by 8.1% outside of their respective home markets in 3Q20. In 9M20, the combined revenues of these global brands declined by 7.2% globally and by 7.5% outside of their respective home markets.

CoS increased by 9.6% in 3Q20 and by 8.3% on a per hl basis, driven primarily by supply chain adjustments implemented to meet evolving demand. In 9M20, CoS increased by 1.4% and increased by 10.8% on a per hl basis.

 

Normalized profit attributable to equity holders of AB InBev was 1 578 million USD in 3Q20 compared to 2 412 million USD in 3Q19 and was 1 654 million USD in 9M20 versus 7 125 million USD in 9M19.

Underlying profit (normalized profit attributable to equity holders of AB InBev excluding mark-to-market gains and losses linked to the hedging of the company’s share-based payment programs and the impact of hyperinflation) was 1 601 million USD in 3Q20 compared to 1 870 million USD in 3Q19, and was 3 407 million USD in 9M20 compared to 5 462 million USD in 9M19.

While the company’s business is delivering improving results, AB InBev continues to face uncertainty and volatility arising from the COVID-19 pandemic.

 

In that context, the Board determined that it would be prudent and in the best interest of the Company to forgo the interim 2020 dividends payment.

This decision is consistent with the company’s financial discipline and prioritizes its deleveraging commitments, which have been impacted by the COVID-19 pandemic. The Board’s proposal with respect to a full year 2020 dividend will be announced with the company’s FY20 results on 25 February 2021.

The company’s global brands and High End Company outperformed this quarter, with the global brand portfolio revenue increasing by 8.1% (outside of the brands’ home markets) and the High End Company revenue up by 6.5%, demonstrating the continued strength of the premiumization trend.

The company also improved its performance in its core portfolio, as consumers gravitated toward established brands that they know and trust. Growth was further enhanced by highly successful innovations, including Brahma Duplo Malte in Brazil and Bud Light Seltzer in the US.

 

With a best-in-class global supply chain and unparalleled scale, AB InBev is exceling with its customers in service level and product availability.

As such, the company gained market share in the majority of its key markets in the last quarter by combining the strength of its operations with a winning commercial strategy and unrivalled brand portfolio.

Consumers quickly adjusted to the new reality by shifting to in-home consumption occasions, increasing adoption of the e-commerce channel and finding new ways to connect with others.

AB InBev’s teams pivoted quickly to meet these evolving consumer needs, resulting in beer volume growth of 2.6% even in the context of ongoing global on-premise restrictions.

The company seeing a rapid acceleration in trends such as online B2B platforms, e-commerce and digital marketing. It has been investing in these capabilities for many years, as it advanced toward being a truly customer- and consumer-centric organization.

 

By establishing a digital connection through its proprietary B2B platform, BEES, AB InBev providing its customers with convenience, seamless communication and, most importantly, enhanced business performance.

The company is expanding the platform to more markets and seeing rapid adoption, with its number of global B2B users increasing by nearly 40% in the quarter.

The company’s direct-to-consumer initiatives offer convenience and leverage valuable data that allows it to stay one step ahead of emerging trends.

Proprietary platforms and its third-party partnerships both rapidly accelerated over the past several months, establishing the company’s e-commerce leadership in key markets.

 

In Brazil, Zé Delivery uses technology to connect existing retail networks to consumers and continues to gain traction. It is now present in all 27 Brazilian states and saw a significant acceleration in the number of orders completed in 3Q20.

With the company’s in-house agency, draftLine, it is building and delivering consumer-first marketing executions.

The agility of draftLine has proven key to its business in the changing COVID-19 environment.

 

In the UK, the company leveraged PerfectDraft, its all-in-one appliance that serves fresh draught beer at home. PerfectDraft and draftLine identified an opportunity to celebrate Oktoberfest at home following its cancellation.

Together, they successfully developed, launched, and optimized a full digital, outdoor and TV campaign. This more than quadrupled the growth rate of home draught machine sales versus last year during the campaign, highlighting the benefits of owning the insights and creative process internally.

In the US, the company’s core portfolio delivered an estimated market share gain of 145 bps in 3Q20, fuelled by the continued growth of Bud Light Seltzer and Michelob Ultra.

Michelob Ultra accelerated in 3Q20 and remains the second-highest selling beer by dollars in the US after Bud Light, according to IRI. In addition, AB InBev’s portfolio of seltzers grew at double the rate of the industry.

Its mainstream brands lost an estimated 120 bps of total market share as consumers continue to trade up to more premium brands, though within the mainstream segment the company’s estimates that it increased its share by 15 bps.

 

The company’s EBITDA increased by 7.5% with margin expansion of 118 bps to 42.2% driven by the healthy top-line results, operational leverage and ongoing cost efficiencies

While AB InBev expect its performance in the second half of this year to be better than the first, the environment remains volatile and uncertain, especially as some governments are renewing restrictions in several markets.

AB InBev will leverage the fundamental strengths of its company, including its diverse geographic footprint with access to high-growth regions, its clear commercial strategy, the world’s most valuable portfolio of beer brands, industry-leading profitability and, most importantly, its talented team of true owners – to continue our momentum in this fast-changing environment and drive the business forward toward a strong recovery.

All in all, the company’s strong performance is set to deliver solid dividends and a strong share price for investors who choose to purchase shares today, securing a strong buy-in in 2020 and in the future. For more information regarding the company’s forecast, the buy or sell of shares and the live price chart, visit the company’s online investor relations page.

 

Investor Tip

The Johannesburg Stock Exchange (JSE) has approved and granted SAB Zenzele Kabili a listing in the Non-equity Investment Instruments sub-sector, in the BEE Segment, in respect of the 40,550,000 SAB Zenzele Kabili Ordinary Shares.

These shares trade under the full name “SAB Zenzele Kabili Holdings (RF) Limited” with the abbreviated name of “SABKabili” under JSE ordinary stock symbol – SZK

Only the SAB Zenzele Retailer Shareholders and the beneficiaries of The SAB Zenzele Employee Trust, may apply for SAB Zenzele Kabili Ordinary Shares.

 

The Reinvestment Offer Period opened on Wednesday, 19 February 2020 at 09:00 and closed on Tuesday, 7 April 2020 at 16:00.

On or before Wednesday, 4 March 2020, the SAB Zenzele Administrator informed participants of the Rand value of their Settlement Entitlement.

This Entitlement, if you are a SAB Zenzele Retailer Shareholder, will be your entitlement remaining after having taken into account the portion of your Settlement Entitlement ceded to SAB Zenzele Kabili pursuant to the SAB Zenzele Scheme, if approved and implemented.

 

Those who qualified to take part in the Reinvestment Offer, had until Tuesday, 7 April 2020 to complete their Participation Form and submit it to the SAB Zenzele Kabili Administrator to cede all or a portion of their Settlement Entitlement in exchange for SAB Zenzele Kabili Ordinary Shares.

Once the Reinvestment Offer closed on Tuesday, 7 April 2020, the share allocation process started, and SAB Zenzele Kabili had full discretion over how the SAB Zenzele Kabili Ordinary Shares were ultimately allocated against receipt of duly completed Participation Forms.

 

SAB Zenzele Kabili allocated such number of SAB Zenzele Kabili Ordinary Shares to be determined in accordance with the Proportional Value formula, to Qualifying Investors who have duly applied (through the delivery of a duly completed Participation Form) for SAB Zenzele Kabili Ordinary Shares in exchange for their Settlement Entitlement). Such SAB Zenzele Kabili Ordinary Shares were then listed on, and can be traded on the BEE Segment of the JSE.

 

How to buy Zenzele Kabili Shares

Here are the steps you need to follow to Buy/Trade Zenzele Kabili shares with utmost confidence:

Click on the BUY THIS SHARE button.

Complete the registration form with the required information and submit documentation to verify your proof of Identity along with your proof of address.

As soon as your account application has been reviewed and approved, you can select your trading platform from AvATrade’s website, or by visiting the MetaTrader 4 or MetaTrader 5 websites respectively to start download.

Once you have downloaded the trading platform of your choice, you can use your AvATrade live account details to log into your AvATrade account on the trading platform.

From the Market Watch screen on both MetaTrader 4 and MetaTrader 5, you can select Facebook, Inc to buy/purchase shares.

Alternatively, you can make use of AvATrade’s online Web Trader or the AvATradeGo mobile application. ( Available on Android and iOS)

 

Trading CFDs and Stocks with AvATrade provides traders with the following benefits:

Leverage of up to 1:20

Being able to trade stocks on the NYSE, NASDAQ, FTSE, and various others.

Indices, stocks, and commodities can all be traded form a single screen.

Client support is presented live in a multitude of languages.

Traders have exclusive access to a variety of educational tools

Trades can be executed across multiple platforms

 

FAQ

Can I buy Zenzele Kabili shares in South Africa?

These shares are traded on the BEE section of the JSE, but only former participants of the original SAB Zenzele scheme could reinvest.

How to buy Zenzele Kabili shares

By simply opening a free account on SA Shares, or by clicking the “Buy this Share” button to get started.

What is the current share price?

By clicking on the link provided above, you can view the real-time ARC share price on the platform.

Is Zenzele Kabili a good share to buy?

These shares are linked the performance of AB InBev shares, which have been demonstrating steady growth despite the impact of the Covid 19 pandemic.

Can I buy Zenzele Kabili CFD through SA Shares?

Yes, you can.

 

 

 

A review about Zenzele Kabili

What time does the Forex market open in South Africa?

Fresh Unique Article to increase your trading knowledge: What time does the Forex market open in South Africa?

What time does the Forex market open in South Africa is a good question as essentially the market is open 24 hours a day in different parts of the world, from 5 p.m. EST on Sunday until 4 p.m. EST on Friday.

Choose your quick section of our what time the forex market opens in South Africa review below.

A Quick Overview of our Free Margin Review:

At any point in time, there is at least one market open, and there are a few hours of overlap between one region’s market closing and another opening.

 

Overview of Forex trading times

The forex market is essentially the global marketplace upon which all the exchanges of these currencies happen. Anybody, a regular trader, professional trader, or institution, who wants to exchange one currency for another is active in the forex market.

As a simple example of this, when you want to take a vacation to a foreign country and you exchange your currency from one to another through an exchange location, you have completed a forex trade.

You will also often hear that the forex market is in fact, the largest trading market in the world. It is much larger than any of the global stock exchanges in terms of volume, with more than $5 trillion worth of trade taking place on a daily basis.

Overall, the forex market has the highest daily volume of trading in the world, far beyond that of any other trading market.

That brings with it a variety of opportunities for those interested in getting involved in forex trading.

Once you have stepped over the initial entry barriers and gotten to know more about the sector, it can be an excellent way to improve your trading skill and diversify any portfolio.

Beyond its tremendous size when considering volume of trades, one of the most unique aspects of being involved in the forex market is the location. Unlike stock exchanges in New York, Tokyo, London, and other cities around the world that have physical locations that trading takes place, the forex market is decentralized.

This means that forex trading does not take place in one specific place, or through one main authority. The entire market is also traded electronically with transactions moving through a variety of global networks facilitated by brokers and liquidity providers.

Essentially, what this allows is for the forex market to operate around the clock and all over the world with ease.

When one market closes for trading, another is open. This means that the forex market can be traded on 24 hours a day, 5 days a week as there will always be a market open in some location during these times.

 

Why does the Forex market trade 24 hours a day?

The forex market is able to stay open 24 hours a day five days a week because forex trades over the counter (OTC). It does not trade at one central location.

Forex trading is carried out using electronic communication networks (ECNs) in different locations around the world, mostly by big banks, and for a variety of different players.

Whereas stock trading occurs on physical exchanges, meaning that traders have to adhere to the operating hours of the exchange, forex trading happens over the counter (OTC).

When one region’s business hours end, another opens which allows forex to trade continuously until the weekend. Although the forex market is open 24 hours a day five days a week, it is not always liquid.

There are specific times during the day when the volume traded on the forex market is high. Traders usually take part in the forex market during these times of high liquidity.

 

What does 24 hour trading imply for traders?

The majority of forex trading is done by financial institutions and dealers. Only an extremely small portion is done by retail traders.

Traders will look to trade the forex market during the times of highest liquidity, like the New York session, the London session, and the Asian system, because spreads will be lower and volatility could be higher.

Traders generally trade during the major forex sessions: the London session, the New York session and during the overlap.

The overlap is a four-hour period of time from 8AM ET to 12PM ET when the New York session and the London session overlap leading to increased liquidity and volatility in the market.

Traders do not need to be active 24 hours a day to take advantage of the forex market.

They only need to pick a time that suits them when the market is liquid enough, and stick to a trading strategy that allows them to take advantage of the increased volatility during the session.

 

The effect of holidays

Because the forex market is divided into sessions they have different holidays. If America has a banking holiday then the amount of US Dollars traded will be small, but the forex market doesn’t stop. Plus, some brokers are not available on public holidays.

 

The effect of liquidity

Trading during the main forex market sessions, like the New York and London session, offers the advantage of a reduced spread and increased volatility.

 

The value of using different strategies

Each forex market session has different characteristics and therefore a trading strategy should be adapted to suit these different conditions.

During the London and New York session traders can use breakout strategies and during lower volatility sessions like the Asian session, traders can use range bound strategies.

 

Forex trading hours in South Africa

As noted, Forex trading can be done almost 24 hours a day, 5 days a week. However, every day at rollover time (5 pm New York time), you are unable to place trades for a few minutes.

The duration of rollover depends on the broker you use, but it’s usually between 2-5 minutes. Close to rollover time, the spreads on different currency pairs can be much wider than usual.

This can make it impractical and risky to trade close to rollover time, especially if you use a tight stop loss.

During the Northern Hemisphere’s winter, when the U.S. session closes at 17:00 EST, it is midnight (00:00) in South Africa.

When it is summertime in the northern hemisphere and the U.S. session closes at 17:00 EDT, it is 23:00 in South Africa.

Therefore, in South Africa, the Forex market opens and closes at either 23:00 (between March and November) or 00:00 (between October and March), depending on the time of the year.

Although it is strictly true that the Forex market is open from Sunday 17:00 EST/EDT to Friday 17:00 EST/EDT, it is also important to remember that it closes every day for a few minutes from Monday to Thursday at 17:00 EST/EDT for rollover.

Soon after rollover, the Sydney trading session starts and the cycle is repeated. Of course, rollover also takes place when the market closes on Friday.

 

The best hours to trade in South Africa

The best time to trade Forex is generally between 10:00 and 16:00 SAST (South Africa Standard Time).

10:00 SAST is when the London session opens and 16:00 is one hour into the U.S. session. Between 10:00 and 16:00 is a good time to catch important economic news releases which can have a great impact on the exchange rates.

During these hours, the Tokyo session overlaps the London session and a few hours later, the London session overlaps the U.S. session.

When the London session opens, there is often big market participation and good volatility. Likewise, the open of the U.S. session brings immense trading volume to the market.

During these hours, intraday traders have the best chance of getting enough market movement to hit their profit targets.

False moves (e.g. fakeouts) are also less common than during the first few hours of the Tokyo and Sydney sessions.

Liquidity is also really high, which means that large positions can be absorbed by the market easier, with a smaller chance of experiencing slippage or significant market impact.

 

The best time to trade in South Africa using time frames

Having realized that the forex market is complicated, traders must fully understand how it works.

Understanding forex market is not just a matter of its workings; traders also need to opt for the best time frame. In reality, choosing the adequate time frame can help a trader to fulfil their goals.

Basically, the best time to trade forex in South Africa can help South African traders recognize trends and trade entry points.

Traders try to make use of various strategies that allow them to choose the right time frames for themselves. It would be of great significance to understand different trading styles in forex.

 

Best time for position traders

In fact, this type of time frame is quite varied depending on different trading methods. This can be fluctuated daily, monthly, or yearly depending on your long-term plan.

It is evident that this approach can be ignored by forex beginners as it takes longer when their trades are recognized. As a result, it is not an ideal approach for traders when they want to optimize their time.

Traders can place positions on a weekly chart in many different ways when the trend has been completed on a monthly chart. Multitudes of traders expect to capitalize on price action for knowing movements, and then they can place positions.

 

Best time for swing traders in South Africa

You can expect to move a little bit shorter towards your approach since you gain a greater level of confidence on the long-term chart.

It is highly advisable that you should be well aware of risk and capital management if you want to opt for a short time frame. Basically, this type of time frame enables you to gain benefits of both trading styles. Therefore, many forex traders prefer to utilize this trading time frame.

Unquestionably, traders should check their charts a few times a day so that they will recognize any movements of price in the market. Traders do not need to pay attention to the market when it comes to this trading frame.

The most advantageous aspect of this time frame is that traders will be able to focus on charts, which leads to chances of making profits. It can be recognized that traders can avoid negative effects of long-term trading since entries are positioned on daily charts.

 

Best time for day trading in South Africa

When it comes to the short-term trading time frame, it’s quite tricky for traders because tight stops.

In fact, traders, especially new ones, might not make great benefits when trading short-term time frames if they do not have any experience with the two aforementioned trading frames.

 

Unquestionably, traders will be able to assess possible trends on hourly charts. The idea of trading short- term time frames should be considered carefully because of the high possibility of risks.

It should be noted that the completion of trends, such as indicators or price action, allows traders to start their first positions.

 

Conclusion

The forex market is the largest financial market in the world. Trading in the forex is not done at one central location but is conducted between participants by phone and electronic communication networks (ECNs) in various markets around the world.

The international scope of currency trading means there are always traders across the globe who are making and meeting demands for a particular currency.

The ability of the forex market to trade over a 24-hour period is due in part to different international time zones, and the fact trades are conducted over a network of computers rather than any one physical exchange that closes at a particular time.

For instance, when you hear that the U.S. dollar closed at a certain rate, it simply means that was the rate at market close in New York. That is because currency continues to be traded around the world long after New York’s close, unlike securities.

Although the Forex market can be traded basically 24/5, the best market liquidity, volatility, and trading conditions are generally experienced during the London session and early U.S. session.

During these sessions, some of the most important central banks, speculators, businesses, financial institutions, commodity markets, and stock markets are active, all of which can affect the currency markets in a meaningful way.

When the Forex market is most active, spreads are usually low and large orders can be executed effectively. Market movements are also generally more reliable and forceful than during less active market times.

What is Free Margin in Forex?

Fresh Unique Article to increase your trading knowledge: What is Free Margin in Forex?

Free Margin is the collateral (or security) that a trader has to deposit with their broker to cover some of the risk the trader generates for the broker. It is usually a fraction of open trading positions and is expressed as a percentage. It is useful to think of your margin as a deposit on all your open trades.

Choose your quick section of our Free Margin review below.

A Quick Overview of our Free Margin Review:

The margin required by your FX broker will determine the maximum leverage you can use in your trading account. Therefore, trading with leverage is also sometimes referred to as “trading on margin”.

 

Overview of free margin

The margin required by your FX broker will determine the maximum leverage you can use in your trading account. Therefore, trading with leverage is also sometimes referred to as “trading on margin”.

Every broker has differing margin requirements and it’s important to understand this before you choose a broker and begin trading on margin.

Trading on margin can have varying consequences. It can influence your trading outcome either positively or negatively, with both profits and losses potentially being seriously magnified.

In this article, we will explore the difference between margin, free margin and margin level, and finally, we will take a closer look at the best way to trade on leverage.

 

Understanding and using margin

As already noted, Margin trading in the Forex market is the process of making a good faith deposit with a broker in order to open and maintain positions in one or more currencies.

Margin is not a cost or a fee, but it is a portion of the customer’s account balance that is set aside in order trade.

The amount of margin required can vary depending on the brokerage firm and there are a number of consequences associated with the practice.

A core, at its very essence, involves borrowing to increase the size of a position and is usually an attempt to improve returns from investing or trading.

For example, investors often use margin accounts when buying stocks. The margin allows them to leverage borrowed money to control a larger position in shares than they’d otherwise be able to control with their own capital alone.

Margin accounts are also used by currency traders in the forex market.

Trading forex on margin enables traders to increase their position size. Margin allows traders to open leveraged trading positions, giving them more exposure to the markets with a smaller initial capital outlay.

Remember, margin can be a double-edged sword as it magnifies both profits and losses, as these are based on the full value of the trade, not just the amount required to open it.

The leverage available to a trader depends on the margin requirements of the broker, or the leverage limits as stipulated by the relevant regulatory body, ESMA for example.

 

Calculating your margin requirement

Margin is usually presented as a percentage amount of the full position—0.25%, 0.5%, 1%, 2%, and so on. You can calculate the maximum leverage you can use with your trading account based on the margin required by your broker.

The margin that you have to put up entirely depends on the amount that you’re trading. It’s important not to put too much on margin, because otherwise you’ll lose everything if your trades prove to be duds.

The formula for calculating the margin for a forex trade is simple. Just multiply the size of the trade by the margin percentage.

Then, subtract the margin used for all trades from the remaining equity in your account. The resulting figure is the amount of margin that you have left.

 

Understanding margin level

Margin level is the margin that a trader has available to open further positions. Expressed as a percentage, it is the ratio of equity to used margin.

When it drops to 100% this means that all available margin is in use and no further trades may be opened. It is calculated as follows: Margin Level = Equity / Margin * 100.

Margin Level allows you to know how much of your funds are available for new trades. The higher the Margin Level, the more Free Margin you have available to trade.

The lower the Margin Level, the less Free Margin available to trade, which could result in a Margin Call or a Stop Out

Margin Level is very important. Forex brokers use margin levels to determine whether you can open additional positions.

 

Understanding Free Margin

What is Free Margin in Forex trading? In its simplest definition, Free Margin is the money in a trading account that is available for trading.

To calculate Free Margin, you must subtract the margin of your open positions from your Equity (i.e. your Balance plus or minus any profit/loss from open positions).

In other words, Free Margin is the difference between Equity and Used Margin.

Free Margin refers to the Equity in a trader’s account that is not tied up in margin for current open positions.  Free Margin is also known as Usable Margin because it is still available for trading.

If you have no free margin, you will not be able to open any new positions or your positions will be stopped out.

In certain circumstances, your account balance can become negative should the loss on the positions stopped out exceed your account balance.

Your positions will get liquidated if the account balance is below the margin requirement.

 

Understanding margin and leverage

In trading, leverage is the opportunity provided by a forex broker to open a speculative position worth a much larger amount of money than you have at your disposal.

The rest of the funds are thus lent to you from the company whose services you are using. For this financing, a client owes the broker an interest for each day he decides to keep his position(s) open overnight.

Leverage is expressed in ratios like: 200:1, 100:1, 50:1, etc.

Margin is expressed in percent of the full amount of the position (0.5%, 1%, 5%, etc.). It can vary significantly between companies and between the various asset classes.

Generally speaking, the more liquid a financial instrument is, the lower the margin (hence, higher leverage) a trading company will require from its clients for it; and vice versa.

Although leverage is expressed as a ratio, while margin is displayed in percentage terms, they basically show one and the same thing: a 0.5% margin requirement means that you are using a leverage of 200:1.

As part of the general terms and conditions of a forex broker, margins and leverage are subject to change at any moment, sometimes even without a prior notice. This is of significant importance for you, as it directly affects your account.

 

Forex trading using margin accounts

When trading on a margined account it is crucial for traders to understand how to calculate the amount of margin required per position if this is not provided on the deal ticket automatically.

Be aware of the relationship between margin and leverage and how an increase in the margin required, lessens the amount of leverage available to traders.

Monitor important news releases with the use of an economic calendar should you wish to avoid trading during such volatile periods.

It is considered prudent to have a large amount of your account equity as free margin. This assists traders when avoiding margin calls and ensures that the account is sufficiently funded in order to get into high probability trades as soon as they appear.

Margin accounts are operated by the investment broker, and are settled in cash each day. Equities are not the only investment type that margin accounts are suited to – currency traders in the forex market regularly use them too.

To begin, forex traders need to sign up with their preferred broker. Once they are registered, they will need to set up a margin account.

You can expect the type of account you hold with a broker to have an impact on the available margin and leverage.

If you hold a standard account only with a broker, the available leverage is likely to be considerably lower, and the margin required to secure that leverage will be higher.

This is because you are likely to be less experienced and working with smaller amounts of money than those who hold higher-level accounts, such as professional and VIP.

Brokers take on a certain amount of risk with every client, and when engaging in margin trading the risk to the broker is higher.

There is likely to be more faith with clients who hold a higher-level account, so superior margins and leverage will be available. In short, the more prestigious your account type with the broker, the better your ratio of leverage to margin will be.

 

How to use leverage

Investors use leverage to enhance the profit from forex trading. The forex market offers one of the highest amounts of leverage available to investors.

Leverage is essentially a loan that is provided to an investor from the broker. The trader’s Forex account is established to allow trading on margin or borrowed funds.

Some brokers may limit the amount of leverage used initially with new traders. In most cases, traders can tailor the amount or size of the trade based on the leverage that they desire.

However, the broker will require a percentage of the trade’s notional amount to be held in the account as cash, which is called the initial margin.

Standard trading is done on 100,000 units of currency, so for a trade of this size, the leverage provided might be 50:1 or 100:1. A higher leverage ratio, such as 200:1, is usually used for positions of $50,000 or less.

 

Many brokers allow investors to execute smaller trades, such as $10,000 to $50,000 in which the margin might be lower. However, a new account probably won’t qualify for 200:1 leverage.

Although the ability to earn significant profits by using leverage is substantial, leverage can also work against investors.

For example, if the currency underlying one of your trades moves in the opposite direction of what you believed would happen, leverage will greatly amplify the potential losses.

To avoid a catastrophe, forex traders usually implement a strict trading style that includes the use of stop loss orders to control potential losses.

A stop-loss is a trade order with the broker to exit a position at a certain price level. In this way, a trader can cap the losses on a trade.

 

Professional traders usually trade with very low leverage. Keeping your leverage lower protects your capital when you make trading mistakes and keeps your returns consistent.

Many professionals will use leverage amounts like 10:1 or 20:1. It’s possible to trade with that type of leverage regardless of what the broker offers you. You have to deposit more money and make fewer trades.

No matter what your style, remember that just because the leverage is, there does not mean you have to use it.

In general, the less leverage you use, the better. It takes the experience to really know when to use leverage and when not to. Staying cautious will keep you in the game for the long run.

 

Conclusion

Margin trading in the Forex market is the process of making a good faith deposit with a broker in order to open and maintain positions in one or more currencies.

Margin is not a cost or a fee, but it is a portion of the customer’s account balance that is set aside in order trade. The amount of margin required can vary depending on the brokerage firm and there are a number of consequences associated with the practice.

Margin and leverage are among the most important concepts to understand when trading forex. These essential tools allow forex traders to control trading positions that are substantially greater in size than would be the case without the use of these tools.

It is important to note that in leveraged forex trading, margin privileges are extended to traders in good faith as a way to facilitate more efficient trading of currencies.

As such, it is essential that traders maintain at least the minimum margin requirements for all open positions at all times in order to avoid any unexpected liquidation of trading positions.

Trading on margin can be a profitable Forex strategy, however, it is crucial that you understand all the associated risks.

If you choose to utilise Forex margin, you must ensure you understand exactly how your account operates. Be sure to read the margin agreement between you and your selected broker carefully, if something is not clear to you, you should ask your broker to clarify.

 

TymeBank Reviewed

Fresh Unique Article to increase your trading knowledge: TymeBank Reviewed

 

A review about Tymebank
 

TymeBank is an exclusively digital retail bank based in South Africa. The name of the business was changed in November 2018 from TymeDigital by Commonwealth Bank SA to TymeBank

Choose your quick section of our TymeBank review below.

A Quick Overview of our TymeBank Review:

TymeBank is now likely to reach the two-million-customer target before August, well ahead of targeted December, said ARC. ARC stated that TymeBank was continuing to take on 100 000 customers per month or between 20 000 and 30 000 customers each week.

 

Background of TymeBank

  • TymeBank’s history began when it was originally developed as part of a Deloitte Consulting project, funded by the telecommunications provider, MTN Group. It went on to become a stand-alone business in June 2012.

 

  • In 2015, the Commonwealth Bank of Australia (CBA) acquired 100% of Tyme, and renamed the business TymeDigital by Commonwealth Bank SA.
  • On 28 September 2017, TymeDigital secured an operating licence from the South African Reserve Bank (SARB). It was the first full banking licence to be issued by the SARB since 1999.
  • In 2018, financial services company, ARC Imali-Madi (RF), bought a 10% stake in TymeDigital.

 

  • On 5 November 2018, African Rainbow Capital Financial Services Holdings – owned by South African entrepreneur Patrice Motsepe – obtained approval from the South African Reserve Bank to acquire CBSA’s 90% majority stake in the business.
  • TymeBank soft-launched on 5 November 2018, allowing consumers to open a basic transactional bank account at a limited number of kiosks in Pick n Pay stores, as well as online.

 

  • Today, TymeBank is headquartered in Rosebank, Johannesburg, and the company does not have any physical bank branches and relies on an Android banking App, an Internet Banking site and a partnership with two retail chains, Pick n Pay and Boxer, to host a national network of self-service kiosks that facilitate the account opening process.
  • The Prudential Authority of the South African Reserve Bank (SARB), granted permission for TymeBank to operate exclusively online on 28 September 2017.

 

  • Previously wholly owned by African Rainbow Capital Financial Services Holdings, on 10 June 2019 African Rainbow Capital (ARC) and Ethos Private Equity, jointly announced an investment of R200 million by the Ethos Artificial Intelligence (AI) Fund and co-investors (jointly Ethos AI Fund) into Tyme Bank Holdings.
  • The transaction is subject to all conditions precedent being met. The investment by the Ethos AI Fund in TymeBank will result in the fund being an 8% shareholder in the bank

 

TymeBank Shares Growth Driver

  • TymeBank relies on its mobile app, debit card, internet banking site and two retail stores (Pick’n Pay and Boxer) to host a national network of self-service kiosks that facilitate the account opening process.
  • TymeBank’s approach has made banking relatively easy for the public. According to the bank’s website, there is no need for filling out paper forms, no scanning, faxing or emailing when opening an account; everything is done virtually.
  • While opening accounts with traditional banks may be a tedious process, according to the bank’s website, it only takes 5 minutes to open a TymeBank
  • TymeBank has been rated second best in the country on the Forbes list of the world’s best banks.

 

  • The Forbes list includes banks from 24 countries, and more than 40 000 customers were surveyed across the world for their opinions on their current and former relationships with banks.
  • Following its official launch in February 2019, TymeBank acquired one-million customers by November of that year and 1.8-million customers by the end of May 2020, well ahead of schedule, ARC reported in a first-quarter update, with additional commentary on developments to May 30.
  • African Rainbow Capital Financial Services Holdings (ARC) currently owns a 73.08% stake in TymeBank’s registered controlling company, Tyme Bank Holdings Limited which was purchased from Commonwealth Bank of Australia.

 

  • TymeBank has embraced technology and partnerships to deliver innovative digital banking products to the market utilising the Pick ‘n Pay and Boxer stores as a distributing network.
  • The Bank’s vision is to create long-term value for its people, customers, and shareholders by leveraging the bank’s core capabilities, with technology being at the forefront of this.
  • As already noted, since public launch the Bank has since amassed over 2 million customers. Consistent with its strategy, TymeBank operates responsibly in taking well-researched and -managed risks to grow the bank and create sustained top- tier shareholder value.
  • TymeBank’s purpose is to promote participation in the economy and to improve customer financial wellbeing by providing affordable access to financial services and products embedded with education and training.

 

  • TymeBank will primarily target middle to lower income segments with a focus on underserved consumers and small businesses.
  • During the current financial year, the Ubuntu – Botho Investments Proprietary Limited Group, as majority shareholder, along with other shareholders, continued to provide adequate capital and funding to the group.

 

  • In addition, the Ubuntu-Botho Investments Proprietary Limited Group continue to give assurance that the group will have access to continued capital and funding to be able to settle its debts as they fall due and is able to continue business as a going concern for the period ending 31 October 2021.
  • TymeBank seeks to establish a culture of disciplined risk-taking that enables the bank to deliver long-term value for its people, customers, and shareholders.
  • Risk appetite is a central and essential element of TymeBank’s Enterprise Risk Management Framework (ERMF).
  • Risk appetite is managed through limits and tolerances based on prescribed regulatory requirements for TymeBank and internally set limits, as identified in respective policies.
  • TymeBank calculates its risk exposures arising from large exposures to a single obligor and groups of related obligors, expressed as a percentage of its qualifying capital requirement (QCR), as required by the Credit Concentration Framework and defined within the Credit Risk Policy (CRP).
  • These exposures are internally monitored on a daily basis and reported to the Asset and Liability Committee (ALCO) on a monthly and quarterly basis, as well as to the PA in line with regulatory requirements and the CRF.

 

  • The bank has not granted any large loans to a single obligor or group of related obligors. Credit risk arises from TymeBank’s current activities, which are limited to interbank placements, minimum reserving requirements, investing in Treasury Bills and Government Bonds for liquid asset requirements and a small personal loans portfolio.
  • Whilst the majority of TymeBank’s lending, in future, is anticipated to be relatively small retail exposures large credit exposure limits have been set.
  • This limits the risk of catastrophic loss through over-exposure due to the failure of a single borrower, or group of related borrowers and/or guarantors (obligors).
  • Whilst Credit Risk is generally the biggest risk in banking, it currently contributes less than operational risk to the consolidated RWA, as the bank has currently extended limited credit to customers.

 

  • Credit risk is the potential loss arising from failure of a customer or counterparty to meet their contractual obligation to TymeBank.
  • TymeBank has a Credit Risk Policy in place which defines how credit risk is effectively managed across the various credit offerings, which includes short to medium term bank placements.
  • The Credit Risk Policy underpins the Credit Risk Framework and contains detailed parameters related to the management of credit risk. The Bank commenced testing personal loans in Q4 2019 and has an exposure of less than R6m to consumers in total.
  • This exposure has now been capped as lending was stopped entirely in April 2020 due to the expected impact of COVID-19 on consumers. The portfolio is however being managed according to Regulations and the TymeBank credit and provisioning policies.

 

  • As noted, the bank has unsecured credit related exposure of less than R6m and has not provided any secured credit-related facilities and currently has no off-balance-sheet credit exposure.
  • End-to-end credit risk systems and processes were built and enhanced during the testing phase but will be reviewed prior to extending further loans. There is no credit risk mitigation currently being considered in the calculation of the RWAs due to the current small exposure to customers, therefore pre- and post-mitigation exposures are identical.

 

TymeBank Investor Tip

  • While TymeBank shares are not yet listed, investors can buy shares in the bank’s parent company, African Rainbow Capital Financial Services Holdings (ARC), which trades on the Johannesburg Stock Exchange (JSE), under the stock symbol –AIL.
  • Data from the company’s 2020 financial analysis shows its intrinsic investment in the ARC Fund increased by 2.1% from R9.74 billion at 30 June 2019 to R9.95 billion at year end.
  • The Intrinsic Net Asset Value (INAV) of the Company increased from R9.34 per share at 30 June 2019 to R9.54 per share at 30 June 2020 which also amounts to an increase of 2.1%.
  • It said that whilst this is significantly below the medium to long-term hurdle rate of 16% per annum, it is indicative of and aligned to market performance in the current economic environment.

 

  • At 30 June 2020 the ARC Fund has an effective ownership interest of 35.18% in TymeBank, being its 49.9% of the 70.5% interest that ARC Financial Services holds in TymeBank.
  • ARC Fund’s effective capital contribution to TymeBank was R374 million for the year ended 30 June 2020.
  • In November of the same year ARC Financial Services injected an additional R750 million into TymeBank during the reporting period as part of the scheduled capital requirements for the new bank.
  • TymeBank, backed by billionaire Patrice Motsepe’s investment group African Rainbow Capital (ARC), has signed on 1.9 million customers of which 50% were active at the end of June 2020.
  • Launched in November 2018, the digital banking start-up said that it aimed to be at break-even by 2022, with a customer base of around 2.2 million
  • TymeBank, which makes up 8.3% ARC’s fund value (2019: 7.2%), is focused on banking the unbanked and under serviced in South Africa. ARC detailed the bank’s progress in a review of its financial results for the year ended June 2020.

 

  • It said that at the end of June 2020, the bank had on boarded 1.9 million customers, which is ahead of its business plan. “The bank is signing up between 3,000 and 3,500 customers per day, with half of the customers actively using their bank accounts.”
  • ARC said that the impact of Covid-19 on the bank has resulted in the delay in the roll out of its partnership with the Zion Christian Church (ZCC) as well as a change in its unsecured personal lending proposition.

 

  • “Responding to a significant change in market conditions, the bank’s management has introduced cost reduction measures, while also focusing on revenue diversification and partnerships activation.
  • “The progress to date, combined with the additional capital that has been injected, results in a fair value of R1.86 billion in ARC Financial Services at 30 June 2020 and therefore R927 million for the ARC Fund.”
  • ARC Financial Services injected an additional R750 million into TymeBank during the reporting period as part of the scheduled capital requirements for the new bank.
  • ARC Financial Services, which bought into Mercer Africa in January, has also concluded the ‘flip-up’ of its shareholding in Alexander Forbes, the operating entity Alexander Forbes Group Holdings, in which it holds 35.09%.
  • Meanwhile, the 4G roll-out of ARC’s Rain communications company resulted in 5 500 active sites live by the end of April. Rain has an infrastructure and services agreement with Vodacom that has enabled the growth of the 4G network. Vodacom roams on the Rain 4G network, providing a significant proportion of Rain’s revenue.
  • ARC’s investment in the Kropz plc. group had faced a number of challenges resulting in several delays in commissioning as well as the need for additional capital to see the Elandsfontein project through until commissioning. However, the latest metallurgical test work on the Elandsfontein phosphate mine, completed by Eriez, Pennsylvania, and JESA, Florida, had identified and confirmed a robust processing alternative to the previous flotation circuit.
  • ARC described the full-year financial results to May of JSE-listed Afrimat as solid and demonstrating consistent diversified delivery. It described Afrimat’s strong balance sheet as being key to navigating current operating environment uncertainty.

 

  • ARC stated that Fledge Capital had invested in privately held companies that demonstrated sustainable cashflow generation, with its key business being the vehicle trading platform We Buy Cars. Following earlier announcements that the competition authorities ruled against a possible transaction with Naspers, the business had a number of unsolicited offers from investment entities. Management would consider a transaction at appropriate price levels.

 

  • All in all, the company’s strong performance is set to deliver solid dividends and a strong share price for investors who choose to purchase shares today, securing a strong buy-in in 2020 and in the future. For more information regarding the company’s forecast, the buy or sell of shares and the live price chart, visit the company’s online investor relations page.

 

TymeBank Major Shareholders

African Rainbow Capital Financial Services Holdings (ARC)

Sector

Financials

Industry

Banking

Sub industry

Banking

 

How to buy TymeBank Shares

Click on the BUY THIS SHARE button.

Complete the registration form with the required information and submit documentation to verify your proof of Identity along with your proof of address.

As soon as your account application has been reviewed and approved, you can select your trading platform from AvaTrade’s website, or by visiting the MetaTrader 4 or MetaTrader 5 websites respectively to start download.

Once you have downloaded the trading platform of your choice, you can use your AvATrade live account details to log into your AvATrade account on the trading platform.

From the Market Watch screen on both MetaTrader 4 and MetaTrader 5, you can select Facebook, Inc. to buy/purchase shares.

Alternatively, you can make use of AvATrade’s online Web Trader or the AvATradeGo mobile application. ( Available on Android and iOS)

 

Trading CFDs and Stocks with AvATrade provides traders with the following benefits:

Leverage of up to 1:20

Being able to trade stocks on the NYSE, NASDAQ, FTSE, and various others.

Indices, stocks, and commodities can all be traded form a single screen.

Client support is presented live in a multitude of languages.

Traders have exclusive access to a variety of educational tools

Trades can be executed across multiple platforms

 

Conclusion

TymeBank is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

 

FAQ

Can I buy TymeBank shares in South Africa?

Not directly, as of yet. But you can buys shares in the parent company, African Rainbow Capital Financial Services Holdings (ARC).

How to buy TymeBank shares

By simply opening a free account on SA Shares, or by clicking the “Buy this Share” button to get started.

What is the current share price?

By clicking on the link provided above, you can view the real-time ARC share price on the platform.

Is TymeBank a good share to buy?

Yes, African Rainbow Capital Financial Services Holdings (ARC) currently owns a 73.08% stake in TymeBank’s registered controlling company, Tyme Bank Holdings Limited which was purchased from Commonwealth Bank of Australia.

TymeBank is now likely to reach the two-million-customer target before August, well ahead of targeted December, said ARC.

ARC stated that TymeBank was continuing to take on 100 000 customers per month or between 20 000 and 30 000 customers each week.

Can I buy TymeBank CFD through SA Shares?

Yes, you can.

 

 

 

A review about Tymebank

Selftrade Reviewed

Fresh Unique Article to increase your trading knowledge: Selftrade Reviewed

 

A review about Selftrade
 

Selftrade is a global trading platform which operates in 194 countries including some in Europe, Asia, Oceania, and Africa. This broker manages to give their traders a massive amount of data from their market news section which pulls the latest market updates from Alliance News Ltd.

Choose your quick section of our Selftrade review below.

A Quick Overview of our Selftrade Review:

Selftrade can be described as a company that gives traders all the latest information on the FTSE 100, 250, as well as the Dow Jones.

 

Selftrade at a glance

Broker’s name Selftrade
Headquarters UK
Year founded 2000
Regulating authorities FCA
Countries not accepted for trade US and others
Demo account No
Islamic account (swap free) No
Institutional accounts No
Managed accounts yes
Maximum leverage Not specified on their website
Minimum deposit No minimum deposit
Deposit options Credit and Debit cards, Skrill and Neteller
Withdrawal options Credit and Debit cards, Skrill and Neteller
Platform(s) provided Selftrade custom platform
OS compatibility Mac, Windows, Linux, Web, Mobile Android, iPhone, iPad.
Tradable assets offered Mutual Funds (Unit Trusts)

Fixed Income Investments

Stocks and Shares

ETFs

Investment Trusts

IPO

Languages supported on website English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, Hindi, Hebrew, Arabic, Russian
Customer support languages English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, Hindi, Hebrew, Arabic, Russian
Customer service hours From Monday to Friday from 7:45 to 19:00.

 

Who is Selftrade?

According to research in South Africa, Selftrade was founded in 2000 by Antoine de Rochefort and its head office is in the United Kingdom.

The company assists its clients to invest and trade in shares, funds and assets. They enable their traders to manage daily investments and they offer prices and quotes for international markets, ETPs, and funds.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like Selftrade, is to establish which regulating authorities are watchdogs over its actions. Selftrade is regulated by and is checked for conduct by the Financial Conduct Authority (FCA) regulatory body in the United Kingdom.

 

Pro and cons

PROS CONS
No minimum deposit required Platform appears confusing
Excellent research tools available Slow customer service
Well-regulated and award-winning company Website not specific about costs

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. Assuming that you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g. 5% or 1%), and you have to have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades; otherwise your trading account will be fully hedged.

Selftrade’s website does not stipulate a maximum leverage that can be used by their traders. More information should be available from their customer service department.

 

Accounts

A forex account at Selftrade is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

Selftrade offers the following types of accounts:

Dealing Accounts

Stocks and Shares ISA

Personal Pension (SIPP) Accounts

Child Trust Funds

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a major role in portfolio diversification and risk management.Investing in contract-based tradable goods is a reliable wayto mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper or petroleum, are hard commodities that play a major role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

Selftrade offers the following of the above:

Mutual Funds (Unit Trusts)

Fixed Income Investments

Stocks and Shares

ETFs

Investment Trusts

IPO

 

Fees

Cost depends on different factors, like spread and margins, and Selftrade clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account in order to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

Selftrade offers tight spreads but does not specify if they are variable or fixed and how much they are.

Their withdrawal fees vary depending on a trader’s selected withdrawal payment method.

Selftrade does charge a fee for inactive accounts but the website does not specify how much.

The broker does charge commission on CFD instruments, but the website does not specify an exact amount.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of Selftrade, the broker does not require a minimum deposit when opening a trading account.

Withdrawals and deposits can be done via credit and debit cards and e-wallets such as Skrill and Neteller.

 

Trading platforms

The forex trading platform provided by Selftrade to its clients is in essence the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes.The decision about which platform to choose will usually depend on what a client would like to trade.

Selftrade provides a custom trading platform that permits traders to follow their portfolios, monitor the current markets, find trade ideas and place trades.

The Selftrade platform also lets them filter through the financial marketplace for trade opportunities and examine opportunities with actionable research and stock evaluations.

The Selftrade platform is available as a downloadable application or online through the cloud. 

 

How to open an account

Similarly to a bank, to register a forex trading account with Selftrade for the first time, you will be required to go through a basic “know your customer” process, which will allow Selftrade to ascertain that your submitted details and ensure the safety of your funds and account details.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of Selftrade customers can reach the support team via email or via telephone.  There is no live chat option found on their website.

The customer services are available from Monday to Friday from 07:45 to 19:00 and can assist customers in the following languages:

English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, Hindi, Hebrew, Arabic, Russian

 

Education

Before starting to trade, potential clients of Selftrade should avail themselves of all possible information and trading skills needed to be successful in the world of forex and commodity trading.

Selftrade offers a wide variety of educational tools that include readings about how the markets and trading works. Their platform also assists new traders about trading on the markets although it might not be ideal for the absolute beginner.

 

Research

To be able to trade with confidence, traders should do as much as possible research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they don’t lose money unnecessarily and trade as profitable as possible.

With Selftrade they have access to Selftrade’s Market Insight and Research tab which is simple to navigate and has a wealth of information available.

Selftrade also has the normal market activity monitors on their website which is controlled by Morningstar.

 

Awards

Being an awarded company instils extra confidence by traders. Selftrade can show awards accumulated during its years in business, including the following:  2018 award from Shares Magazine for ‘Best Investor Education’.

 

Conclusion

Selftrade is at the moment attempting to make their site easier and more manageable for beginner traders.  They do offer a comprehensive selection of articles and advice for first-time investors available on their investing platform. However, there have been numerous complaints about their customer service team not been available or taking long to respond to requests.

 

Disclaimer

Selftrade warns potential customers that Forex and CFDs trading always carries a high risk and may not be suitable for all investors.

Before deciding to trade with Selftrade, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

Selftrade warns that margin trading involves the potential for profit as well as the risk of loss and those movements in the price of foreign exchange and commodities are very unpredictable, hence Selftrade cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQs

Trading enviroment

How many instruments can I trade with Selftrade?

You can trade several different instruments with Selftrade, which include the following:

Mutual Funds (Unit Trusts)

Fixed Income Investments

Stocks and Shares

ETFs

Investment Trusts

IPO

Which platforms are supported by Selftrade?

Selftrade provides its own custom trading platform.

Does Selftrade offer leverage?

Selftrade does not stipulate information about leverage on its website.

What spreads can I expect with Selftrade?

Selftrade’s website states that they offer tight spreads but does not specify if they variable or fixed and how much they are.

If details on the website is not comprehensive, more information can be obtained from the customer support service.

Does Selftrade charge commission?

Yes, Selftrade does charge commission on CFD instruments.   More information on commissions can be obtained from the customer support service.

Is Selftrade regulated?

Yes, Selftrade is regulated by the Financial Conduct Authority (FCA).

Is Selftrade a recommended forex trading broker for experts and beginners?

Selftrade offers a fair trading environment for all types of traders.

What is the overall rating out of 10 for Selftrade?

7/10

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does Selftrade offer a demo account?

No.

How long is the demo account valid?

There is no demo account offered on their website.

Which live trading accounts does Selftrade offer?

Dealing Account

Stocks and Shares ISA

personal pension SIPP account

Child Trust Fund

What are the available deposit currencies for a live trading account?

USD and other currencies.

 

Deposits and withdrawals

What is the minimum deposit for Selftrade?

There is no minimum deposit required.

How do you make a deposit and withdrawal with Selftrade?

Selftrade offers the following deposit and withdrawal methods:

Credit and Debit cards

Skrill

Neteller

Does Selftrade charge withdrawal fees?

No, but fees from financial institution may apply.

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

 

 

 

A review about Selftrade

Sale of shares agreement in South Africa

Fresh Unique Article to increase your trading knowledge: Sale of shares agreement in South Africa

The Sale of shares agreement consists of a written contract for selling shares includes reference to confidentiality and restraints, amongst other detailed provisions. The Agreement caters for more than one Shareholder selling their shares, if applicable.

Choose your quick section of our Sale of shares agreement in South Africa review below.

A Quick Overview of our sale of shares agreement in South Africa Review:

 

What is a sale of shares agreement?

A Sale of Shares Agreement is a contract, normally in writing, that sets out all terms and conditions which regulate the sale of shares in a company.

A Sale of Shares Agreement may be used when a shareholder sells all the shares that they own in a Company to a purchaser, where the purchaser is already an existing shareholder of the Company.

A written contract for selling shares includes reference to confidentiality and restraints, amongst other detailed provisions. The Agreement caters for more than one Shareholder selling their shares, if applicable.

A number of issues need to be negotiated during a Company’s sale of equity, such as the purchase price, the handover process, confidentiality, and restraints.

A written contract for selling shares in a company sets out the terms of the sale of a shareholder’s shares to an existing shareholder in the company.

These issues need to be included in the Sale of Shares Agreement to eliminate uncertainty and ensure that both sellers and the purchaser understand their respective rights and obligations during the sale.

 

What does it mean to own shares in a company?

Shares are units of equity ownership interest in a corporation that exist as a financial asset providing for an equal distribution in any residual profits, if any are declared, in the form of dividends. Shareholders may also enjoy capital gains if the value of the company rises.

When establishing a corporation, owners may choose to issue common stock or preferred shares to investors. Companies issue equity shares to investors in return for capital, which is used to grow and operate the firm.

Unlike debt capital, obtained through a loan or bond issue, equity has no legal mandate to be repaid to investors, and shares, while they may pay dividends as a distribution of profits, do not pay interest.

Nearly all companies, from small partnerships or LLCs to multinational corporations, issue shares of some kind. Shares of privately held companies or partnerships are owned by the founders or partners.

As small companies grow, shares are sold to outside investors in the primary market. These may include friends or family, and then angel or venture (VC) investors.

If the company continues to grow, it may seek to raise additional equity capital by selling shares to the public on the secondary market via an initial share offering (IPO). After an IPO, a company’s shares are said to be publically traded and become listed on a stock exchange.

 

What are the different types of shares?

Most companies issue common shares. These provide shareholders with a residual claim on the company and its profits, providing potential investment growth through both capital gains and dividends.

Common shares also come with voting rights, giving shareholders more control over the business.

These rights allow shareholders of record in a company to vote on certain corporate actions, elect members to the board of directors, and approve issuing new securities or payment of dividends.

In addition, certain common stock comes with pre-emptive rights, ensuring that shareholders may buy new shares and retain their percentage of ownership when the corporation issues new stock.

In comparison, preferred shares typically do not offer much market appreciation in value or voting rights in the corporation.

However, this type of stock typically has set payment criteria, a dividend that is paid out regularly, making the stock less risky than common stock.

Because preferred stock takes priority over common stock if the business files for bankruptcy and is forced to repay its lenders, preferred shareholders receive payment before common shareholders but after bondholders.

Because preferred shareholders have priority in repayment upon bankruptcy, they are less risky than common shares. That said, preferred shares typically do not come with any voting rights.

 

Why do people buy shares?

People have been buying shares and investing in the stock market since 1792, when the New York Stock Exchange was first established.

The rich history of the stock market is loaded with highs and lows, and, through it all, investors have continued to regard it as a primary investment destination.

The endurance of the stock market can easily be attributed to the many benefits afforded to those who continue to buy shares of companies.

 

To make a profit

The primary reason that people buy shares of companies is to make money. The idea is to buy low and sell high. For instance, if you buy 100 shares of Company B stock valued at R25 each, you will have made an initial investment totalling R2, 500.

If in the next few months those shares increase to $50 per share, you can sell them for a total of R5, 000, thus doubling your investment. Of course, the amount of money you can make depends on the performance of the stocks.

 

To take ownership

When you buy shares of a company, you are taking ownership, a perk that allows you to share in the successes and failures of the company. Your ownership is equivalent to the percentage of stocks you own.

For instance, if the 100 shares of Company B that you own make up only .01 percent of the company’s total number of shares, then that is how much of Company B you actually own.

As partial owners in the company, shareholders are kept informed of company news and are often invited to attend shareholder meetings.

 

To diversify the investment portfolio

The primary goal of investing is to make money, and by creating a diverse investment portfolio, you will reduce your chances of losing money.

The stock market offers plenty of companies to choose from, allowing you to spread your money around and invest in multiple companies. If your shares of Company B happen to decrease in value, the loss might be offset if shares of Company C are on the rise.

If you’re already investing in other investment options, such as certificates of deposit (CDs) and mutual funds, venturing into the stock market will further enhance your portfolio diversity.

 

It affords easy access to your investment

Buying shares of stock rather than other investments — such as CDs, which require a long-term commitment — allows you easier access to your money. You can buy and sell shares whenever you need to without penalty.

 

What happens when a shareholder sells their shares?

There are many valid reasons to sell all or part of a business. Selling shares in a business can generate significant cash, which can pay down debts or be used for investments or charitable donations.

That cash can also go back into the business, where it can fund expansion. Likewise, selling part of a business can reduce the owner’s risk and allow them to diversify their personal assets.

Business owners may have several other reasons to sell shares. Selling shares over time can be a means of preparing for eventual succession and transferring ownership in a way that minimizes the tax shock to the eventual new owners.

Finally, selling shares in a business can be the end result of burnout or an unwillingness to grow the business further.

In general, shareholders can only be forced to give up or sell shares if the articles of association or some contractual agreement include this requirement.

In practice, private companies often have suitable articles or contracts so that the remaining owner-managers retain control if an individual leaves the company.

A basic part of creating a business is choosing a legal structure for the company that determines how owners pay taxes and manage the company.

Although many small businesses start as sole proprietorships, which are companies that have only one owner, some companies decide to sell shares of stock to investors or the public to raise money.

When a company sells stock, its shareholders become the owners. The impact of a shareholder leaving a company depends on whether the company is publicly or privately owned.

If a shareholder in a privately held company leaves the company and the bushiness has no buyout agreement in place, it can lead to several negative consequences.

The other shareholders may disagree about who gets to buy out the leaving shareholder’s ownership or how to value the shares.

This could potentially lead to costly legal proceedings or damage to personal relationships that may ultimately affect the management of the business.

When a Sale of Shares Agreement has been set up between the seller and the purchaser within the shareholder group, it is a clear sign that transfer of shares will be conducted in a manner that does not leave a negative impact on the company as a whole.

 

Drafting a Sale of Shares Agreement

A share in a company consists of a bundle of personal incorporeal rights against the company.

These bundles of rights are “transferred” by way of cession and it is possible for rights against the company to “transfer” at different stages between the Seller and the Purchaser.

 

Possible restrictions

Section 8 (2) (b) (ii) (bb) of the Companies Act, 2008 determines that a profit company is a private company if its MOI restricts the transferability of its securities.

If the Seller has a properly drafted MOI, there will usually be a pre-emptive right in favour of the other shareholders contained in the MOI.

At the very least there will be an article that provides that any shareholder to whom a transferor wants to transfer shares must be approved by the other shareholders.

As such, pre-emptive rights and restrictions can become complex.

Before you start drafting your Sale of Share Agreement, ensure that you examine the latest MOI of the Company in which the shares are held and ensure that there are no shareholder or other agreements that may restrict the transfer of shares.

If there are any restrictions that may apply and these restrictions have not been dealt with, ensure that you incorporate the applicable conditions that may relate to this matter.

 

Considering the matrimonial property act

If the Seller is a natural person, it is important to determine the marital status of the Seller. If the Seller is married in community of property, section 15 of the Matrimonial Property Act may apply.

Section 15 (2) (c) of the Matrimonial Property Act, 1984, determines that a spouse married in community of property shall not without the written consent of the other spouse alienate, cede or pledge any shares forming part of the joint estate.

Section 15 (6) Matrimonial Property Act, 1984, however, determines that the provisions of section 15 (2) (c) shall not apply where a spouse performs an act contemplated in section 15 (2) (c) in the ordinary course of his profession, trade or business.

 

When approval is required

If the Seller is a Company, you will need to establish if the Seller is disposing of all or the greater part of its assets or undertakings.

Section 1 of the Companies Act, 2008, provides the following in this regard:

“all or the greater part of the assets or undertaking”, when used in respect of a company, means—
(a) in the case of the company’s assets, more than 50% of its gross assets fairly valued, irrespective of its liabilities; or
(b) in the case of the company’s undertaking, more than 50% of the value of its entire undertaking, fairly valued;”

If one of the exclusions stipulated in section 112 (1) of the Companies Act 2008 does not apply, the shareholders of the Seller will need to approve the transaction if the Seller is selling all or greater part of its assets or undertakings.

It is also important to take into consideration whether the Seller is a subsidiary of a holding company.

If so, one must then consider whether the disposal by the Seller (being the subsidiary), constitutes disposal of all or the greater part of the assets or undertakings of the holding company with regard to the consolidated financial statements of the holding company.

If the disposal also constitutes disposal of all or the greater part of the assets of the holding company, then the shareholders of the holding company will also need to approve the transaction by way of a special resolution.

If approval by the shareholders of the Seller (and, if applicable, the shareholders of the Seller’s holding company) is uncertain, then the appropriate conditions precedent clauses relating to the matter will need to be incorporated in the agreement.

 

A panel will need to regulate the takeover

Takeover Regulation Panel (TRP) approval is sometimes overlooked because parties take the wrong assumptions that because it is not a high-value transaction, there is no need for TRP approval.

Small and medium companies seldom expressly stipulate in their MOI that Part B, C and the Takeover Regulations must apply to it. This, however, does not mean that part B, C and the Takeover Regulations will not apply.

If the transaction constitutes disposal of all or the greater part of the Sellers assets, then it is also important to consider whether 10% or more of the issued securities of the Seller have been transferred within the last 24 months.

Should there have been a transfer as stipulated above, then the Seller will be regarded as a “regulated company” that is entering into an “affected transaction”.

The Companies Act, 2008, stipulates that the Seller may not dispose or give effect an agreement to dispose of all or the greater part of its assets or undertakings unless the TRP has issued a compliance certificate or exempted the transaction.

 

There may need to be competition authority approval

Firstly, you will need to establish whether there will be an acquisition or establishment of control over the whole or part of the business of the Company as outlined in the Competition Act.

If there is an acquisition or establishment of control as described in the Act, then you will need to consider the thresholds and categories of mergers to determine whether approval from the Competition Authorities is required.

 

It is important to include tax considerations

Security Transfer Tax (STT) is on which is often overlooked, and in a fast-paced business environment trouble in obtaining a tax clearance certificate due to something like STT can have serious consequences for the company and its advisers.

STT is levied on every transfer of a security and was implemented from 1 July 2008 under the Securities Transfer Tax Act (STT Act), together with the Securities Transfer Tax Administration Act, No. 26 of 2007.

STT is levied at the rate of 0, 25% on, generally, the value of shares transferred. There are various exemptions listed under section 8 of the STT Act.

The most notable exemptions would be where the amount of STT payable is less than R100 (or in other words where the value of the shares transferred is less than R40,000) or where the shares are sold in terms of the corporate restructuring rules.

With the transfer of an unlisted security, the company which issued the unlisted security is liable for the STT. The company may however, recover the STT payable from the person to whom the security is transferred.

For unlisted securities: Securities transfer tax must be paid within two months from the end of the month in which the transfer of the unlisted security took place.

Another tax that is often missed is transfer duty that is payable by the purchaser that purchases the shares in a residential property-owning company and not the immovable property itself.

The Taxation Law Amendment Act of 2001 provided that there is transfer duty payable on the sale of shares in residential property-owning companies.

Transfer duty is payable at the standard rate based on the market value of the property. This excludes commercial / agricultural property-owning companies. The test here is the zoning of the property (not the use).

 

Conclusion

If you want to sell your shares in a company – for example, because you work for the company but are retiring or leaving, or you have had a dispute with other shareholders – selling them back to the company may be your best option.

For example, you may not be able to find a third party buyer who is acceptable to the company, or existing shareholders might not be able to afford to purchase your shares (or you may simply not want to deal with each other).

As far as the company is concerned, purchasing its own shares may be a sensible way of using spare cash or of adjusting its gearing (the level of its borrowings compared to its shareholders’ funds).

Public or larger private companies may also wish to purchase shares to increase the value of the remaining shares, to increase the dividends each remaining share gets, and to help maintain a healthy market in the shares.

Another situation when a company may buy its own shares back is when it operates an employees’ share scheme which requires employees to give up their shares when they leave – for example, because they have been dismissed or have resigned to join a competitor.

If you are purchasing shares out of capital, special rules apply to protect creditors. Unless the shares are being bought back for the purposes of or pursuant to an employees’ share scheme, you must notify your creditors of your intention to buy back shares out of capital.

Your creditors will have five weeks after the resolution authorising the share purchase is passed to apply to the court to cancel the resolution and prevent the purchase.

A Sale of Shares Agreement is a contract, normally in writing, that sets out all terms and conditions which regulate the sale of shares in a company.

A Sale of Shares Agreement may be used when a shareholder sells all the shares that they own in a Company to a purchaser, where the purchaser is already an existing shareholder of the Company.

A written contract for selling shares includes reference to confidentiality and restraints, amongst other detailed provisions. The Agreement caters for more than one Shareholder selling their shares, if applicable.

Knowing your client and related parties is crucial when drafting Sale of Share Agreements. Even low-value transactions between SMMEs can trigger, for example, a mandatory offer or may require shareholder approval in some way.

Penny Stocks South Africa

Fresh Unique Article to increase your trading knowledge: Penny Stocks South Africa

 

Penny stocks in South Africa. Before we explore this subject more deeply, it is important to first take a closer look at the penny stocks , Forex trading, and what it is as well as the advantages and disadvantages of trading penny stocks.

Choose your quick section of our Penny stocks in South Africa review below.

A Quick Overview of our Penny stocks in South Africa Review:

Many people ask is Forex trading gambling, largely due to the speculative nature of currency trading, and will therefore often collude the idea of ‘speculating’ with ‘lucky guessing.’

 

What are penny stocks?

A penny stock typically refers to the stock of a small company that trades for less than $5 per share. In the past, penny stocks were considered any stocks that traded for less than one dollar per share.

Penny stocks are usually associated with small companies and trade infrequently meaning they have a lack of liquidity or ready buyers in the marketplace.

As a result, investors may find it difficult to sell stock since there may not be any buyers at that time. Because of the low liquidity, investors might have difficulty finding a price that accurately reflects the market.

Penny stocks do provide some small businesses with a way to access funding from the public. These companies may use this platform as a starting block to move into a larger marketplace.

Also, since they sell as such low prices, there is room for significant upside. However, some factors exacerbate the risk associated with investing or trading penny stocks. The securities are usually riskier than more well-established companies known as blue-chip stocks.

A blue chip is a nationally recognized, well-established, and financially sound company. Blue chips generally sell high-quality, widely accepted products and services.

Blue chip companies typically have a history of weathering downturns and operate profitably in the face of adverse economic conditions, which helps to contribute to their long record of stable and reliable growth.

Since these are primarily small companies, penny stocks are most suitable for investors who have a high risk appetite. Typically, penny stocks have a higher level of volatility, resulting in a higher potential for reward and, thus, a higher level of inherent risk.

Although penny stocks can have explosive moves, it is important to have realistic expectations whereby investors understand that penny stocks are high-risk investments with low trading volumes.

 

How to trade penny stocks

Penny stocks and low-priced shares are not right for everyone, despite the fact that they do have a lot of great attributes. They truly can turn a small investment into a large sum of money pretty quickly (but can just as quickly wipe those earnings out).

 

Define your risk

You should only invest in penny stocks with risk money or those funds that you can afford to lose.

You also should only start your penny stocks trading career by approaching low-priced shares once you have gained significant knowledge, and have a strong stomach for the potential volatility.

This volatility can sometimes be found in the investments trading at the lowest prices.

 

Practice with paper trading

You can avoid big mistakes by learning how to trade with the risk-free, no-money-required method of buying and selling low-priced shares, known as “paper trading.”

All you need is a pen and a piece of paper to keep track of imaginary trades in real stocks, using a portfolio of imaginary money.

This will probably be the best thing you will ever do in terms of penny stocks. By tracking imaginary profits on your imaginary paper trading, you can make a more knowledgeable jump into real money.

This will also help you learn all the important penny stock jargon, learn from your mistakes, and appreciate all the things to look for when you try to find the next penny stock winners.

After you have paper traded for a couple of months, you will be much better in every respect when it comes to buying and selling speculative shares.

 

Do your research

Make sure the penny stock companies you’re interested in are legitimate. Do your due diligence and look into companies before throwing a few hundred dollars at their cheap shares.

You can go to the Johannesburg Stock Exchange (JSE) website to see if the stock has been recently delisted from a major exchange. You can also get copies of the company’s most recent SEC filing to get an idea of the company’s overall financial health.

It’s important to understand how the company makes money. A stock screener can help you filter stocks based on criteria like price per share. From there, you can dig into a company more individually.

Research does require additional time, but it increases your odds of success.

 

Find the right broker

To buy shares in a particular company, you need to find someone who not only owns shares of the same company but is also willing to sell them to you. This is what your broker does for you.

Through your broker’s trading platform they route your buy and sell orders to other buyers and sellers through their connection with the stock exchange that lists the shares of the company you are trading.

As your broker will hold the capital you want to trade or invest with, it is important to choose the right broker, ideally one that offers the highest regulation and security as possible.

 

Penny stock trading strategies

Day trading strategies

This style of trading is where traders buy and sell shares within a single trading day and exit by the end of the day. It is rare for day traders to hold trades overnight. Traders would typically use the lower timeframes when making trading decisions.

While day trading penny stocks seems attractive to many beginner traders it is very risky. This is because the trader has to process a large amount of data and analysis in a short period of time which allows for errors, frustration and drained willpower.

Most new traders are simply not ready to take a high number of traders in a short-period of time.

 

Swing trading strategies

This type of trading strategy involves traders holding stocks and shares for several days and in some cases several weeks.

Swing traders will often use a combination of fundamental and technical analysis in their trading decisions with more weight placed on technical analysis and the use of technical indicators such as moving averages

Moving averages are used to help identify and confirm the overall trend of the market. This gives the swing trader the directional bias to trade in – long or short.

Swing traders will also often use overbought and oversold indicators such as the Relative Strength Index (RSI), Stochastic Oscillator and others.

These help to identify overbought and oversold conditions in the market and therefore potential turning points where the market could change direction. Ideally, these indications would be in line with the overall trend of the market as confirmed by the moving averages.

However, they can also be used for reversal swing trading. This is where traders aim to identify the end of a trend by using indicators and oscillators to find reversal divergences between them and price.

 

Investment strategies

Investing strategies have a lot of similarities to trading strategies. The biggest difference is the holding period.

Investors typically look to hold shares for many months or years and try to capitalise on the potential for a long-term capital gain, or for a penny stock to turn into a blue-chip stock.

If you are thinking of taking a long-term view on penny stocks, or other stocks and ETFs from around the world, you may consider the Invest.

 

Advantages of Penny Stocks

Following upcoming growth: There are many excellent companies trading for pennies. They have proven management teams, rock-solid financial positions, growing market share, improving financial ratios and disruptive products or services that are set to dominate an industry.

Excitement: For anyone who has made 5% on an investment in a year, they understand the excitement which comes with the big gains and losses among penny stocks.

Turning Small Investments Into Much More: The majority of penny stock investors have small amounts with which to start trading.

If a person has $500 to trade, they may only buy three or four shares of a bigger company but could purchase thousands of shares of the penny stocks in which they are interested.

Speed: Not all penny stocks see quick movement in their market price, but the ones which do can typically make their big price moves within days, not years.

 

Disadvantages of Penny Stocks

Low-Quality Companies: The majority of penny stocks are low-quality companies. In some cases, this is because their financial position is a train wreck, their balance sheet is frightening, and their operations are producing large losses.

Alternatively, they may have a questionable product in a dying industry with numerous competitors.

Risky Markets: Some penny stocks trade on the New York Stock Exchange, the American Stock Exchange, and the NASDAQ (including their lower-level Bulletin Board market).

This means all the underlying companies have listing standards, reporting requirements, and investor communication obligations.

However, the majority of low-priced shares trade on the Pink Sheets, OTC, or OTCQX, where the listing fees, requirements, and reporting regulations are almost non-existent. These low-calibre marketplaces (technically, these are not even stock exchanges) attract lower-quality companies by the thousands.

Different Stock Broker Regulations: Many stockbrokers will have higher commission rates for trading penny stocks if they even allow it at all. Most will not accept special trading orders, such as stop-losses.

Thinly Traded: Unlike larger companies that may trade tens of millions of shares each day, some penny stocks are very thinly traded. Many see an average of a few thousand shares exchanged daily, while others may see even less trading volume.

Volatility: Rapid and significant price moves are great when they go in your favour, but there are two sides to the volatility coin.

 

Penny stocks for the South African trader

There are a few different ways to define South Africa’s penny stocks. Some definitions say its listed companies with a market cap of less than R1, 5 billion, which is why penny stocks are also commonly referred to as small-cap stocks.

Another definition is stocks with a share price of anywhere between 10c to R10 per share. However this is a rather vague definition.

On the opposite side of the scale to penny stocks are blue chip stocks. In comparison to penny stocks, blue chip stocks are large listed companies that have been around for a long time and have a long, stable financial track record.

Some of South Africa’s biggest and most well-known companies are considered blue chip stocks, such as British American Tobacco, Naspers, BHP, and Anglo American.

While penny stocks in most cases pay no dividends, blue chips stocks almost always do.

 

How to buy penny stocks in South Africa

Choose a share trading platform. If you’re a beginner, do your research before you choose.

Open your account. You’ll need your ID, bank details and possibly one or two other FICA documents.

Confirm your payment details. You’ll need to fund your account with a bank transfer, debit card or credit card.

Find the shares you want to buy. Search the platform and buy your shares.

 

Global penny stocks worth considering

Future Fintech Group Inc.: Chinese company Future Fintech Group operates a blockchain e-commerce platform with other activities in developing financial technology.

Pivot Technology Solutions Inc.: Pivot Technology Solutions is a Canadian company that acquires and integrates companies with IT capabilities. Through multi-vendor sourcing and implementation solutions, Pivot utilizes its acquired companies to support the IT needs of its customers.

On September 9, the company announced that it had entered into an agreement whereby Computacenter plc. and its subsidiary would acquire all outstanding shares of Pivot for an equity value of roughly CA$105.8 million (USD $80.4 million).2

Quarterhill Inc.: Quarterhill is a Canadian internet service company focused on connectivity of machines and sensors.

The company caters to customers in industrial applications such as mining, oil and gas, and manufacturing. In August, Quarterhill reported a 68.2% decline to net revenue year-over-year (YOY) for Q2.

The company posted net income of CA$9.5 million (USD $7.2 million) for the period, after reporting a loss in the same period a year earlier. The net income was due in part to Quarterhill’s sale of asset maintenance software company VIZIYA.

  • Photon Control Inc.: Canadian company Photon Control offers fibre optic measurement services.

The company designs and builds optical sensors and other tools to measure position and temperature and serves customers in the semiconductor and wafer fabrication industries.

On September 16, Photon Control announced that it had entered into a distribution agreement with Woowon Technology Co.

This partnership provides the company with access to the South Korean market, which is the world’s second-largest semiconductor market and accounts for roughly 20% of the global chip market overall.4

  • Cheetah Mobile Inc.: Cheetah Mobile is a Chinese internet and mobile software developer. The firm specializes in developing and operating internet browsers and security applications, mobile games, memory saving solutions, and related services.

 

Conclusion

Penny stocks are traditionally identified as equities that trade at the low end of the ranges of prices found in the market, often less than a dollar or for “only pennies.”

The U.S. Securities and Exchange Commission currently considers the term “penny stock” to refer to “a security issued by a very small company that trades at less than US$5 per share.”

Some companies that are just starting out may take years to reach elevated share prices or pay out attractive dividends, and investors can’t always be certain of the timetable for their investments in these shares to become profitable.

However, one of the strong attractions of penny stocks is that investors with little capital can buy large volumes of shares at low prices, and thus see a profit if the shares show large price movements.

For example, a small investor could buy 10,000 shares of a stock at 20 cents per share for US$2,000.

If the share price moves to 30 cents per share, the investment would then be worth US$3,000, and the investor could sell the shares for a profit of US$1,000 less transaction costs such as broker commissions and taxes.

If the share instead dropped to 10 cents, and the investor sold the investment, the loss would be $1,000.

Generally, penny stocks are traded on over-the-counter markets (OTCs). They are less formal and less regulated off-exchange markets where investors can find less well-known and potentially lucrative securities that aren’t available on major exchanges.

In the U.S., OTCs are managed by the Financial Industry Regulatory Authority (Finra) and the OTC Markets Group, Inc.

Some penny stocks may also be found on regular exchanges. OTCs, however, specialise in penny-stock trading on platforms such as Finra’s OTC Bulletin Board and OTC Link LLC.

The OTC Bulletin Board is accessible to securities dealers, and the OTC Link operates two marketplaces where penny stocks can be traded: the OTCQB and the OTC Pink.

OTCs are restricted to brokers and dealers, but most online brokerages can execute trades of securities listed on them

While there are legitimate companies traded as penny stocks, it may be very difficult for investors to find current or reliable information about those companies as they tend to be closely held or extremely small.

Additionally, penny stocks rarely pay dividends. Based on those characteristics, penny stock trading is often considered a gamble.

Penny stocks are often considered too risky for novice trader. Extreme caution should always be taken when considering penny stocks.

 

 

 

Is Forex Trading Gambling?

Fresh Unique Article to increase your trading knowledge: Is Forex Trading Gambling?

 

Is Forex Trading Gambling? Before we explore this question more deeply, it is important to first take a closer look at the Forex market, Forex trading, and what it takes to make a successful trade.

Choose your quick section of our is Forex Trading Gambling below.

A Quick Overview of our is Forex Trading Gambling Review:

Many people ask is Forex trading gambling, largely due to the speculative nature of currency trading, and will therefore often collude the idea of ‘speculating’ with ‘lucky guessing.’

 

What is the Forex market?

Forex trading, which is the act of exchanging fiat currencies, is thought to be centuries old – dating back to the Babylonian period. Today, the forex market is one of the biggest, most liquid and accessible markets in the world, and has been shaped by several important global events, like Bretton woods and the gold standard.

The foreign exchange market – also known as forex or the FX market – is the world’s most traded market, with turnover of $5.1 trillion per day.

To put this into perspective, the U.S. stock market trades around $257 billion a day; quite a large sum, but only a fraction of what forex trades.

Forex is traded 24 hours a day, 5 days a week across by banks, institutions and individual traders worldwide. Unlike other financial markets, there is no centralized marketplace for forex, currencies trade over the counter in whatever market is open at that time.

 

In the 1990s, the currency markets grew more sophisticated and faster than ever because money – and how people viewed and used it – was changing.

For forex, everything changed. Currencies that were previously shut off in totalitarian political systems could be traded. Emerging markets, such as those in Southeast Asia, flourished, attracting capital and currency speculation.

As such, the history of forex markets since 1944 presents a classic example of a free market in action. Competitive forces have created a marketplace with unparalleled liquidity.

Spreads have fallen dramatically with increased online competition among trustworthy participants. Individuals trading large amounts now have access to the same electronic communications networks used by international banks and merchants.

 

Understanding speculation in the Forex market

Speculation in the foreign exchange market involves the buying and selling of currencies with the view of making a profit.

It is called speculation because of the uncertainty involved as no one can say for sure whether the market will be going up or down. Traders assess the likelihood of either scenario before placing a trade.

An investor who purchases a speculative investment is likely focused on price fluctuations.

While the risk associated with the investment is high, the investor is typically more concerned about generating a profit based on market value changes for that investment than on long-term investing.

 

When speculative investing involves the purchase of a foreign currency, it is known as currency speculation.

In this scenario, an investor buys a currency in an effort to later sell that currency at an appreciated rate, as opposed to an investor who buys a currency in order to pay for an import or to finance a foreign investment.

Speculators can provide market liquidity and narrow the bid-ask spread.

This enables producers to hedge price risk efficiently speculative short-selling may also keep rampant bullishness in check and prevent the formation of asset price bubbles through betting against successful outcomes.

Mutual funds and hedge funds often engage in speculation in the foreign exchange markets as well as bond and stock markets.

Speculation in the forex markets can be hard to differentiate from typical hedging practices, which occur when a company or financial institution buys or sells a currency to hedge against market movements.

Transactions typically feature spot deals to buy and sell currency pairs, such as EUR/USD (Euro-US Dollar), for delivery through options or simple exchange. This market is dominated by asset managers and hedge funds with multi-billion-dollar portfolios.

 

What is gambling?

Gambling is defined as betting, gaming or participating in a lottery. That definition distinguishes between activities which need to be licensed and other activities which do not.

While it may seem obvious what gambling is, emerging technology has blurred the lines to expand the range of ways people gamble.

Traditionally gambling is an activity where someone risks money or belongings, there is an element of randomness or chance involved and the purpose is to win.

 

Games of luck are games in which the results depend, either partially or totally, on luck. Practice does not increase a person’s chances of winning, and a player’s knowledge or skill has little or no control over the result.

The nature of luck-based games is such that all events are unique and independent. Examples include Bingo, roulette, the lottery and slot machines.

Games of skill are games in which a certain level of knowledge or skill is required; the player can, at least in part, control the result of the game. Practice can make a person a better player.

For example, sports are considered games of skill (soccer, golf, billiards, etc.), as well as other games such as chess, some board games and, to a certain extent, some card games.

 

Gambling versus speculation

Speculation and gambling are two different actions used to increase wealth under conditions of risk or uncertainty. However, these two terms are very different in the world of investing.

As already noted, gambling refers to wagering money in an event that has an uncertain outcome in hopes of winning more money, whereas speculation involves taking a calculated risk in an uncertain outcome.

 

Speculation involves some sort of positive return on investment—even though the end result may very well be a loss.

On the other hand, the expected return for gambling is negative for the player—even though some people may get lucky and win.

Let us take a closer look at these two ideas.

Speculation involves calculating risk and conducting research before entering a financial transaction. A speculator buys or sells assets in hopes of having a bigger potential gain than the amount he risks.

A speculator takes risks and knows that the more risk he assumes, in theory, the higher his potential gain. However, he also knows that he may lose more than his potential gain.

 

For example, an investor may speculate that a market index will increase due to strong economic numbers by buying one contract in one market futures contract.

If his analysis is correct, he may be able to sell the futures contract for more than he paid, within a short- to medium-term period. However, if he is wrong, he can lose more than his expected risk.

Converse to speculation, gambling involves a game of chance. Generally, the odds are stacked against gamblers.

When gambling, the probability of losing an investment is usually higher than the probability of winning more than the investment. In comparison to speculation, gambling has a higher risk of losing the investment.

 

The difference between a forex trader and a gambler

The primary difference between the forex trader and the gambler is ‘risk’. With gambling, you are relying solely on ‘luck’. For example, when you roll a dice in a casino, you have no idea what number you’re going to get.

In comparison, when you trade, you can analyse the market and predict where it is likely to go. You can implement a trading strategy and set yourself goals. There is a logic to trading and an ability to increase your chances of success.

The gambler mentality will not lead to success in forex trading.

 

The Forex market is backed by the biggest and most important financial institutions on the globe.

It is true that traders do not trade with the banks, but rather on the retail market, even so, the fact that the market is supported by such organization provides a much higher level of legitimacy than the gambling world.

While gambling always faces challenges on the legal front, Forex is as legitimate as any other market, such as stocks or commodities.

A gambler, unless he is counting cards or employing some other trickery to try to place the odds in his or her favour, is accepting that the odds are either unknown or slightly in favour of the house.

A Forex trader, on the other hand, is almost always trying to use some kind of strategy to put the odds in his or her favour.

A Forex trader never knows whether the trade he or she is making right now is going to be a winner, however, but has some reason to expect that over time a large number of trades will be profitable overall.

 

This is the crucial difference between Forex trading and gambling, except for those rare Forex traders who trade randomly just to amuse themselves, accepting they are gambling.

A very high percentage of Forex traders end up losing more than they gain, not because they are gambling, but because they do not know enough about how to wait until the odds have moved in their favour before opening a trade.

For this exact reason, it is crucial when first opening up a Forex trading account that you only use money that you can afford to lose.

Professional traders do not see the markets as a game or a place to take huge risks. Professional traders know that trading Forex is all about managing risk.

There are no gamblers that make money in the long run, with the exception of professional poker players.

These are not really gamblers because they count cards and use money management strategies based on mathematical models, the same way professional Forex traders do.

There are professional Forex traders who make money every year over years and years, but no professional slot machine players who can do the same.

 

The key to avoiding becoming a Forex gambler is to study various trading strategies, back test them over many years of historical price data and learn what works and what does not – and try to understand why.

Forex is not about luck. You can watch and analyse the Forex market for days before opening a trade, as well as keep a close eye on the currency you are looking to buy, and only then, based on your studies, make your move.

 

Conclusion

Currency trading and speculation is decidedly different from gambling, and while a certain element of luck may be present in any type of business success, there is certainly more to speculative trading than merely picking a pair of numbers and hoping they will win.

Although there may be some superficial similarities between the two concepts, a strict definition of both speculation and gambling reveals the principle differences between them.

A standard dictionary defines speculation as a risky type of investment, where investing means to put money to use, by purchase or expenditure, in something offering profitable returns, especially interest or income.

The same dictionary defines gambling as follows: To play at any game of chance for stakes. To stake or risk money, or anything of value, on the outcome of something involving chance; bet; wager.

Speculation refers to the act of conducting a financial transaction that has a substantial risk of losing value but also holds the expectation of a significant gain or other major value.

With speculation, the risk of loss is more than offset by the possibility of a substantial gain or other recompense. Some market pros view speculators as gamblers, but a healthy market is made up of not only hedgers and arbitrageurs, but also speculators.

A hedger is a risk-averse investor who purchases positions contrary to others already owned.

If a hedger owned 500 shares of Marathon Oil but was afraid that the price of oil may soon drop significantly in value, he or she may short sell the stock, purchase a put option, or use one of the many other hedging strategies.

While speculation is risky, it does often have a positive expected return, even though that return may never manifest.

Gambling, on the other hand, always involves a negative expected return—the house always has the advantage. Gambling tendencies run far deeper than most people initially perceive and well beyond the standard definitions.

Gambling can take the form of needing to socially prove one’s self or acting in a way to be socially accepted, which results in taking action in a field one knows little about.

 

 

How to Read the Forex Markets

Fresh Unique Article to increase your trading knowledge: How to Read the Forex Markets

 

It is vital to be able to learn how to read the Forex markets. Every successful trader will tell you that in order to execute consistently successful positions over the long term.

Choose your quick section of our how to Read the Forex Markets below.

A Quick Overview of our how to Read the Forex Markets Review:

In this article, we will explore the different types of market analysis and the best means of applying them, so that you can start to enjoy a successful Forex trading career today.

 

Different types of market analysis

 

Fundamental analysis

Fundamental analysis is a method of analysing the financial markets with the purpose of price forecasting. Forex fundamental analysis focuses on the overall state of the economy.

As such, this type of analysis involves researching various factors including interest rates, employment rate, GDP, international trade and manufacturing, as well as their relative impact on the value of the national currency they relate to.

Fundamental analysis in Forex is not just about comparing the current data of single economic indicators to previous data.

There are a great number of economic theories which surround fundamental Forex analysis, attempting to put various pieces of economic data in context, to make it comparable.

The most popular economic theories of currency fundamental analysis follow the notion of parity – a condition of price at which currencies should be exchanged when adjusted, according to their local economic factors, such as inflation and interest rates.

The core premise of fundamental analysis in Forex, as well as other financial markets, is that the price of an asset may differ from its real value. For this reason, various markets may sometimes misprice an asset in the short run.

Fundamentalists believe that despite being mispriced in the short-term, the assets will always return to the correct price eventually.

The end goal of performing fundamental analysis is to discover the true value of an asset, to compare it to the current price, and to locate a trading opportunity.

This also nicely demonstrates the key difference between fundamental and technical analysis. While technical analysis barely pays attention to anything but the current price, fundamental analysis researches everything but the current price.

Whilst it is true that fundamental analysis may not be the best tool for a short-term trader in day-to-day markets, it is the fundamental Forex factors and how they are analysed that answer what happens in the long-term.

 

Technical analysis

Technical analysis is the study of historical price action in order to identify patterns and determine probabilities of future movements in the market through the use of technical studies, indicators, and other analysis tools.

Technical analysis of a market can help you determine not only when and where to enter a market, but much more importantly, when and where to get out.

Technical analysis is based on the theory that the markets are chaotic (no one knows for sure what will happen next), but at the same time, price action is not completely random.

In other words, mathematical Chaos Theory proves that within a state of chaos there are identifiable patterns that tend to repeat.

This type of chaotic behaviour is observed in nature in the form of weather forecasts. For example, most traders will admit that there are no certainties when it comes to predicting exact price movements.

As a result, successful trading is not about being right or wrong: it’s all about determining probabilities and taking trades when the odds are in your favour.

Part of determining probabilities involves forecasting market direction and when/where to enter into a position, but equally important is determining your risk-to-reward ratio.

 

Weekend analysis

There are two basic reasons for doing a weekend analysis. The first reason is that you want to establish a “big picture” view of a particular market in which you are interested.

Since the markets are closed and not in dynamic flux over the weekend, you don’t need to react to situations as they are unfolding, but can survey the landscape, so to speak.

Secondly, the weekend analysis will help you to set up your trading plans for the coming week, and establish the necessary mind-set.

A trading plan will be the guide to your trading for the week. If you already have a trading plan and strategy, use the previous week’s performance to help you determine if you need some improvements.

This doesn’t mean that you need to change your trading plan every week, it is simply just making sure that it is beneficial in the long run.

It is important to remember that each of the markets are not separate. They are reliant on each other when it comes to the purchase of bonds, equities, good and services, as they all have an effect on the levels of supply and demand for currencies (Forex, FX).

Thus, the price levels of different currencies will vary when money moves around the world as investment searches for the highest and safest yields.

The news also has a significant effect on Forex and in the economies of the world. Traders will wait for news releases to confirm or deny their theories, and then make the necessary decisions to either enter or exit a trade.

If the news releases occur at certain technical levels, they will attract more trading activity which can, in turn, increase the odds of a successful trade.

Some news releases that occur at specific chart confluences can have a more dramatic effect on the volatility of the market and will deliver better trading opportunities.

Preparation is key. Every good trader sets out the time to analyse and expand their knowledge of the past week and for the upcoming week.

Traders should be passionate about what they do, but it is still weekend after all. Once you have done your forex weekend analysis you will feel a whole lot more relaxed and prepared.

 

How to apply Forex market analysis

Once you have studied the various methods of Forex analysis, and selected one method or a combination of methods which best suit your trading style, it is import learn how to successfully apply this market analysis in your trading.

 

Learn the market drivers

The art of successful trading is partly due to an understanding of the current relationships between markets and the reasons that these relationships exist. It is important to get a sense of causation, remembering that these relationships can and do change over time.

The forex market is primarily driven by overarching macroeconomic factors. These factors influence a trader’s decisions and ultimately determine the value of a currency at any given point in time.

The economic health of a nation’s economy is a primary factor in the exchange rate of its currency. Overall economic health can change quickly based on current events and new information.

The global capital markets are perhaps the most visible indicators of an economy’s health. It is easy to notice the release of public information in capital markets.

There is a steady flow of media coverage and up-to-the-second information on the dealings of corporations, institutions, and government entities.

Another critical factor is the balance of trade between nations. The trade balance serves as a proxy for the relative demand for goods from a country. A nation with products or services that are in high demand internationally will typically see an appreciation of its currency.

 

Learn how to chart indexes

It is helpful for a trader to chart the important indexes for each market for a longer time frame. This exercise can help a trader to determine relationships between markets and whether a movement in one market is inverse or in concert with the other.

Indexes are a measurement of the price performance of a group of shares from an exchange.

For example, the FTSE 100 tracks the 100 largest companies on the London Stock Exchange. Trading indexes enables you to get exposure to an entire economy or sector at once, while only having to open a single position.

 

Search for market consensus

One can gain a perspective of whether or not the markets are reaching a turning point consensus by charting other instruments on the same weekly or monthly basis.

From there, one can take advantage of the consensus to enter a trade in an instrument that will be affected by the turn.

Psychology is the often overlooked intangible aspect of trading, because it is unquantifiable and generally misunderstood by most traders and investors.

Unlike the precise mathematical formulas used in technical analysis, we cannot easily reduce human behaviour to a mathematical equation that can be plotted on a graph as a trendline or as a series of variables that we can examine in detail, throughout history.

 

When driven strongly by consensus, crowd behaviour is actually a contrary indicator. When the consensus of the majority of investors or traders is strongest, the individual trader should do exactly the opposite of what the crowd is doing.

The astute trader can profit by doing quite the opposite of what, at first glance, seems logical. When the market is strongly bullish, the astute trader is ready to short the market. When the market is bearish, he or she gets ready to buy.

 

Learn how to time your trades

Patience, discipline, and preparation will set you apart from traders who simply trade on the fly without any preparation or analysis of multiple forex indicators.

There is a much higher chance of a successful trade if one can find turning points on the longer timeframes, then switch down to a shorter time period to fine-tune an entry.

The first trade can be at the exact Fibonacci level or double bottom as indicated on the longer-term chart, and if this fails then a second opportunity will often occur on a pullback or test of the support level.

The best time frame to trade forex will vary depending on the trading strategy you employ to meet your specific goals.  For example, a day trader will hold trades for a significantly shorter period than that of a swing trader.

The best time frame to trade forex does not necessarily mean one specific time frame. It is possible to combine approaches to find opportunities in the forex market.

 

Conclusion

Foreign exchange, more commonly known as Forex, is the most traded market in the world. Well over $5 trillion of currency is traded in a single day, dwarfing the hundreds of billions traded on stock markets around the world.

While the big banks and corporations make up the vast majority of daily forex trading, everyone else in the market is still trading trillions of dollars’ worth of forex each and every day.

Investors have more tools to aide their forex trading strategies than ever before, allowing them to implement a range of different methodologies and approaches to help them gain an edge in the market. But this has also made the forex market more competitive than ever.

Careful and thorough forex market analysis is a challenging but very rewarding task. It is exactly the analysis which draws the dividing line between sophisticated trading and gambling.

Fundamental Analysis is the application of macroeconomic theory to markets, to provide forecasts on future trends.

These driving forces outlined act simultaneously, but the combined effect is difficult to assess, so technical analysis can help for such an assessment.

The task of technical analysis is the exploration of a financial asset’s dynamics, rate, price change amplitude, on the basis of graphical representations of price movements.

There is no not a best method of analysis for forex trading between technical and fundamental analysis. The most viable option for traders is dependent on their time frame and access to information.

For a short-term trader with only delayed information to economic data, but real-time access to quotes, technical analysis may be the preferred method.

Alternatively, traders that have access to up-to-the-minute news reports and economic data may prefer fundamental analysis. In either case, it does not hurt to conduct a weekend analysis when the markets are not in a constant state of fluctuation.

Forex One Minute Strategy

Fresh Unique Article to increase your trading knowledge: Forex One Minute Strategy

 

One very useful trading strategy is known as the Forex One Minute Strategy, which is used to great success.  Forex trading requires putting together multiple factors to formulate a trading strategy that works for you.

Choose your quick section of our Forex One Minute strategy below.

A Quick Overview of our Forex One Minute Strategy Review:

In this article, we explore the Forex one minute strategy to find out how it works and discover which traders might benefit from this system. Read on to find out more.

 

Forex One Minute Strategy Overview

Said to be one of the largest exchange markets, the Forex market is gaining immense popularity.

The possibility of earning large profits adds to the appeal. Although trading in this market is not easy, it can be, provided you find a proven and profitable Forex trading strategy.

A forex trading strategy defines a system that a forex trader uses to determine when to buy or sell a currency pair.

There are various forex strategies that traders can use including technical analysis or fundamental analysis. A good forex trading strategy allows for a trader to analyse the market and confidently execute trades with sound risk management techniques.

As such, Forex strategies can be divided into a distinct organisational structure which can assist traders in locating the most applicable strategy.

There are countless strategies that can be followed, however, understanding and being comfortable with the strategy is essential. Every trader has unique goals and resources, which must be taken into consideration when selecting the suitable strategy.

 

What type of strategy is the Forex one minute strategy?

The Forex one minute strategy is a scalping strategy, which is a very popular approach that can be profitable for those who implement it correctly.

Forex scalping is a trading style used by Forex traders to buy or sell a currency pair and then hold it for a short period of time in an attempt to make a profit.

A forex scalper looks to make a large number of trades, taking advantage of the small price movements which are common throughout the day.

While scalping attempts to capture small gains, such as 5 to 20 pips per trade, the profit on these trades can be magnified by increasing the position size.

Forex scalpers will typically hold trades for seconds to minutes, and open and close multiple positions within a single day.

Forex scalping strategies can be manual or automated. A manual system involves a trader sitting at the computer screen, looking for signals and interpreting whether to buy or sell.

In an automated trading system, programs are used to tell the trading software when to buy and sell based on inputted parameters.

Scalping is popular in the moments after important data releases such as the U.S. employment report and interest rate announcements.

This is because these types of high-impact news releases cause significant price moves in a short amount of time. This is ideal for the scalper who wants to get into and out of trades quickly.

Due to the increased volatility, position sizes may be scaled down to reduce risk. While a trader may attempt to usually make 10 pips on a trade, in the aftermath of a major news announcement they may be able to capture 20 pips or more, for example.

 

Which types of traders will benefit from scalping?

Scalping is best suited for those who can devote time to the markets, stay focused, and act swiftly.

It’s usually said that impatient people make good scalpers as they tend to exit from a trade as soon as it becomes profitable. Scalping is for those who can handle stress, make quick decisions, and act accordingly.

Your timeframe influences what trading style is best for you; scalpers make hundreds of trades per day and must stay glued to the markets, while for example swing traders make fewer trades and can check in less frequently.

 

Advantages of scalping

  1. Fast-paced environment – Scalping is a very fast-paced trading style, making it an ideal choice for traders who don’t want to wait for days to take a trade. There are always trading opportunities present on the 1-minute or 5-minute charts, and new setups arise as fast as old go. If you don’t have the patience to trade longer-term timeframes or want an exciting trading environment, then scalping may be the best trading style for you.

 

  1. Large number of trades – Scalpers usually take a very high number of trades during a day. It’s not uncommon to take dozens of trades on short-term timeframes if your trading system gives you the green light. A large number of trades also means a higher profit potential, given your analysis is correct and you close your trades in profit. This is why risk management is very important when scalping – you have to let your winners run, cut your losers short, and exit out of a scalping position as soon as there forms any sign of a reversal.

 

  1. Short holding period – Scalpers hold their trades for very short periods of time – from a few seconds to a few minutes. This means that there’s no overnight risk in scalping as is the case in swing trading for example. Scalpers know whether they’ve made a profit on a trade soon after they place a trade, which increases the attractiveness of scalping over other longer-term trading styles.

 

Disadvantages of scalping

  1. High trading costs – Scalping doesn’t come without certain risks and disadvantages. The main disadvantage of scalping is the relatively high trading cost. Scalping allows us to open high position sizes as the stops are relatively close to the entry price. Higher position sizes mean higher transaction costs. Multiply that by the number of trades that scalpers take on a daily basis, and you’ll have to make a few profitable trades only to break-even. To avoid very high trading costs (wide spreads), you should focus on the most liquid market hours which provide the tightest spreads.

 

  1. Scalping requires the ability to focus – To become a successful scalper, you need to be able to put all your attention on the charts for several hours during a day. Unlike longer-term traders, scalpers need to manage their trades constantly as market conditions can change from minute to minute on short-term timeframes. Add the focus required to analyse the market and to pull the trigger as soon as a trade confirms, and you’ll soon realise that scalping requires nerves of steel.

 

  1. Market noise – Market noise is inevitable when trading on short-term timeframes with a scalping trading style. Market noise refers to sudden price-movements without an obvious cause and is usually the result of capital flows, investor repositioning and bank transactions that can move the market to a certain extent. If you place your exit targets too tight when scalping, chances are that market noise will stop you out of your position or miss your profit target.

 

 

Applying the 1 minute scalping strategy

The basic idea behind scalping is opening a large number of trades that usually last seconds or minutes.

The 1-minute scalping strategy is a good starting point for Forex beginners, as it is quite a simple strategy to follow.

However, you should be aware that this strategy will demand a certain amount of time and concentration. If you are not able to dedicate a few hours a day to trading, then it might not be suitable for you.

The strategy involves opening a certain position, gaining a few pips, and then closing the position. Because you are only gaining a few pips a trade, it is important to pick a broker with the smallest spreads, as well as the smallest commissions.

This strategy is based on both trend-following and mean-reversing, which lowers the number of false signals to a minimum.

Still, you need to apply strict risk management rules and only risk a small part of your trading account if you want to become successful in the long run.

You can use this trading strategy around the clock, but the best results are usually generated during volatile market conditions.

For this reason it is recommended to make the bulk of your scalping trades during the New York-London session overlap.

These few hours (from 8:00 AM to 12:00 PM EST) offer the lowest trading costs and highest liquidity which is very important to scalpers.

Also, most US market reports are released early in the New York session, creating market volatility and increasing the profit potential of your trades.

 

The strategy uses two moving averages and one oscillator. Here’re the indicators and their setting that you need to apply to your chart:

  1. 50-Period exponential moving average
  2. 100-Period exponential moving average
  3. Stochastic oscillator with a setting of (5,3,3)

 

The requirements for this strategy are as follows:

  • Instruments: every currency pair
  • Time frame: 1-minute
  • Indicators: stochastic oscillator (5, 3, 3) and two exponential moving averages, 50 & 100
  • Preferred sessions: London and New York – high volatility

 

While you can use this Forex scalping strategy with any currency pair, it might be easier to use it with major currency pairs because they have the lowest available spreads

 

Step 1: find the short-term trend

The two moving averages are used to identify the current trend in the 1-minute timeframe. The 50-period EMA calculates the average price of the past 50 minutes, while the 100-period EMA calculates the average price of the past 100 minutes.

The 50-period EMA is faster than the 100-period EMA, which means that it reacts to price-changes more quickly.

If the faster 50-period EMA crosses above the slower 100-period EMA, this reflects that average prices are starting to rise and that an uptrend is likely to establish.

Similarly, a cross of the 50-period EMA below the 100-period EMA signals that average prices start to drop and that a short-term downtrend is about to form. Only take trades in the direction of the short-term trend.

 

Step 2: wait for the pull-back

Once you have determined the short-term trend in the 1-minute chart based on the location of the slow and fast EMAs, it’s time to wait for a pullback to the moving averages.

This step is important because prices tend to return to their mean value after a strong up- or down-move.

Waiting for pullbacks prevents you from entering into long and short positions immediately after a strong price-change. Profit-taking activities often cause the price to reverse after a sustained move, which can lead to fake signals and losses.

 

Step 3: Watch for the stochastics indicator to move above or below positions

The stochastics indicator serves as the last filter and helps us take only high-probability trades.

The Stochastics indicator is an oscillator that oscillates between 0 and 100, depending on the strength of recent price-moves.

A reading above 80 usually signals that the recent up-move was too strong and that a down-move can be expected. This market condition is usually referred to as overbought.

Similarly, a reading below 20 signals that the recent down-move was too strong that an up-move may be ahead.

This market condition is usually flagged as oversold. After the price completed a pullback to the EMAs, Stochastics will usually become overbought/oversold as a result of the recent price-move.

 

Conclusion

The 1-minute scalping strategy is a good starting point for Forex beginners, as it is quite a simple strategy to follow. However, you should be aware that this strategy will demand a certain amount of time and concentration.

Forex scalping is one of the main trading styles in the Forex market, along with day trading, swing trading and position trading.

The main difference between scalping and the other trading styles is the trading timeframe and holding period of trades. Scalping is an extremely short-term and fast-paced trading style, where traders hold trades for a few seconds to a few minutes.

In order to find such short-term trading opportunities, scalpers have to rely on very short timeframes, such as the 1-minute and 5-minute ones.

Scalping carries unavoidable risks which come with trading on very short-term timeframes. Scalpers face higher trading costs than longer-term traders since they open much more trades on a daily basis.

In addition, market noise and news releases can easily turn a profitable trade into a loser or even hit your stop levels. Still, scalping can also be very profitable if you follow the rules and understand price-movements on short-term timeframes.

 

 

 

CoreShares Reviewed

Fresh Unique Article to increase your trading knowledge: CoreShares Reviewed

 

A review about CoreShares
 

CoreShares is one of Africa’s leading passive investment management businesses. The company specialises in index-tracking investment solutions across Exchange Traded Funds (ETFs), Unit Trusts and segregated mandates (for institutions).

Choose your quick section of our CoreShares review below.

A Quick Overview of our CoreShares Review:

 

Background of CoreShares

According to research in South Africa, In a market known for over-charging and under-delivering, CoreShares has taken a stand against the prevailing investment practices and is perfecting a passive, low-cost investment approach based on evidence.

CoreShares differentiates itself as a contemporary, independent investment manager. The company focuses on passive investment principles and processes, namely investment strategies wrapped up in an index or rules-based form.

CoreShares offers these products and services at very competitive fees, and is also a level 4 BEE contributor.

The company has a history dating back to 2012, when it launched its first ETF, and the company is constantly learning, evolving and changing to ensure that it builds a remarkable passive investment business.

In 2013 the company purchased PITM which managed the first and largest listed property ETFs in the SA market PropTrax SAPY (listed in 2007) and PropTrax Ten (listed in 2011)

Today, CoreShares has an asset portfolio of over R5.8 Billion in value.

 

CoreShares Shares Growth Driver

CoreShares’ S&P Top50 ETF gives you exposure to 10 more shares than the top 40, with the maximum weighting of any of these shares capped at 10%.

CoreShares and Satrix both have ETFs that track the broad US market through the S&P500 index. The CoreShares S&P500 ETF has a three-year history to the end of December, over which time it has returned more than 14% a year for investors.

ETFs are listed investment products that track the performance of a group or “basket” of shares, bonds or commodities. These “baskets” are known as indices.

Shares or units represent an interest in the portfolio of securities held by the issuing fund. ETFs provide the returns of a tracker fund (such as a unit trust) while providing the liquidity of a listed security.

ETFs are traded at prevailing market prices which are approximately the same price as the net asset value of their underlying assets over the course of a trading day.

Some of the principal benefits of investing in an ETF include providing investors with exposure to a variety of underlying instruments, while shares in an ETF can be bought and sold quickly at a low cost.

ETFs are regulated by the exchange and financial services regulator in the jurisdiction of their formation and listing and while the price of an ETF and its underlying instruments may fluctuate, the risk of financial losses is reduced given the diversification of the underlying instruments that the ETF invests in.

The company seeks to provide Shareholders with an efficient and easily accessible means by which to achieve a return that tracks the price and yield performance of the Index by subscribing for and holding shares in the Vanguard ETF, provided that the Fund may, in its sole and absolute discretion, elect to track the Index directly.

The company also attempt to place Shareholders in substantially the same position from both a capital and an income perspective as if they held the underlying securities of the Index in their correct weightings.

In summation, the CoreShares Top50 ETF invests in the 50 biggest companies in the country. What makes this ETF interesting, however, is that it adjusts its weightings so you aren’t exposed to the same companies twice through holding companies.

The shares owned by the holding company is deducted from the available shares of the company it owns. This is called “float-adjusted market capitalization.

The ETF invests a larger percentage in bigger companies, but limits each company to only 10% of the ETF.

According to CoreShares, when the popular FTSE/JSE Top 40 Index was created the market was best represented by the top 40 companies. With the subsequent growth in the market and improved liquidity, S&P took the view that the top 50 companies is a more thorough representation of the market.

The Index is constructed and maintained by S&P Dow Jones Indices, and provides exposure to the 50 biggest companies on the JSE by float-adjusted market cap. Constituent weightings are capped at 10%.

This seems to be a blend of traditional index tracking and smart beta. The tradition comes in the form of a market cap weighted tracking of an equity index.

The smart beta bit comes in the form of a bespoke index, tracking the top 50 instead of the top 40, with a capping of the exposure to any security at 10%. The traditional aspect of the CT50 will dominate in terms of performance so expect a high correlation with local equities.

It is an equity tracker with exposure to listed property shares such Resilient, Growthpoint and Redefine. There aren’t many standout features which should not be an issue if local equity exposure is what you need in your portfolio.

The CoreShares S&P 500 ETF returned 16.8% a year over the past two years which is strong, comprehensively outperforming the MSCI World Index which invests in US stocks as well as companies listed on other international exchanges.

The global economy is expected to remain on a moderate growth path, albeit softer than 2018. The Organisation for Economic Cooperation and Development is forecasting global GDP growth of 2.9% this year and 3% next year.

The IMF is a bit more optimistic with projections of 3.2% this year and 3.5% next year, while growth in the US is expected to remain above 2% in both years.

The global economic growth projections of above 3% bode well for this fund. It means that its constituents should be able to sustain their strong earnings. The ETF would be further bolstered should the rand weaken against the dollar.

 

Investor Tip

The CoreShares S&P Global Dividend Aristocrats Exchanged Traded Fund (ETF) listed on the Johannesburg Stock Exchange (JSE), broadening the exchange’s offering of innovative ETFs which provide investors with an affordable means to get exposure to a range of geographic regions and investment strategies.

The company trades under the stock symbol –GLODIV.

The CoreShares S&P Global Dividend Aristocrats ETF trade in Rand on the JSE but invests globally, based on the S&P Dow Jones Indices Dividend Aristocrats® methodology.

This methodology is run in numerous markets and aims to capture those companies that have demonstrated a strong track record of paying and growing their dividends. It invests in more than 275 shares across 24 countries. These countries include the USA, UK, Canada, Germany, China, Japan, India and Australia.

ETFs are investment products which put together an investment portfolio of shares or other assets like bonds and commodities based on what can be described as a fixed recipe.

The ingredients for this recipe is usually determined by an underlying index of companies – in this case the S&P Global Dividend Aristocrats Custom Index.

The ETF tracks the value of the underlying index by investing in the companies that make up the index in the same ratio to each other as they are in the index, just like a recipe providing the list of ingredients and amounts of each ingredient to use.

They are currently 64 ETFs listed on the JSE with a total market capitalization of R72.8 billion.

Offshore assets are a critical component of a balanced investment portfolio. The reasons are straightforward. Investing internationally provides diversification and access to companies and industries that you can’t find locally.

SA is but a tiny market accounting for a mere 1% of global GDP – offshore investments give investors access to opportunities in the other 99%. Furthermore, the South African markets are facing serious headwinds.

The JSE has been moving sideways over the past five years which has seen a lot of SA-focused funds suffering significant losses. And of course, offshore investments hedge your portfolio against rand weakness.

The CoreShares S&P 500 ETF is one five ETFs on the JSE that provide access to the broad US equity market. The S&P 500 index, which is tracked by this fund, is one of the most widely recognised barometers of US equities performance.

It covers more than three quarters of the market capitalisations of listed equities in the US. Despite that, about a third of S&P 500 companies’ revenue comes from markets outside the US, which is good for diversification.

The ETF is suitable for investors seeking exposure to the world’s biggest companies, which naturally has a bias towards tech stocks.

It is suited to long-term investors because equity investments tend to exhibit higher short-term volatility than other asset classes, so a longer investment horizon gives the
portfolio time for returns to accumulate ahead of volatility.

The price of an ETF’s shares will change throughout the trading day as the shares are bought and sold on the market. This is unlike mutual funds, which are not traded on an exchange, and trade only once per day after the markets close. Additionally, ETFs tend to be more cost-effective and more liquid when compared to mutual funds.

ETFs provide lower average costs since it would be expensive for an investor to buy all the stocks held in an ETF portfolio

Investors only need to execute one transaction to buy and one transaction to sell, which leads to fewer broker commissions since there are only a few trades being done by investors.

Brokers typically charge a commission for each trade. Some brokers even offer no-commission trading on certain low-cost ETFs reducing costs for investors even further.

An ETF’s expense ratio is the cost to operate and manage the fund.

ETFs typically have low expenses since they track an index. For example, if an ETF tracks the S&P 500 index, it might contain all 500 stocks from the S&P making it a passively-managed fund and less time-intensive. However, not all ETFs track an index in a passive manner.

ETFs can be a great investment vehicle for small and large investors alike.

These popular funds, which are similar to mutual funds but trade like stocks, have become a popular choice among investors looking to broaden the diversity of their portfolios without increasing the time and effort they have to spend managing and allocating their investments.

One of the biggest advantages of ETFs is that they trade like stocks. An ETF invests in a portfolio of separate companies, typically linked by a common sector or theme.

Investors simply buy the ETF in order to reap the benefits of investing in that larger portfolio all at once.

As a result of the stock-like nature of ETFs, investors can buy and sell during market hours, as well as put advanced orders on the purchase such as limits and stops.

Conversely, a typical mutual fund purchase is made after the market closes, once the net asset value of the fund is calculated.

It is vital to be aware of the fund’s focus and what types of investments it includes. As ETFs have continued to grow increasingly specific along with the solidification and popularization of the industry, this has become even more of a concern.

In the case of international or global ETFs, the fundamentals of the country that the ETF is following are important, as is the creditworthiness of the currency in that country.

Economic and social instability will also play a huge role in determining the success of any ETF that invests in a particular country or region. These factors must be kept in mind when making decisions regarding the viability of an ETF.

The rule here is to know what the ETF is tracking and understand the underlying risks associated with it. Don’t be lulled into thinking that because some ETFs offer low volatility that all of these funds are the same.

If an ETF is thinly traded, there can be problems getting out of the investment, depending on the size of your position in relation to the average trading volume.

The biggest sign of an illiquid investment is large spreads between the bid and ask. You need to make sure an ETF is liquid before buying it, and the best way to do this is to study the spreads and the market movements over a week or month.

Because different ETFs treat capital gains distributions in various ways, it can be a challenge for investors to stay apprised of the funds they take part in. It’s also crucial for an investor to learn about the way an ETF treats capital gains distributions before investing in that fund.

All in all, CoreShares strong performance is set to deliver solid dividends and a strong share price for investors who choose to purchase shares today, securing a strong buy-in in 2020 and in the future. For more information regarding the company’s forecast, the buy or sell of shares and the live price chart, visit the company’s online investor relations page.

 

CoreShares Major Shareholders

Naspers Ltd, Cie Financiere Richemont SA, Anglo American PLC

Sector

ETF

Industry

Financial Investment

Sub industry

Equity

 

How to buy CoreShares Shares Online

Click on the BUY THIS SHARE button.

Complete the registration form with the required information and submit documentation to verify your proof of Identity along with your proof of address.

As soon as your account application has been reviewed and approved, you can select your trading platform from AvATrade’s website, or by visiting the MetaTrader 4 or MetaTrader 5 websites respectively to start download.

Once you have downloaded the trading platform of your choice, you can use your AvATrade live account details to log into your AvATrade account on the trading platform.

From the Market Watch screen on both MetaTrader 4 and MetaTrader 5, you can select Facebook, Inc to buy/purchase shares.

Alternatively, you can make use of AvATrade’s online Web Trader or the AvATradeGo mobile application. ( Available on Android and iOS)

 

Trading CFDs and Stocks with AvATrade provides traders with the following benefits:

Leverage of up to 1:20

Being able to trade stocks on the NYSE, NASDAQ, FTSE, and various others.

Indices, stocks, and commodities can all be traded form a single screen.

Client support is presented live in a multitude of languages.

Traders have exclusive access to a variety of educational tools

Trades can be executed across multiple platforms

 

Conclusion

CoreShares is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

 

FAQ

Can I buy CoreShares shares in South Africa?

Yes, you can.

How to buy CoreShares shares

By simply opening a free account on SA Shares, or by clicking the “Buy this Share” button to get started.

What is the current share price?

By clicking on the link provided above, you can view the real-time CoreShares share price on the platform.

Is CoreShares a good share to buy?

Yes, CoreShares has shown strong growth over the last few quarters. Added to this, ETFs remain a popular investment.

Can I buy CoreShares CFD through SA Shares?

Yes, you can.

 

 

 

A review about CoreShares

Top Cryptocurrency Blockchains of 2021

Fresh Unique Article to increase your trading knowledge: Top Cryptocurrency Blockchains of 2021

cryptocurrency Blockchain FI

Cryptocurrency blockchain banner
 

One of several surveys conducted of cryptocurrency blockchains market size has revealed that the blockchain market held a value of 3 billion US Dollars in 2020 and this is expected to grow to more than 39.7 billion in 2025, showing a compound annual growth rate of 67.3% over five years.

 

Choose your quick section of our top Cryprocurrency blockchains below.

Our 10 Best Handpicked Cryptocurrency Blockchains of 2021:

Bitcoin was launched in 2009 and along with it, blockchain technology emerged and took the digital world by storm, resulting in it having become a mainstream technology. Different blockchains cater for different use applications and they are spread across multiple industries and sections including healthcare, logistics, supply chain, legal, and several others.

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A review about bitcoin
 

Bitcoin

Bitcoin is the first digital currency that was launched and its blockchain is therefore the first developed. Blockchain is often referred to as the internet of information and the reason for this is that information, which is published on the blockchain, can be viewed by anyone as there is complete transparency, which is one of the most inherent features of the Bitcoin blockchain.

This blockchain ensures that there is trust as well as identity as the blocks in the chain cannot be edited without the necessary and correct keys being in order. This ensures that blocks cannot be manipulated or corrupted in any way.

Blockchain is specifically used as a store of value in transactions involving Bitcoin and it establishes identity and subsequently contracts. Blockchain uses a Proof of Work (PoW) consensus method or algorithm.

This involves miners who are responsible for the validation of transactions. They work to find the unique hash of a new block so that it can be added to the blockchain. The miner who solves the hash first, is rewarded with transaction fees and the block reward.

 

Pros and Cons

Pros Cons
Large storage capability Consistent threat of attack due to popularity and high value
No third parties involved Modification is prohibited
Technical failures are not possible PoW makes it complex and ineffective
Transactions cannot be reversed Public keys are required in addition to private keys

 

A review about Ethereum
 

Ethereum

Founded in 2013, Ethereum is an open source blockchain that is based on a computing platform proposed by Vitalk Buterin and it is widely known for its ability to run smart contract.

A run-time environment for smart contracts is provided by the Ethereum Virtual Machine and each node in the Ethereum network runs on EVM implementation.

There is widespread adoption of Ethereum in recent years, however, it is crucial to note that the blockchain is permissionless and designed for restricted access as opposed to mass consumption, as is the case with other blockchains.

Ethereum is currently still a platform that uses PoW, which slows it down significantly. However, there are currently plans in motion towards a Proof of Stake (PoS) consensus algorithm.

 

Pros and Cons

Pros Cons
ERC 20 has become the standard for fundraising in the world of ICO Disadvantages of first movers
Ethereum consists of a dedicated team and community Market hoaxes are an issue
Ethereum’s blockchain leverages that of blockchain Pending PoS update
Geographical diversification Slower transaction speeds
Prominent levels of traffic ensure that it has high liquidity
Proven security and consensus
Regulation is not an issue
Reliability has been proven
Truly decentralised

 

A review about Cardano
 

Cardano

Cardano is used for the sending and receiving of digital funds, with Ada as its native token. Like Ethereum, Cardano is a smart contract platform but it offers scalability that Ethereum does not possess in addition to security through a complex and layered architecture.

Cardano has a unique approach which is built on scientific philosophy and peer-reviewed academic research. Cardano is the creation of Charles Hoskinson who is also one of the co-founders of Ethereum.

Cardano is typically seen as the third generation of blockchain where Bitcoin and Money transfers are the first, and Ethereum and its smart contracts are the second of the generation. Cardano takes the positive elements of both previous generations with a few added advantageous elements of its own.

Cardano has unique engineering that aims to become a “High Assurance Code” which can be achieved by ensuring that there is higher belief in the quality of the code being utilised.

 

Pros and Cons

Pros Cons
Secure and reliable Well designed to decentralise well but with some flaws
Strong development team and rapid development

 

A review about Polkadot
 

Polkadot

Polkadot is the brainchild of Robert Habermeier, Peter Czaban, and Dr. Gavin Wood under the Swiss Foundation, Web3, which is dedicated to facilitating a functional and user-friendly decentralised web.

Polkadot connects several individual blockchains to one centralised network. It also aims to do to blockchains what the internet has done to millions of solitary computers around the globe.

Proposed in November 2016, Polkadot works towards solving a significant pressing issue associated with other blockchains. It is unique in the way it processes multiple transactions on more than one blockchain in parallel by using its “Parachain” feature.

Polkadot has been dubbed a sharded multichain network and it can aid other blockchains, such as Ethereum, with its scalability, or the lack thereof. In addition, Polkadot also allows users to add custom blockchains to its network with extraordinarily little to no friction at all.

 

Pros and Cons

Pros Cons
Parachain feature Extended waiting time
Powerful advisors Prominent level of competition
Significant technical prowess Large network of teams
Transparent and flexible No winning strategies as result of factors regarding unknown parameters
The team is not open to dialog on the community

 

A review about Tezos
 

Tezos

The build on Tezos started in 2014 and it is the creation of Kathleen Breitman and Arthur Breitman. An ICO for Tezos was held in July 2017, raising a whopping 3.3 billion ZAR in a mere two weeks.

Tezos is a decentralised and self-governing blockchain platform which establishes a true digital commonwealth, linked to the native token TEZ (fondly referred to as “Tezzie”). However, even though it has a native token, the Tezos platform is not based on the mining of TEZ.

Holders of TEZ are rewarded for their participation in the PoS consensus method. Like Ethereum, Neo, Waves, QTUM, and Ethereum, Tezos is a smart contract and DApp-based platform although its cryptographic mechanism sets it apart from other platforms.

 

Pros and Cons

Pros Cons
Community-based governance Internal conflict between the foundation and Breitman company
Formal verification process Issuance delays
Successful and robust ICO Lawsuits and an investigation by Reuters

 

A review about Solana
 

Solana

Solana was founded by Solana Labs, based in Switzerland, in 2017 to tackle a massive challenge that blockchain technology faces with scalability that stands between it and global adoption.

Solana is not ICO-funded but is supported by funds of more than 361 million ZAR provided by investors such as NGC Capital, Multicoin Capital, and several others.

Solana is open-source, and it uses a high-performance and permissionless blockchain. This unique blockchain is considered a fourth generation blockchain that offers an open infrastructure for more widespread adoption of the technology.

Solana incorporates and introduces several different technologies which works together to allow the blockchain to facilitate increased transaction speeds while maintaining security. These technologies are as follows:

  • Delegated Proof of Stake (DPoS) which is swifter than PoS consensus methods.
  • Tower Byzantine Fault Tolerance System (Tower BFT) which is an upgraded version of the Practical Byzantine Fault Tolerance (PBFT) system that improves network responsiveness. It also allows for validators to vote on the state of the ledger.
  • Proof of History (POH) which applies timestamps to every approved transaction. This allows for network nodes to find the correct event sequence which plays a significant role in the blockchain’s cryptographic clock.
  • Gulf Stream Mechanism which adds additional speed by ridding the blockchain of the mempool which, on a regular blockchain, is the place where transactions queue before being selected by a node for validation before being added onto a new block in the chain. Through this, new transactions are sent to validators before transactions are approved.
  • Sea-level system which develops smart contracts that run parallel using the same protocols as normal, allowing thousands of smart contracts to run simultaneously without slowing the blockchain down.
  • Pipelining minimises the validation times on the blocks.
  • Turbine, which is a broadcasting protocol, breaks data into smaller pieces which are sent to the nodes and uses less bandwidth.
  • Archivers, which are storing mechanisms that provide validators with instant access to the transaction histories on the network.
  • Cloudbreak, which is an account database that allows the system to read and record information simultaneously.

 

Pros and Cons

Pros Cons
Increased speeds through multiple technologies Centralisation is still a problem with less than 200 validators
Integration of several technologies to offer a fast, flawless process Unattractive distribution
Significant potential for further development Unattractive emissions schedule

 

A review about Casper
 

Casper

Casper was developed by CasperLabs and it is a PoS blockchain platform that caters for the needs of a variety of professional enterprises. Casper is open-source, and it aims to help businesses develop an ideal network for their unique needs.

Casper is suitable for developer adoption and offers a variety of tools and features to help developers create and distribute their DApps.

It has unique characteristics that make it a suitable and attractive solution without any compromises. Unlike other blockchain platforms, Casper is a sustainable solution that works according to the needs of users whether they are large, medium, or small enterprises, developers, or everyday consumers.

Casper did not originate as result of a fork in an existing blockchain. It is based on an original Casper CBC specification and the structure is developer-friendly, allowing them to start building instantly once they are on the platform.

 

Pros and Cons

Pros Cons
Developer and user-friendly Cannot finalise blocks if the validating system of Ethereum becomes corrupted
Lower risks of double-spending attacks Unproven efficiency and security
PoS does not require as much computational power as other blockchains

 

A review about Stellar
 

Stellar

Stellar is a distributed ledger based on blockchain technology that is typically used in the facilitation of cross-asset transfers of value. Like Ripple, Stellar also deals with exchanges that occur between digital assets and fiat currencies.

One of the unique characteristics that Stellar’s blockchain offers developers, is the ability to build banking tools, smart devices, and even mobile wallets. Stellar is based on the Stellar Consensus Protocol (SCP) which involves consensus being achieved without having to depend on closed systems to record financial transactions.

SCP optimises safety over licenses by stopping progress in the network until a consensus is achieved if there are either nodes or partitions that misbehave. When SCP is weighed against PoW and even PoS methods, it has modest financial and computing requirements, ensuring a reduction in the entry barrier and easy access to the financial system for participants.

 

Pros and Cons

Pros Cons
Fast transaction speeds Prominent levels of competition in the field
High operational efficacy
Multi-currency transactions are easily processed
Potential for incorporating tech elements
Reduced transaction times

 

A review about Chainlink
 

Chainlink

SmartContract.com was established in 2014, giving birth to Chainlink in the transfer of external data onto the blockchain without breaking the decentralisation rule. Chainlink gave smart contracts a way to connect to data feeds from any given source or API which is a gamechanger for the industry, having ensured further development potential across several technologies.

The oracle solution’s first iteration relied on centralised oracles, posing a challenge in the development in decentralised financial spaces. However, this was addressed during 2017 when the Chainlink network introduced decentralised oracles.

In 2019, the Chainlink Mainnet went live and raised 462 million ZAR. The project has developed into a pillar for the oracle space, and it has become a must-have for credible, legitimate Decentralised Finance, more commonly referred to as DeFi, projects.

Chainlink Smart Contracts are smart contract-enabled blockchains that request data by using the Requesting Contract registered by the network. This creates a Chainlink Service Level Agreement (SLA) which allows for users to gain access to off-chain data and information.

 

Pros and Cons

Pros Cons
Oracles help to ensure reliability and safety of operations Narrow segment of modern problems is solved, slowing development of the project
Reliable and authentic
Smart contract-enabled without becoming centralised
Valuable technology that helped transform the blockchain industry

 

A review about EOS
 

EOS

Launched in 2018, EOS is open-source software which is a blockchain platform established by Block.one, aiming to help the development of DApps. When it was launched, Block.one distributed one billion ERC-20 tokens which secured widespread distribution of the cryptocurrency and which allowed for everyone to be able to use the blockchain.

The goal that EOS has is to offer decentralised applications in addition to decentralised storage of enterprise solutions, hosting, and the capabilities associated with smart contracts, solving the issue surrounding scalability that Ethereum and Bitcoin are known for, while eliminating fees for all its users.

EOS achieves consensus by using multi-threating and DPoS consensus methods. EOS also has its own forum on which developers as well as investors can interact and engage in discussions surrounding the platform.

 

Pros and Cons

Pros Cons
Developer and user-friendly Centralisation concerns
Fully featured and authentication platform Competitive field with many key players and emerging technologies
Governance system that can be used to vote in on the transaction validations
Platform has incredible speed as result of parallel processing technology
Self-sufficient reward model
The EOS platform is free to use
Tokenises governance access

 

A review about IOTA
 

IOTA

IOTA is the world’s first distributed ledger that was specifically designed and developed to accommodate the Internet of Everything (IoE), a network for exchanging value and data between humans and machines.

IOTA is based on a unique Direct Acyclic Graph (DAG) architecture which means that instead of consisting of a chain of sequential blocks that only have one edge allowing connection, multiple free nodes are available at any given movement.

Each node, two, or more than two nodes can be linked, allowing for a unique, diverse, and an interesting advantage that sets it apart from other blockchains.

On conventional blockchains, when there is an increase in the number of users, functions become increasingly complex in addition to the chain becoming slower.

Where IOTA is concerned, however, due to the unique ability of nodes to connect with at least two other nodes, when there is an increase in users, the number of available nodes that can connect will increase, allowing for increased system speeds and scalability.

Through its unique solutions and design, IOTA overcomes a typical problem that more traditional blockchains face with regards to miners and rewards. Traditionally, blockchain miners are given a mining fee for their services rendered in verifying transactions, resulting in a blockchain that becomes more expensive on a large scale.

With IOTA, however, every user must solve a PoW problem, which allows for the blockchain to become self-sustainable. As people are involved in transactions on the blockchains, the PoW is consistently solved and subsequently, it means that there is more space for new transactions without compromising the speed.

 

Pros and Cons

Pros Cons
Micro-payments are allowed Smart Contracts have not been introduced onto the platform yet
Quantum-secure
Self-sustainable and increased transaction speed plus scalability
The platform is lightweight
There are no transaction fees
There is a data marketplace
Zero transaction fees

 

A review about Kusama
 

Kusama

Kusama is referred to as Polkadot’s cousin as it is the pre-production and launch environment for Polkadot. Kusama allows for users and developers to experiment and test new blockchain technology and/or DApps before they are launched on the Polkadot network.

Kusama is considered a sandbox for developers where they can test early versions of their projects in a mirrored live environment but with real cryptocurrency which is being traded on an open market.

Official updates for Polkadot are also tested on the Kusama platform before they are officially released. Due to its primary function in facilitating testing, Kusama aims to offer developers with mass flexibility while they have the freedom to design their projects and test them.

 

Pros and Cons

Pros Cons
Both Polkadot and Kusama have strong momentum and development potential Adoption is not widespread
Dedicated development team Interoperability is not possible yet
Kusama, as Polkadot’s cousin, shows immense potential

 

A review about Terra
 

Terra

Terra is a blockchain which is smart contract-enabled, and which was launched in 2019. Terra harnesses utility of the cosmos project technology associated with Cosmwasm. The blockchain is considered the foundation of many applications that have been developed and built by Terraform labs.

Terra has many partnerships with industry leaders who are spread across a variety of sectors in the world. The blockchain platform is also known for offering innovative solutions in creating multi-collateralised stablecoins, but in a decentralised way.

Terra was developed through the Cosmos software development kit (SDK) which uses a Tendermint PoS consensus algorithm, designed to allow developers to build and launch interoperable blockchain applications instantaneously.

There are a maximum 100 validators across the Terra network which means that it is more centralised than other PoS-based blockchains that are decentralised, such as those on this list. Transactions which take place on the Terra blockchain take only a few seconds to be executed.

Another advantage that Terra has is reduced transaction costs, which are, on average, lower than the gas fees charged on Ethereum. This makes Terra especially attractive to developers who want smart contract-enabled blockchains but who are not willing to face extreme costs.

 

Pros and Cons

Pros Cons
Low fees and fast execution of transactions Centralised
Multi-collateralised Stablecoins Less than 100 validators
Partnership with industry leaders
Terra offers various applications

 

A review about Lisk
 

Lisk

Founded in 2016 by Olivier Beddows and Max Kordek, Lisk is the result of a fork that occurred on Crypti, a similar project which was initiated by Beddows and Kordek in 2014.

The ICO for the cryptocurrency LSK was held in February 2016, raising 14,000 BTC (81 million ZAR) was raised, with 85% LSK’s token supply being auctioned off, with the remaining 15% being distributed between various stakeholders and developers.

Lisk aims to serve the purpose of a platform for the development of DApps, special programs which run across a network of computers run on shared software. The goal behind Lisk is to let developers transfer skills in the building of DApps more rapidly, allowing them to write programs by using JavaScript and Typescript.

In addition, Lisk also allows developers to create their own custom DApps as well as cryptocurrency by using “Sidechains”. These are unique blockchains that operate on the Lisk network and relate to Lisk’s blockchain, customisable to suite the various needs that different Lisk DApps may have.

Developers of these blockchains and DApps, as result of the compatibility that they have with Lisk, have exclusive access to resources such as SDK, coding libraries, and the native token, LSK.

DPoS is used to secure the Lisk Blockchain, and it also ensures that there is synchronisation across the entire network of computers. It also uses a real-time voting system to determine the computers that may add the next block to the Lisk blockchain, allowing any holder of LSK to operate within the network.

 

Pros and Cons

Pros Cons
DPoS is a more democratic consensus method than other systems Extended block time
Orientated towards App Developers Uncertainty with regards to SDK
User-friendly interface and system

 

Conclusion

There are more businesses around the world that are getting involved in what blockchain technology has to offer by getting involved in application development and due to this, the demand for blockchain keeps increasing, resulting in consistent record highs.

 

FAQ

 

What is a blockchain platform?

Blockchain platforms allow for the design and development of blockchain-based applications that are either permissioned or permissionless.

 

What is the most popular blockchain in the world?

Bitcoin is the most popular blockchain in the world with a global volume of 11 million and a traffic rank of 14,497, at the time of writing.

 

What are smart contracts?

Smart contracts are contracts that are self-executing with terms of the agreement between buyer and seller being written into the lines of code.

 

What is a consensus method?

Consensus methods are fault-tolerant mechanisms used in blockchain systems to accomplish the required agreement on single data values, or a single state of the network, among an assortment of distributed processes or multi-agent systems.

 

What is DeFi?

DeFi is short for “Decentralised Finance” which is a holistic term that is used for a range of financial applications in blockchain and crypto.

DeFi comprises of a system of open, permissionless, interlocking financial products and it is also an intersecting network of DApps and smart contracts built on the Ethereum blockchain, concentrating on financial applications including borrowing, derivatives, trading, and others.

 

What are Stablecoins?

They are cryptocurrencies that try to peg their market value to some peripheral reference or currencies, such as the US Dollar.

 

Why is it important for platforms to be decentralised?

It permits for users to partake in a system that is not built on trust. It also lessens the risk of systematic collapse significantly and censorship resistance is known to foster an open culture.

Cryptocurrency blockchain banner

A review about Binance

A review about Gate.io

A review about Luno

A review about bitcoin

A review about Ethereum

A review about Cardano

A review about Polkadot

A review about Tezos

A review about Solana

A review about Casper

A review about Stellar

A review about Chainlink

A review about EOS

A review about IOTA

A review about Kusama

A review about Terra

A review about Lisk

Amp Global Reviewed

Fresh Unique Article to increase your trading knowledge: Amp Global Reviewed

 

A review about Amp Global
 

AMP Global can be described as a safe company to trade with. It is a regulated broker and offers great trading platforms like MetaTrader 4 and MetaTrader 5 which are popular worldwide with traders.

Choose your quick section of our AMP Global review below.

A Quick Overview of our AMP Global Review:

 

AMP Global at a glance

Broker’s name AMP Global
Headquarters Cyprus
Year founded 2010
Regulating authorities CySEC
Countries not accepted for trade US and some other countries
Demo account Yes
Islamic account (swap free) Yes
Institutional accounts Yes
Managed accounts Yes
Maximum leverage 1:100
Minimum deposit $100
Deposit options Credit/Debit Card – USD, EUR, GBP

UnionPay – USD

Neteller – EUR, GBP

Skrill – USD, EUR, GBP

Bank Wire – USD, EUR, GBP, RUB

Internal Transfer – USD, EUR, GBP, RUB

Withdrawal options Credit/Debit Card – USD, EUR, GBP

UnionPay – USD

Neteller – EUR, GBP

Skrill – USD, EUR, GBP

Bank Wire – USD, EUR, GBP, RUB

Internal Transfer – USD, EUR, GBP, RUB

Platform(s) provided Meta Trader 4, Meta Trader 5
OS compatibility Mac, Windows, Linux, Web, Mobile Android, iPhone, iPad.
Tradable assets offered Forex, Crypto, Indices, Energies, Metals, Shares
Languages supported on website English, Russian, Spanish, Slovak, Arabic, Chinese, French, German, Greek, Italian, Japanese, Polish
Customer support languages English, Russian, Spanish, Slovak, Arabic, Chinese, French, German, Greek, Italian, Japanese, Polish
Customer service hours 24/5

 

Who is AMP Global?

According to research in South Africa, AMP Global is an online foreign exchange broker founded in 2010 in the US and headquartered in Cyprus.

The broker has now branches in the European market too.

 

Safe or scam

One of the best benchmarks to measure the safety of a broker like AMP Global, is to establish which regulating authorities are watchdogs over its actions. The broker belongs to the international forex and futures group AMP Global, which are licensed and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 360/180.

 

Pros and cons

PROS CONS
Strict and proper regulation High spreads on demo account
Part of a global group
Reasonable minimum deposit

 

Leverage

Leverage is a facility that enables you to get a much larger exposure to the market you are trading than the amount you deposited to open the trade. Leveraged products, such as forex trading, magnify your potential profit – but also increase your potential loss.

Leverage amount is expressed as a ratio, for instance 50:1, 100:1, or 500:1. Assuming that you have $1,000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.

Margin is the amount of collateral to cover any credit risks that may arise during your trading operations. It is expressed as the percentage of position size (e.g. 5% or 1%), and you have to have funds in your trading account to ensure sufficient margin.

For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades; otherwise your trading account will be fully hedged.

AMP Global offers a maximum leverage ratio of 1:100.

 

Accounts

A forex account at AMP Global is a trading account that you will hold and that will work similarly to your bank account, but with the difference that it is primarily issued with the purpose of trading on currencies.

Forex Islamic accounts are also known as swap-free accounts as they imply no swap or rollover interest on overnight positions, which is against Islamic faith.

Often, the number and type of accounts that a trader can open with a broker company differs depending on the country in which it operates and the regulation authorities under whose jurisdiction it falls.

AMP Global offers two main types of accounts, an Islamic account and a standard trading account. The trading specifications for both accounts are the same.

 

Market instruments

The most popular market instruments available from most brokers for trading include:

 

Forex

Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.

 

Commodities

Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a major role in portfolio diversification and risk management.Investing in contract-based tradable goods is a reliable wayto mitigate risk during times of economic uncertainty.

 

Indices

Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.

 

Precious metals

The trading of gold and other precious metals, along with crude oil, copper or petroleum, are hard commodities that play a major role in the commodities market and are contract-based tradable goods.

 

Energy

The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.

AMP Global offers the following of the above:

Forex and Cryptocurrencies such as Bitcoin Cash, Bitcoin, Ethereum, Litecoin, Ripple.

Indices: AUS200, EUR50, FCHI, GER30, HSI, J225, SPN35, UK100, SPX, NDX, WS30.

Energies: UK Brent Oil, US Crude Oil, US Natural Gas.

Metals: Gold (tradable available USD, EUR, AUD), Silver (tradable against USD and AUD).

Shares: Apple, Amazon, Alibaba, Bank of America, Daidu, Facebook, Alphabet, Netflix, Tesla, Twitter.

 

Fees

Cost depends on different factors, like spread and margins, and AMP Global clients may also experience different fee structures according to their country or place of residence.

The spread of a currency pair is the difference between the bid and the ask rate. A pip represents the smallest increment that an exchange rate can move.

Margin is the amount of money required in your account in order to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.

AMP Global offers variable spreads which means they will change according to the way they are influenced by the markets.

Different instruments will also have different spreads. Some can be as low as 1 pip or as high as 2 pips or more.

AMP Global seems not to charge withdrawal fees, but your own bank or method of payment you choose could incur some fees.

There is nothing stipulated on their website regarding inactivity fees being charged, but to be safe, rather check with their customer services support team.

On their website they state that they will beat any written commission quote, however they do not stipulate how much they charge for commission.

 

Deposit and withdrawal

Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.

In the case of AMP Global the minimum deposit to open a trading account is $100.

For deposit and withdrawals, the following payment methods can be used:

Credit/Debit Card – USD, EUR, GBP

UnionPay – USD

Neteller – EUR, GBP

Skrill – USD, EUR, GBP

Bank Wire – USD, EUR, GBP, RUB

Internal Transfer – USD, EUR, GBP, RUB

AMP Global does not charge any added fees but you will be held liable to pay for any transaction fees that are added by your own bank or relating to whichever payment process you choose.

 

Trading platforms

The forex trading platform provided by AMP Global to its clients is in essence the software to carry out their trades. Some brokers provide only one, others quite a few platforms.

A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.

AMP Global provides MetaTrader 4 (MT4)

MetaTrader 4 is one of the world’s most used and most popular trading platforms. The software was released in 2005 and has been improved with every update.

MetaTrader 5 (MT5):

This is the newer version to MetaTrader 4.  The programme was designed to advance on what MT4 already had.  MetaTrader 5 is a multi-asset platform that provides better tools for all-inclusive price analysis, use of algorithmic trading applications and copy trading. The programme is available on all sorts of devices such as desktops, mobiles and as a web trader.

 

How to open an account

Similarly to a bank, to register a forex trading account with AMP Global for the first time, you will be required to go through a basic “know your customer” process, which will allow AMP Global to ascertain that your submitted details and ensure the safety of your funds and account details.

 

Customer support

Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.

In the case of AMP Global customers can reach the support team via email and there are also telephone numbers plus a live chat system on their website. You can also access a support forum if you need more help.

 

Education

Before starting to trade, potential clients of AMP Global should avail themselves of all possible information and trading skills needed to be successful in the world of forex and commodity trading.

AMP Global offers a variety of educational tools for their clients to learn the basics of trading. On their website they offer glossaries and information on different trading subjects.

 

Research

To be able to trade with confidence, traders should do as much as possible research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they don’t lose money unnecessarily and trade as profitable as possible.

With AMP Global they have access to the trading platforms MetaTrader 4 and MetaTrader 5 both of which offer excellent research tools such as annual calendars that will notify them about any current economic events throughout the year.

 

Awards

Being an awarded company instils extra confidence by traders. Although AMP Global is acclaimed by customers, there is no indication of awards won on its homepage.

 

Conclusion

Amp Global is a legit forex trading company and is a fully regulated and transparent broker with high operational standards, low trading fees, superior service delivery, helping investors reach their objectives. It caters for all types of traders with different levels of experience.

The leverage allowed is low compared to other brokers and there is no clarification regarding what commission they charge except that they do charge commission.

 

Disclaimer

AMP Global warns potential customers that Forex and CFDs trading always carries a high risk and may not be suitable for all investors.

Before deciding to trade with AMP Global, potential traders are advised to carefully consider their investment objectives, financial situation, needs and level of experience before investing money they cannot afford to lose.

AMP Global warns that margin trading involves the potential for profit as well as the risk of loss and those movements in the price of foreign exchange and commodities are very unpredictable, hence AMP Global cannot guarantee a maximum loss that a trader may suffer, according to research in South Africa.

 

FAQs

Trading environment

How many instruments can I trade with AMP Global?

You can trade several different instruments with AMP Global, which include the following:

Forex

Cryptocurrencies such as Bitcoin Cash, Bitcoin, Ethereum, Litecoin, Ripple.

Indices: AUS200, EUR50, FCHI, GER30, HSI, J225, SPN35, UK100, SPX, NDX, WS30.

Energies: UK Brent Oil, US Crude Oil, US Natural Gas.

Metals: Gold (tradable available USD, EUR, AUD), Silver (tradable against USD and AUD).

Shares: Apple, Amazon, Alibaba, Bank of America, Daidu, Facebook, Alphabet, Netflix, Tesla, Twitter.

Which platforms are supported by AMP Global?

AMP Global provides the following popular trading platforms:

MetaTrader 4

Meta Trader 5

Does AMP Global offer leverage?

Yes, AMP Global offers a maximum leverage of 1:100.

What spreads can I expect with AMP Global?

AMP Global offers variable spreads. If details on the website is not comprehensive, more information can be obtained from the customer support service.

Does AMP Global charge commission?

AMP Global does not specify on their website exactly what the commission charge is except that they will match any other commission.

Is AMP Global regulated?

Yes, AMP Global is regulated by CySEC.

Is AMP Global a recommended forex trading broker for experts and beginners?

AMP Global offers a fair trading environment for all types of traders.

What is the overall rating out of 10 for AMP Global?

8/10

 

Accounts

What is the difference between a demo and live trading account?

A demo account is offered by broker companies and funded with virtual money that enables a prospective customer to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customers actual money.

Does AMP Global offer a demo account?

Yes.

How long is the demo account valid?

This is not clear from information on the company homepage.

Which live trading accounts does AMP Global offer?

Islamic Account

Trading Account

What are the available deposit currencies for a live trading account?

USD and other currencies

 

Deposits and withdrawals

What is the minimum deposit for AMP Global?

$ 100.

How do you make a deposit and withdrawal with AMP Global?

Deposits can be done via:

Credit/Debit Card – USD, EUR, GBP

UnionPay – USD

Neteller – EUR, GBP

Skrill – USD, EUR, GBP

Bank Wire – USD, EUR, GBP, RUB

Internal Transfer – USD, EUR, GBP, RUB

Withdrawals can be done via:

  • Credit/Debit Card – USD, EUR, GBP
  • UnionPay – USD
  • Neteller – EUR, GBP
  • Skrill – USD, EUR, GBP
  • Bank Wire – USD, EUR, GBP, RUB
  • Internal Transfer – USD, EUR, GBP, RUB

Does AMP Global charge withdrawal fees?

No, but fees from financial institution may apply.

How long does it take to make a withdrawal?

Depending on bank services it may take several days for the money to be available.

 

 

 

A review about Amp Global

17 Proven Currency Trading Strategies – How to profit in the Forex markets

April 30th 2021 at 06:34

Fresh Unique Article to increase your trading knowledge: 17 Proven Currency Trading Strategies – How to profit in the Forex markets

 

Currency trading strategies allows traders to remain focused amid the massive inflow of news and economic data that can seriously distract your analytical process. It also allows you to measure and improve your own performance.

Choose your quick section of our proven currency strategies review below.

A Quick Overview of Proven Currency Trading Strategies Review:

Let’s address proven currency trading strategies on this list in a bit more detail.  In this article, we explore the best currency trading strategies as tried and tested by experts, so that you can take your trading to the next level.

 

Overview of trading strategies

In the volatile world of Forex trading, remaining in line with a suitable trading strategy is an invaluable part of successful and profitable trading.

A trading strategy allows traders to remain focused amid the massive inflow of news and economic data that can seriously distract your analytical process.

It also allows you to measure and improve your own performance.

Using a trading system for a prolonged period of time allows you to build up a statistical database that will help you gauge its performance and once the assessment is complete, you can begin working on improving it.

 

Importantly, a successful trading strategy will also allow you to curb any emotional trading, especially with regards to understanding your losing trades.

In general, there is no golden strategy, simply because the financial markets are rapidly changing. Unwritten rules which have been in force before, no longer work and if you want to keep riding the wave, you will need to evolve just like the market is.

However, a successful and tested strategy will typically generate more winning than losing positions, and the average win will be greater than the average loss.

 

Transition trading

The transition trading strategy is the result of expert traders using their knowledge to come up with new trading strategies to keep up with the ever-changing market conditions.

In transition trading, a trader will enter any trade of his choosing on the lower time-frame. The key is to dash and stop your loss on the higher timeframe or increase your profit.

What you do entirely depends on the market conditions. If the market trend is in your favour then try to make as much profit as you can.

If the market is not in your favour then stop your loss and cut loose. Experienced traders plan their exit strategies to counter a negative trend and cut their losses immediately.

 

Counter trend trading

Countertrend trading strategies are complex and therefore typically only used by advanced traders. They may be used for diversification and risk management or forward-looking predictions.

Countertrend trading is a type of swing trading strategy that assumes a current trading trend will reverse and attempts to profit from that reversal.

Countertrend trading is generally a medium-term strategy in which positions are held between several days and several weeks.

 

Pair trading

Pairs trading is a strategy that involves using two positions, one long and one short, on two markets with high correlation. It can be used across equities, indices, FX or commodities, or any combination of markets.

Pairs trading is non-directional and seeks to use two markets where prices are currently trading in a relationship that is outside their historical trading range.

The idea is to buy the market that is undervalued relative to the other, while selling the one that is overvalued. It seeks to maintain neutrality by keeping the exposure on each trade identical.

The successful pairs trader will look to make money on the inequality between the two markets and close out the trade when the inequality has been reversed.

 

Multiple time frame analysis

Multiple time frame analysis (or MTF) in Forex trading involves monitoring the same currency pair across various frequencies, also known as time compressions.

MTF trading is a process of looking into different time frames and aligning both trend, momentum, and direction.

Since there is no real maximum as to how many of the frequencies can be monitored, or which particular ones to choose, there are instead general guidelines that the majority of traders follow.

 

Volume trading strategy

Trading volume is a measure of how much of a given financial asset has traded in a period of time. For stocks, volume is measured in the number of shares traded and, for futures and options, it is based on how many contracts have changed hands.

The numbers, and other indicators that use volume data, are often provided with online charts.

Basic guidelines can be used to assess market strength or weakness, as well as to check if volume is confirming a price move or signalling that a reversal might be at hand.

Indicators based on volume are sometimes used to help in the decision process. In short, while volume is not a precise tool, entry and exit signals can sometimes be identified by looking at price action volume, and a volume indicator.

 

Support and resistance trading strategy

Support is a price level where a downtrend can be expected to pause due to a concentration of demand or buying interest.

As the price of assets or securities drops, demand for the shares increases, thus forming the support line. Meanwhile, resistance zones arise due to selling interest when prices have increased.

Technical analysts use support and resistance levels to identify price points on a chart where the probabilities favour a pause or reversal of a prevailing trend.

Support occurs where a downtrend is expected to pause due to a concentration of demand.

Resistance occurs where an uptrend is expected to pause temporarily, due to a concentration of supply.

Market psychology plays a major role as traders and investors remember the past and react to changing conditions to anticipate future market movement.

 

Trading using price action

Price actions describes the characteristics of a security’s price movements. This movement is quite often analysed with respect to price changes in the recent past. In simple terms, price action is a trading technique that allows a trader to read the market and make subjective trading decisions based on the recent and actual price movements, rather than relying solely on technical indicators.

Since it ignores the fundamental analysis factors and focuses more on recent and past price movement, the price action trading strategy is dependent on technical analysis tools.

The tools and patterns observed by the trader can be simple price bars, price bands, break-outs, trend-lines, or complex combinations involving candlesticks, volatility, channels, etc.

Psychological and behavioural interpretations and subsequent actions, as decided by the trader, also make up an important aspect of price action trades.

 

Pivot trading strategy

A pivot point is a technical indicator used by forex traders as a price level gauge for potential future market movements.

The pivot point indicator is used to determine trend bias as well as levels of support and resistance, which in turn can be used as profit targets, stop losses, entries and exits.

Pivot points have been a go-to for traders for decades. The basis of pivot points is such that price will often move relative to a previous limit, and unless an outside force causes the price to do so, price should stop near a prior extreme.

Pivot point trading strategies vary which makes it a versatile tool for forex traders.

 

Momentum trading

Momentum trading is the practice of buying and selling assets according to the recent strength of price trends. It is based on the idea that if there is enough force behind a price move, it will continue to move in the same direction.

When an asset reaches a higher price, it usually attracts more attention from traders and investors, which pushes the market price even higher.

This continues until a large number of sellers enter the market – for example, when an unforeseen event causes them to rethink the asset’s price. Once enough sellers are in the market, the momentum changes direction and will force an asset’s price lower.

Momentum traders will seek to identify how strong the trend is in a given direction, then open a position to take advantage of the expected price change and close the position when the trend starts to lose its strength.

A momentum trader doesn’t necessarily attempt to find the top and bottom of a trend, but instead focuses on the main body of the price move. They aim to exploit market sentiment and herding – the tendency for traders to follow the majority.

 

Carry trade strategy

A carry trade is a trading strategy that involves borrowing at a low-interest rate and investing in an asset that provides a higher rate of return.

A carry trade is typically based on borrowing in a low-interest rate currency and converting the borrowed amount into another currency. Generally, the proceeds would be deposited in the second currency if it offers a higher interest rate.

The proceeds also could be deployed into assets such as stocks, commodities, bonds, or real estate that are denominated in the second currency.

 

Hedging

Hedging is a financial strategy that should be understood and used by traders because of the advantages it offers. As an investment, it protects an individual’s finances from being exposed to a risky situation that may lead to loss of value.

However, hedging doesn’t necessarily mean that the investments won’t lose value at all. Rather, in the event that happens, the losses will be mitigated by gains in another investment.

There are various hedging strategies, and each one is unique. Investors are encouraged to use not just one strategy, but different ones for the best results.

 

Trading the Pinocchio bar

The Pinocchio Bar or Pin Bar is a popular price pattern among traders who use technical analysis. The Pin Bar is easy to spot, and you can trade it effectively within the market’s support and resistance structure.

The strategy consists of buying a Put if the wick is up and buying a Call if the wick is down. One way of using the strategy is by combining the Pinocchio with price action and technical indicators.

Support and Resistance, trend lines, overbought and oversold levels, divergence, confluence and more will come together to give you the results you are looking for.

 

Double red strategy

The Double Red trading strategy aims to perform on a short-term bearish price action movement of an underlying asset. The trade period for this strategy is usually executed in a matter of minutes.

This type of strategy is also known as option scalping. Because of the very short-term nature of the trade it carries great amounts risk without proper analysis. But when performed carefully by properly observing the right configuration of candles, it can be very rewarding.

Alternatively, the Double Red strategy can be used to trade the Rises or Highs of a trade, making them Double Greens. The Double Red strategy is performed with a very short expiry that should not exceed 15 minutes.

For experienced binary options traders, it is easy to spot and execute as it is easy to understand. However, it is important to reiterate the high risks involved with using such a short term strategy, especially for new users.

 

Making contrarian investments

Contrarian investing is a trading strategy in which investors purposefully go against prevailing market trends by selling when others are buying, and buying when most investors are selling.

Contrarian investors believe that people who say the market is going up do so only when they are fully invested and have no further purchasing power. At this point, the market is at a peak. So, when people predict a downturn, they have already sold out, and the market can only go up at this point.

Contrarian investing is, as the name implies, a strategy that involves going against the grain of investor sentiment at a given time. The principles behind contrarian investing can be applied to individual stocks, an industry as a whole or even entire markets.

A contrarian investor enters the market when others are feeling negative about it. The contrarian believes the value of the market or stock is below its intrinsic value and thus represents an opportunity.

In essence, an abundance of pessimism among other investors has pushed the price of the stock below what it should be, and the contrarian investor will buy that before the broader sentiment returns and the share prices rebounds.

 

Breakout trading

A breakout is a currency price moving outside a defined support or resistance level with increased volume. A breakout trader enters a long position after the stock price breaks above resistance or enters a short position after the stock breaks below support.

Once the stock trades beyond the price barrier, volatility tends to increase and prices usually trend in the breakout’s direction.

The reason breakouts are such an important trading strategy is because these setups are the starting point for future volatility increases, large price swings and, in many circumstances, major price trends.

 

Range trading

Range trading is one technique currency traders can use in an effort to meet their investment objectives. Some traders use this approach in an attempt to identify ranges, predict how a currency or currency pair will behave, and profit from such expectations.

Many capital markets, including forex markets, exhibit price ranges. More simply put, asset values sometimes fluctuate within specific limits, which are created by support. They then serve as the floor and resistance, which provides the ceiling.

Some traders attempt to profit from the range by setting up certain trades. However, it is important to keep in mind that in many cases, securities will only fluctuate between specific highs and lows for so long.

In other cases, these securities might display rather strong trends, moving upward and gaining value over a long period or alternatively trending lower for some time.

For example, if a currency is in a bull market, a trader might be able to take advantage of this general upward trend. However, a situation like this may not provide the best backdrop for range trading.

 

Mean reversion

Mean reversion is a theory used in finance that suggests that asset prices and historical returns eventually will revert to the long-run mean or average level of the entire dataset.

This mean can pertain to another relevant average, such as economic growth or the average return of an industry.

A reversion to the mean involves retracing any condition back to a previous state. In cases of mean reversion, the thought is that any price that strays far from the long-term norm will again return, reverting to its understood state.

The theory is focused on the reversion of only relatively extreme changes, as normal growth or other fluctuations are an expected part of the paradigm.

The mean reversion theory is used as part of a statistical analysis of market conditions and can be part of an overall trading strategy.

It applies well to the ideas of buying low and selling high, by hoping to identify abnormal activity that will, theoretically, revert to a normal pattern.

 

FAQ

What is currency trading?

Currency trading is the most liquid and robust market in the world. In fact, no other market can compare to the sheer value of this massively traded market.  Traders speculate on the price changes between two currency pairs.

 

Why is a strategy important when currency trading?

A trading strategy allows traders to remain focused amid the massive inflow of news and economic data that can seriously distract your analytical process.

It also allows you to measure and improve your own performance.

 

Which are the best currency trading strategies?

See our comprehensive list of the 27 best currency trading strategies directly from the SA Shares website

 

 

 

Where to find Bitcoin ATMs around South Africa – Search and Find

April 30th 2021 at 06:10

Fresh Unique Article to increase your trading knowledge: Where to find Bitcoin ATMs around South Africa – Search and Find

 

Where to find Bitcoin ATMs around South Africa ?– Search and Find. In essence, a Bitcoin ATM functions as a physical Bitcoin exchange, rather than the typical digital Bitcoin exchange, whereby participants can buy and sell Bitcoins with hard currency.

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Choose your quick section of our Bitcoin ATMs in South Africa guide below.

A Quick Overview of our Bitcoin ATMs in South Africa Review:

Bitcoin ATMs in South Africa are not widely available, with kiosks typically only found in major cities. ATMs are more likely to be owned and operated by companies focused on the cryptocurrency industry.

 

Bitcoin ATMs in South Africa and where to find them

In terms of the global dispersal of Bitcoin ATMs, North America takes the lead with 71.9 percent followed by Europe at 23 percent, Asia at 2.3 percent, Australia at 1.3 percent and Africa at 0.1 percent.

Of that minimal percentage throughout Africa, South Africa has the largest amount of Bitcoin ATMS located in four of the country’s biggest cities, namely Pretoria, Cape Town, Johannesburg and Nelspruit.

These machines are equipped to dispense on average between a minimum to a maximum of 100 to 1 million South African Rands (ZAR).

For those seeking to buy more than 5,000 Rands from the ATM, you will be required to conduct a brief identity verification process at the machine.

 

Pretoria

The first Bitcoin ATM every established in Pretoria is located at Saverite Florauna based in Corner West and Brits, and was installed on June 14, 2018.

Operated by Saverite Florauna, this Bitcoin ATM functions as a General Bytes and is open 24/7.

The average Bitcoin fees charged in this ATM are 9.9 percent, and the machine supports the purchase of Bitcoin (BTC) and ether (ETH). The ATM comes with a buying limit of ZAR 10,000 and a daily limit of ZAR 100,000.

The second Bitcoin ATM found in Pretoria is located at Woodlands Boulevard Mall, which is situated at Cnr Garsfontein Rd & De Villebois Mareuil Dr Pretorius Park, Pretoria East, 0081.

The third ATM in Pretoria, called the General Bytes ATM machine, is operated by CryptoShovels and was also installed on June 14, 2018.

Users can buy both Bitcoin (BTC) and ether (ETH) anonymously at a minimum and maximum of R100 – R5,000. However, when buying digital currencies that are above R5,001 – R20,000, you will need to verify your identity using an ID scan.

 

Cape Town

Cape Town is home to one Bitcoin ATM at the time of writing, which is located at 1st Floor 38 Wale Street.

This Bitcoin ATM is a two-way operator that allows users to buy and sell Bitcoin. It was installed on January 3, 2018, and is operated by Cape Town Bitcoin. For added security, this location also offers a private cubicle for transactions.

 

Johannesburg

As with Cape Town, Johannesburg is also home to one Bitcoin AM which is located in Sandton City at Unit U61a, Sandton City 83 Rivonia Rd, Sandhurst Sandton, 2196.

This Bitcoin ATM was first installed on October 20, 2018, and is managed by Bitcoin ATM South Africa.

The machine is available between 9:00 AM to 8:00 PM Mondays to Saturdays and 9:00 AM to 6:00 PM on Sundays.

However, users can only buy Bitcoin using this General Bytes machine at a fee of 14.2 percent. Added to this, it comes with a buying limit of ZAR 10,000 and a daily limit of ZAR 100,000.

 

Nelspruit

Lastly, Bitcoin users can find a Bitcoin ATM in the Mpumalanga capital of Nelspruit, and it is located at Bitmart at 39 Sitrus Crescent, Madison Square.

This Lamassu machine is managed by Bitmart and operates Mondays to Fridays between 8:00 AM and 5:00 PM and 8:00 AM to 1:00 PM on Saturdays, although it remains closed on Sundays.

This particular Bitcoin ATM allows users to buy and sell Bitcoin (BTC), ether (ETH), Dash (DASH), Litecoin (LTC), and Zcash (ZEC).

Given the rapid adoption of Bitcoin in South Africa, it is only a matter of time before more ATM machines are installed in other cities in South Africa.

Although Bitcoin ATMs come with high transaction fees, they have continued to aid Bitcoin adoption in a number of African countries.

 

What is a Bitcoin ATM?

Bitcoin ATMs were developed in order to facilitate the purchase and sale of Bitcoin using cash, and can be used with relatively high anonymity.

In essence, a Bitcoin ATM functions as a physical Bitcoin exchange, rather than the typical digital Bitcoin exchange, whereby participants can buy and sell Bitcoins with hard currency.

The first Bitcoin ATM ever introduced was in Vancouver, Canada in 2013, at Waves Coffee Shop, and the machine consists of a scanner, a cash dispenser, and a computer which manages the transactions.

When using a Bitcoin ATM, the Bitcoins are either dispensed directly to the buyer’s Bitcoin wallet, or to a paper wallet.

In order to dispense Bitcoin to a Bitcoin wallet, the buyer’s mobile device scans a QR code, and when dispensing to a paper wallet, this option is generated and printed by the ATM at the time of purchase.

In terms of the specific purchase price, this factor will be determined by the prevailing Bitcoin exchange rate, which is retrieved by the ATM from the Internet in real-time, in other words at the time of the transaction being processed.

Apart from this, an additional percentage fee is charged by the ATM for the service and factored into the price.

Some Bitcoin ATMs dispense Bitcoin in exchange for cash as well as in exchange for Bitcoin, although most models work only for buy Bitcoin exclusively.

 

Over the course of financial history, it was not until relatively recently that an individual could get cash or make a deposit anywhere other than a bank branch.

The automated teller machine, or ATM, was introduced in the 1970s, and has now become such a common fixture that most are found in almost every community and town around the world.

While the use of banking using the Internet and mobile applications has lowered the demand for some of the ATM’s more common features, this use has been somewhat revived in recent years due to the growing popularity of cryptocurrencies.

Bitcoin ATMs are rarely operated by major financial institutions, so that they do not connect customers to a bank account. Customers instead deposit cash into the Bitcoin ATM, which can then be used to purchase the cryptocurrency.

Often, a Bitcoin ATM will set an upper and lower limit to the amount of cash that can be deposited.

Since the upper limit may be lower than the price of one Bitcoin token, customers are able to purchase fractions of Bitcoin.

After a purchase is made, a record of the Bitcoin will appear in the customer’s e-wallet, though this may take several minutes to process.

Some ATMs require customers to pass these security checks before completing a transaction.

The ATM may require a two-factor authentication, and this may involve the customer supplying a phone number to receive a verification code.

This code would then have to be typed into the ATM. The kiosk may also require scanning a government-issued identification, such as a driver’s license.

Bitcoin ATMs are not widely available, with kiosks typically only found in major cities. ATMs are more likely to be owned and operated by companies focused on the cryptocurrency industry.

In some cases, a Bitcoin ATM may be operated by a company that offers its own trading platform or e-wallet. These companies may require a customer to have an account in order to conduct a transaction, much like how banks do.

Customers are charged a service fee for using a Bitcoin ATM. This fee is typically charged as a percentage of the transaction rather than a fixed dollar value typically seen in traditional ATMs.

 

How to use a Bitcoin ATM

When using a Bitcoin ATM, the price of Bitcoin is dependent on the current exchange rate. However, ATMs also charge a fee for their services. On average, a Bitcoin ATM charges 8-10%—which is a little high for most people.

Despite 8-10% being the average, costs often vary per machine, so that it can appreciate or depreciate, so that it is important to read the instructions of the ATM before using it.

When a person withdraws from a Bitcoin ATM, the currency is dispensed to the user’s Bitcoin wallet via a QR code, or it’s dispensed to a paper wallet that some ATMs can generate.

In most cases nowadays, machines will also require users to provide identification for KYC purposes, so users should be sure to have a form of identification ready

Although the process varies per ATM, there is a general process to follow wen using an ATM to buy Bitcoin:

First, choose the option to buy BTC (only applicable to ATMS that offer both buying and selling services). Then, scan the QR code of your wallet address using the Bitcoin ATM scanner.

Enter the amount you wish to buy, then insert the cash. Give the machine a few minutes to process the transaction. Once you’ve done all that, check your Bitcoin wallet to confirm the sale – making this a very easy process.

 

While buying Bitcoin from an ATM is relatively straightforward, selling Bitcoin using an ATM occurs on more of a case-to-case basis.

As such, it will depend on the type of ATM you are using and the system on which that machine operates. It helps, therefore, to ensure that you research a selected branded ATM before using it to sell Bitcoin.

That said, these machines are very intuitive, so that users can safely follow the instructions displayed on the screen, laid out in easy to understand prompts.

 

Who uses Bitcoin ATMs?

Over the last few years, Bitcoin ATMs like the first one established in Canada have begun to spread, albeit incrementally, around the globe.

As of January 202, there were 4,274 Bitcoin ATMs installed worldwide, and such ATMs can be found in 75 countries, although more than half of these are located in the United States of America.

More often than not, Bitcoin ATMs are used to buy Bitcoin, even though the cryptocurrency has dropped in value over the last year, while in some rare cases there are those that want to exchange Bitcoin for cash.

Even as more Bitcoin ATMs appear in larger cities around the world, they are still a rarity and can be seen as something of a novelty for most who encounter them. In these cases people might use them as a test run to get an idea of what using Bitcoin in the real world entails.

Many shops that install Bitcoin ATMs find this a useful way of getting more feet through the door, while they might not actually intend for consumers to spend Bitcoin. That said, many more hip young consumers today will gravitate towards Bitcoin-supported shops.

Many shops that support Bitcoin through the use of ATMs are also seen as trying to corner a more affluent and tech savvy corner of consumers, as many who trade in and use Bitcoin tend to have more spending power on the whole.

That said, not all Bitcoin users will necessarily fall into the desired category of wealthy and high end shoppers gravitating towards the cryptocurrency trend.

With the prevailing rise in ransomware attacks, by which hackers lock your computer and hold it for ransom until you pay them, many victims have been turning to Bitcoin ATMs in order to obtain payment for the ransom.

According to some observers, even though such transactions can take a relatively long period of time, they are generally quicker than that of opening an account on one of the Bitcoin exchanges, which can often take up to several days.

Other users of Bitcoin ATMs are people who use Bitcoin because it hides the transaction from scrutiny. Once you are using Bitcoin, there are no bank statements or credit card bills with your name on them, listing all your Bitcoin purchases.

As such, Bitcoin ATMs offer an easy way to convert cash into an anonymous form of payment. It’s something that has long attracted users to Bitcoin, which has become popular amongst certain criminal elements of society.

Such ATMs have also become a way to launder money, according to some recent reports, and regulators are already finding ways to handle these new challenges to the evolving cryptocurrency industry.

This is because, even though the value of Bitcoin has dropped significantly over the last few months, the industry is still growing. In January alone, Coin ATM Radar tracked the installation of more than 130 new Bitcoin ATMs.

 

The use of Bitcoin ATMs during the Covid 19 Pandemic

The COVID-19 epidemic has already closed many public spaces across the globe. Those that remain open are subject to restrictions regarding the number of people allowed to gather at one time.

Banks and money transfer institutions are likely to remain open even when many other businesses are closed.

Visiting any office during the coronavirus outbreak, however, is considered a high risk by health officials. Not to mention cash withdrawal limits that can be imposed at any moment during crises like this one.

Cryptocurrencies have proved to be a useful instrument for frictionless cross-border payments, facilitating fast transactions with low fees.

They can always be used to transfer value on a peer- to-peer basis when two parties want to fully benefit from their advantages over traditional money.

And Bitcoin ATMs – teller machines that support purchases and sales of various coins – can be employed for transactions between two fiat currencies using crypto as a medium.

In this case, a sender can buy the cryptocurrency equivalent of a fiat amount they want to send from an ATM near their location.

In many countries that shouldn’t be a problem as over 7,000 teller devices are now operational worldwide. The digital coins can be sent with a crypto transaction to a recipient who can then convert them back into fiat; a local currency for example.

Using Bitcoin ATMs to send money abroad is a safe option, not only because of the high level of security for the transferred funds but also in terms of lower health risks as you can avoid visiting crowded bank branches or standing in lines in front of them.

It is a convenient way to transfer financial assets quickly and at low cost although it does require the sender and the receiver to be familiar with Bitcoin and comply with national regulations and restrictions in some cases.

 

The rise of Bitcoin in South Africa

Africans in general are leading global rates of cryptocurrency ownership, which is according to a recent report released by Arcade Research.

In terms of this ranking, South Africa ranks third globally with 13% of its internet users owning or using cryptocurrencies, while 11% of connected Nigerians own cryptocurrencies in the fifth-placed populous West African country.

Uganda, Nigeria, South Africa, Kenya, and Ghana are listed in the report among the top 10 countries where “cryptocurrency” is Africa also has some of the world’s most inflationary economies where fiscal instability and controversial monetary policies sometimes destroy citizens’ savings overnight.

Apart from governments’ heavy hand, external factors such as sanctions and conflict also threaten savings, making cryptocurrency a less exposed investment.

Sub-Saharan Africa records $48 billion remittances annually but transaction fees go as high as 9%, while some mobile payment transfer services charge around 11%.

As such, cryptocurrency use is also a way to undercut the disadvantages of centralization while eliminating high remittances cost.

That said, a lack of infrastructures such as crypto mining operations, supporting merchants, smartphone penetration, and internet connectivity has also slowed the uptake of cryptocurrencies.

With the majority populations located in the rural areas in some Africa countries, large numbers of the continent are not yet powered, limiting the reach of Bitcoin and other digital assets.

Added to this, a lack of policy clarity, with close to 60% of African governments yet to announce their positions on cryptocurrencies, slows down adoption.

 

Nonetheless, Africa remains one of the most promising regions for the broad based adoption of cryptocurrencies.

This is largely due to the continent’s unique combination of factors, so that while the current overall adoption of cryptocurrencies is still relatively low, the potential remains great.

 

Growth is rapid, and these developments will likely work to define the role of the cryptocurrency markets in the future.

Apart from Africa, South Africa is about to become one of the most prominent Bitcoin adopters.

The adoption of Bitcoin in the last five years has shown South Africa to be a very appropriate location for Bitcoin trading, mining, as well as making payment using Bitcoin.

 

There are already a number of reports and research finding posted across the internet which indicate that people in the country are interested in the presiding and innovative cryptocurrency in the world and in the Bitcoin Future.

 

One surprising aspect of this development is that millennials in South Africa are showing unprecedented growth in using Bitcoin for transactional purposes, resulting in an unprecedented rate of adoption and use in the country.

One prominent reason for this is that the growing use of the Bitcoin has helped to stabilize some areas of the country’s economy.

Given that the improvement in uplifting the economy has been gradual for five years, the adoption has come a long way since 2014.

A published report from African Development Bank Group which is titled “African Economic Outlook 2020: Developing Africa’s Workforce for the Future” stated that Africa’s economic growth saw unexpected stability since early 2019.

 

Before the fallout from the Pandemic forced people to largely remain at home, the study estimated a 3.9 percent increase in the country’s economic stability.

Added, in 2021, the economic growth of South Africa is expected to be 4.1 percent. The country’s financial ministers and overseers are already ruminating on how to provide sustainable stability and improve the country’s financial management going forward.

 

To this end, it can be said that Bitcoin and its concomitant blockchain technology have largely helped to reshape South Africa’s finance industry

Bitcoin is the leading cryptocurrency in terms of market capitalization and price. The ground-breaking features of Bitcoin gave rise to nation-wide adoption in South Africa.

One of the most unique aspects of Bitcoin is the underlying technology, blockchain, a distributed and open ledger that records transactions taking place between two individuals. Blockchain stores the transaction data in blocks using cryptography.

According to Google Trends’ data, in the last five years, Bitcoin has been the most searched across African countries such as South Africa, Nigeria, & Ghana.

 

On the other hand, a report claims that the 30-year-old or below age group population in South Africa comprises 70 percent of total Bitcoin users.

Bitcoin and its underlying tech, blockchain became a new and exciting means of conducting monetary transactions with the use of technology in South Africa.

As such, many people across South Africa can now engage in borderless transactions as they can access distinctive markets from different corners of the globe.

Before the adoption of Bitcoin, South African people faced much adversity due to limitations in the financial system as cross-border transactions in the country before Bitcoin was expensive, unreliable, and time-consuming.

Additionally, cross border payments also comprise of massive complexity; hence it is important to adopt Bitcoin to reduce the cost as well as the complexity.

This led to the widespread adoption of Bitcoin and blockchain, given that there are regulations on cryptocurrency.

The adoption is causing the prevalent fiscal authorities as well as the regulators to see Bitcoin and cryptocurrency trading as an indispensable part of commerce in the country.

As of today, South Africa is one of the leading Peer-to-Peer marketplaces in terms of Bitcoin trading in the whole world.

 

From December 2019, there has been an increase in the number of new users on Bitcoin and accepted cryptocurrency exchanges. These factors seem to indicate that new users are adopting Bitcoin and Bitcoin wallets consistently over time.

Many spectators and analysts have forecast that developing markets would lead as the early adopters of Bitcoin and the various other cryptocurrencies on the market today.

The reason for this forecast was based on the understanding that the majority of individuals that make up emerging markets already have a sound understanding of finance and technology.

This has largely been the reason why many in South Africa have been able to so easily understand the use of Bitcoin, even better than many of those residing in Europe.

It seems that Bitcoin and South Africa are in it for the long haul, as since January 2020, trading volume also witnessed a positive response with regards to the rand.

As such, South Africa is incrementally transforming into an arena in which Bitcoin trading and payment systems can be carried out over the long term, even after the halving.

In the coming months and years before that time, South Africa is likely to undergo several changes that will only further accommodate Bitcoin adoption, particularly as it is one of the fastest-growing economies in the world.

 

Conclusion

The rise of the automated teller machine ushered in a new era of personal finance, and ATMs are even applicable with Bitcoin now.

A Bitcoin ATM gives you the opportunity to cut out some of the fees by buying direct, but there are some hidden agendas we need to discuss before you Google one, rush out the door, and spend your pay check on Bitcoin through a machine.

Bitcoin ATMs connect to the internet, and through the Bitcoin exchange network, you can exchange USD for Bitcoin. These ATMs are directly linked to Bitcoin, so you aren’t running a ton of miner’s fees or anything along those lines.

With a Bitcoin ATM, you directly exchange money for Bitcoin. You can send it directly to a Bitcoin-approved wallet by inputting your receival codes (depending on what wallet provider you use), where the BTC can immediately be transferred.

Bitcoin ATMs are versatile, and offer more utility for your Bitcoin in real-time application. No more waiting for BTC to clean when selling it on the marketplace, even those five to ten minute withdrawal times are a thing of the past.

 

That’s the ideal, two-way cash-dispensing model, but there are some caveats. You can find right on the Bitcoin ATM page (a news site for Bitcoin) that they have multiple options available.

Businesses want to put a Bitcoin ATM in their establishment because it generates foot traffic and revenue, but it’s also going to cost them some based on which model they want.

Buying Bitcoin from a Bitcoin ATMs is as simple as can be. In just a few seconds and with cash, you can buy Bitcoin and other cryptocurrencies in a few simple steps.

You can also sell Bitcoin and other cryptocurrencies and withdraw cash right from our Bitcoin ATMs.

Users can even view the Bitcoin ATMs as currency converters. Because some of the Bitcoin ATMs offer two-way operations, users can turn fiat into cryptocurrency when you buy with cash and turn cryptocurrency into fiat when you sell.

It’s a very fast, convenient, safe and reliable crypto trading method.

 

Digital wallets on phone applications have a QR code that you can scan on a Bitcoin ATM to send the cryptocurrency to that wallet.

You can also have your cryptocurrency wallet somewhere other than your phone, and manually type your wallet’s public address on our Bitcoin ATM.

If you don’t have a wallet, some Bitcoin ATMs will create one for you with a unique public and private keys and print it for you.

Just like any cryptocurrency wallet, your public address can be shared with anyone and is used to receive cryptocurrency.

Your private address on the other hand, should not be shared with anyone. You have to keep that in a safe place because that’s the address you use to spend your cryptocurrency and transfer them to other wallets.

 

Nothing is more private than cash. Buying and selling cryptocurrency online lets the exchanges and your bank know that you own cryptocurrency. Buying and selling cryptocurrency from our Bitcoin ATMs with your own cash is private.

While Africa still trails behind other global continents in terms of the number of available Bitcoin ATMs, South Africa by far leads the pack on the continent in this regard.

Many trendy consumers, as well as new frontier traders in South Africa have started using Bitcoin more and more, making South Africa one of the most important growth points for the cryptocurrency in the future.

More South Africans are using Bitcoin ATMs to trade in the cryptocurrency, as well as rely on it for an anonymous form of transactional trade.

🏆 Top 3 Brokers Crypto Trading Platforms

⚡The world’s biggest crypto platform

⚡ Asia’s Biggest Trading Platform

⚡Africa’s Biggest Trading Platform

 

 

 

A review about Binance

A review about Gate.io

A review about Luno

When to buy and sell Forex: The Ultimate Guide

April 30th 2021 at 04:40

Fresh Unique Article to increase your trading knowledge: When to buy and sell Forex: The Ultimate Guide

 

When to buy and sell Forex? With Forex you can trade with upward or downward price trends with equal ease. But how do you know when to buy, and when to sell, and what means are there to be certain that you are making the right move?

Choose your quick section of our when to Buy and Sell guide below.

A Quick Overview of our when to Buy and Sell Forex Review:

In this article, we will explore the various factors that will affect price changes on the currency markets, as well as some strategies that can help you enhance your trading career when buying and selling Forex.

 

What does Forex trading entail?

Forex, also known as foreign exchange, FX or currency trading, is a decentralized global market where all the world’s currencies trade.

As such, the forex market is the largest, most liquid market in the world with an average daily trading volume exceeding $5 trillion. All the world’s combined stock markets don’t even come close to this.

Just like stocks, you can trade currency based on what determine its current value to be, or what you think its value will be at some future point.

In other words, if you think a currency will increase in value, you can buy it. If you think it will decrease, you can sell it. With a market this large, finding a buyer when you’re selling and a seller when you’re buying is much easier than in other financial markets.

All forex trades involve two currencies because you’re betting on the value of a currency against another. Think of EUR/USD, the most-traded currency pair in the world. EUR, the first currency in the pair, is the base, and USD, the second, is the counter.

When you see a price quoted on your platform, that price is how much one euro is worth in US dollars. You always see two prices because one is the buy price and one is the sell.

The difference between the two is the spread. When you click buy or sell, you are buying or selling the first currency in the pair.

 

Which currencies are traded on the Forex market?

The currencies most heavily traded in today’s foreign exchange market roughly mirror the international trading activities of the countries involved.

For example, the most actively traded currencies in the forex market consist of the U.S. Dollar, the European Union’s Euro, the Japanese Yen, the British Pound Sterling, the Swiss Franc, the Australian Dollar, the Canadian Dollar and the New Zealand Dollar.

The current foreign exchange market is clearly dominated by the U.S. Dollar, which currently makes up over 80% of transactions on the world exchange.

The most actively traded currency pair in the forex market consists of the Euro against the U.S. Dollar or EURUSD currency pair. This pair alone accounts for roughly 28% of the global forex market trading activity on an average day.

The second most actively traded currency pair is the U.S. Dollar against the Japanese Yen or USDJPY, and the third most actively traded currency pair is the U.K. Pound Sterling against U.S. Dollars or GBPUSD, also known as Cable.

The symbols assigned to the different currencies consist of three letter codes called ISO 4217 codes that are assigned by the International Organization of Standards.

The first two letters in the code generally consist of the ISO 3166 country code (also sometimes known as the Internet country code), while the last letter is the first letter of the currency.

For example, the U.K. Pound Sterling is GB which is the ISO 3166 country code for Great Britain and P which stands for Pound.

 

Majors

European Union Euro EUR €

United States Dollar USD $

United Kingdom Pound Sterling GBP £

Japanese Yen JPY ¥

Switzerland Swiss Franc CHF Sfr

 

Minors

Australia Australian Dollar AUD A$

New Zealand New Zealand Dollar NZD NZ$

Canada Canadian Dollar CAD C$

 

Many other countries exist in the world, and most of them have their own currencies. Outside of the major and minor currencies is the large group of the so-called “exotic currencies”.

Exotic currencies are made up of the hundreds of currencies not in the major or minor leagues, but which are nevertheless important as well, especially in international commerce and finance.

 

What moves the price of currencies on the Forex exchange?

The two main factors that influence the movements in one exchange rate are capital flows and trade flows.

These two components constitute what economics call balance of payments. The main purpose of the balance of payments is to quantify the demand and supply for a currency of one country, over a period of time.

A negative balance of payments indicates that the capital leaving the country is greater than the capital entering the country (not much demand).

A positive balance of payments means that the capital entering the economy is greater than the capital leaving the economy (increasing demand of the domestic currency)

Theoretically, a balance of payments equal to zero indicates the right value of one currency.

 

Capital Flows

Capital flows is the net quantity of currency traded (bought or sold) through capital investments.

The capital flow can be divided into: physical flows and portfolio investments.

Physical Flows happen when foreign entities sell their local currency and buy foreign currency to make foreign direct investments (for joint ventures, acquisitions, etc.)

When the volume of this kind of investment increases, it reflects the good shape and health of the economy where it is invested.

Portfolio investments are those which are made on global markets, variable and fixed income market investments (Forex, stocks, T-bills, etc.) An example of portfolio investments is when a hedge fund in Japan invests in the US equity markets.

 

Trade Flows

Trade flows measure the net exports and imports of a given country. These two components (exports and imports) constitute what economists call the current account.

Countries that have a positive current account (exports greater than imports) are more likely to depreciate their currency; this way the consumer abroad will perceive the foreign currency to be cheaper (and can purchase more goods and services).

A good example is Japan.

On the other hand, countries that have a negative current account (imports greater than exports) are more likely to appreciate their currency since they need to sell the local currency and buy foreign currency in order to purchase goods and services.

The United States is an example of a net importer country.

 

Purchasing Power Parity (PPP)

This theory states that exchange rates are determined by the relative prices of a similar basket of goods in different countries. In other words, the ratio of prices of a basket with similar goods of two countries should be similar to the exchange rate.

If a Personal Computer in Australia costs AU$1,500, and the same PC in United States costs US$1,200. According to the PPP, the exchange rate AUD/USD would be 1.2500 (1,500/1,200).

If the exchange rate was at 1.3000 (or above 1.2500) it states that in the long run it will decrease its value until 1.2500 is reached.

On the other hand, if the exchange rate was at 1.0500 (or below 1.2500) the exchange rate in the long run will increase its value until 1.2500 is reached.

This is just an example, in the real world it is not just one good, but a basket of goods.

The major weakness of this theory is that it assumes that there are no costs related to the trade of goods (tariffs, taxes, etc). Another weakness is that it does not consider other factors that might influence the exchange rate (i.e. interest rates etc)

Modern monetary theories include the capital markets to the PPP theory arguing that capital markets have less costs of trading.

 

Interest Rate

This theory states that interest rates differentials neutralize the increase or decrease of any currency against another currency. Therefore there are no arbitrage opportunities.

For instance if the interest rate of Australia is 6.25% and the interest rate of United States is 3.5%, then the AUD should depreciate against the USD, so that there are no arbitrage opportunities.

There are also other theories that try to explain the value of a currency pair. But as with every theory, they are based on assumptions that may or may not be present in the real world.

 

Sell or buy strategies

A forex trading strategy defines a system that a forex trader uses to determine when to buy or sell a currency pair. There are various forex strategies that traders can use including technical analysis or fundamental analysis.

A good forex trading strategy allows for a trader to analyse the market and confidently execute trades with sound risk management techniques.

 

Price action trading

Price action trading involves the study of historical prices to formulate technical trading strategies. Price action can be used as a stand-alone technique or in conjunction with an indicator.

Fundamentals are seldom used; however, it is not unheard of to incorporate economic events as a substantiating factor.

 

Range trading strategy

Range trading includes identifying support and resistance points whereby traders will place trades around these key levels. This strategy works well in market without significant volatility and no discernible trend.

Technical analysis is the primary tool used with this strategy.

There is no set length per trade as range bound strategies can work for any time frame. Managing risk is an integral part of this method as breakouts can occur. Consequently, a range trader would like to close any current range bound positions.

Oscillators are most commonly used as timing tools. Relative Strength Index (RSI), Commodity Channel Index (CCI) and stochastics are a few of the more popular oscillators.

Price action is sometimes used in conjunction with oscillators to further validate range bound signals or breakouts.

 

Trend trading strategy

Trend trading is a simple forex strategy used by many traders of all experience levels. Trend trading attempts to yield positive returns by exploiting a markets directional momentum.

Trend trading generally takes place over the medium to long-term time horizon as trends themselves fluctuate in length. As with price action, multiple time frame analysis can be adopted in trend trading.

Entry points are usually designated by an oscillator (RSI, CCI etc) and exit points are calculated based on a positive risk-reward ratio.

Using stop level distances, traders can either equal that distance or exceed it to maintain a positive risk-reward ratio e.g. If the stop level was placed 50 pips away, the take profit level wold be set at 50 pips or more away from the entry point.

 

Position trading

Position trading is a long-term strategy primarily focused on fundamental factors however, technical methods can be used such as Elliot Wave Theory.

Smaller more minor market fluctuations are not considered in this strategy as they do not affect the broader market picture. This strategy can be employed on all markets from stocks to forex.

As mentioned above, position trades have a long-term outlook (weeks, months or even years) reserved for the more persevering trader. Understanding how economic factors affect markets or thorough technical predispositions, is essential in forecasting trade ideas.

Key levels on longer time frame charts (weekly/monthly) hold valuable information for position traders due to the comprehensive view of the market. Entry and exit points can be judged using technical analysis as per the other strategies.

 

Day trading strategy

Day trading is a strategy designed to trade financial instruments within the same trading day. That is, all positions are closed before market close. This can be a single trade or multiple trades throughout the day.

Trade times range from very short-term (matter of minutes) or short-term (hours), as long as the trade is opened and closed within the trading day.

 

Scalping strategy

Scalping in forex is a common term used to describe the process of taking small profits on a frequent basis. This is achieved by opening and closing multiple positions throughout the day.

This can be done manually or via an algorithm which uses predefined guidelines as to when/where to enter and exit positions. The most liquid forex pairs are preferred as spreads are generally tighter, making the short-term nature of the strategy fitting.

Like most technical strategies, identifying the trend is step 1. Many scalpers use indicators such as the moving average to verify the trend. Using these key levels of the trend on longer time frames allows the trader to see the bigger picture.

These levels will create support and resistance bands. Scalping within this band can then be attempted on smaller time frames using oscillators such as the RSI. Stops are placed a few pips away to avoid large movements against the trade.

 

Swing trading strategy

Swing trading is a speculative strategy whereby traders look to take advantage of rang bound as well as trending markets. By picking ‘tops’ and ‘bottoms’, traders can enter long and short positions accordingly.

 

Swing trades are considered medium-term as positions are generally held anywhere between a few hours to a few days. Longer-term trends are favoured as traders can capitalise on the trend at multiple points along the trend.

Much like the range bound strategy, oscillators and indicators can be used to select optimal entry/exit positions and times. The only difference being that swing trading applies to both trending and range bound markets.

 

Conclusion

‘Forex’ is short for foreign exchange, also known as FX or the currency market. It is the world’s largest form of exchange, trading around $4 trillion every day.

This exceptional liquidity ensures reliable pricing even at high volumes and enables the tightest possible dealing spreads. When you trade forex your trading costs are comparatively low, and you can easily go long or short of any currency.

The nature of forex trading is to exchange the value of one currency for another. In other words, you will always buy one currency while selling another at the same time. Because of this, you will always trade a pair of currencies.

As forex is traded on exchanges across the globe, from Tokyo to London to New York, you can take a position 24 hours a day throughout the trading week. Currency values are extremely sensitive to macroeconomic forces, so there are always trading opportunities.

With a buy position, you believe that the value of the base currency will rise compared to the quote currency. If you’re buying the EUR/USD, you believe the price of the euro will strengthen against the dollar.

With a sell position, you believe that the value of the base currency will fall compared to the quote currency. If you’re selling the EUR/USD, you believe the price of the euro will weaken against the dollar.

Research and analysis should be the foundation for your trading endeavours. Without these, you’re operating largely on emotion. This doesn’t typically end well.

When you first start researching, you’ll find a wide wealth of forex resources—which may seem overwhelming at first. But as you research a particular currency, you’ll find valuable resources that stand out from the rest.

You should regularly look at current and historical charts, monitor the news for economic announcements, consult indicators and perform other analysis activities.

 

 

 

Videforex Reviewed

April 30th 2021 at 04:03

Fresh Unique Article to increase your trading knowledge: Videforex Reviewed

 

A review about Videforex
 

Videforex is an unregulated broker and, apart from this, the website is extremely vague and very uninformative. There are a number of red flags which may suggest that this forex broker is a scam broker.

Choose your quick section of our Videforex review below.

A Quick Overview of our Videforex Review:

Traders are greatly cautioned against using unregulated brokers as they cannot be assured of client fund safety.

 

Videforex at a glance

Broker’s Name Videforex
Headquartered Seychelles
Year Founded 2016
Regulating Authorities None
Countries not accepted for trade US
Islamic Account (Swap Free) No
Demo Account No
Institutional Accounts No
Managed Accounts No
Maximum Leverage Not indicated – 1:100 according to previous reviews
Minimum Deposit $250
Deposit Options Credit/Debit Card, Bitcoin, Altcoins, Ethereum, and PerfectMoney
Withdrawal Options Credit/Debit Card, Bitcoin, Altcoins, Ethereum, and PerfectMoney
Platform Types Proprietary Videforex platform: Web and Mobile
OS Compatibility All Web browsers, Android, iOS
Tradable Assets Forex, Cryptocurrency, Metal CFDs, Stock BOs
Languages supported on Website English, Russian, Spanish, German, French, Thai, Chinese
Customer Support Languages English, Russian, Spanish, German, French, Thai, Chinese
Customer Service Hours 24/7

 

Who is Videforex?

According to research in South Africa, Videforex is an online trading broker which was founded in 2016 and is based in the Seychelles. Videforex offers traders with more than 100 CFD and options instruments which can be traded through the proprietary Videforex trading platform.

SAFE OR SCAM

When choosing a broker, one of the benchmarks against which to measure safety and client fund safety and security, is to establish which regulating authorities oversees the operations of the broker.

Videforex is an unregulated broker which displays a banner on the homepage indicating that it is regulated, but confirmation of this could not be confirmed.

These brokers are not overseen by regulatory entities and thus, traders may be lured into a scam that looks legit on the surface.

 

Pro and cons

PROS CONS
Selection of funding options offered Unregulated and false information pertaining to regulation on the homepage
Live video chat offered Registration needed to access live video chat
24/7 customer support No information on spreads or commissions
Variety of account types Limited information on trading platform
Promises quick profits of up to 95%
No terms and conditions on bonuses and rewards
Unrealistic promises on bonuses – the more traders deposit, the greater the reward
Suspected scam broker

 

Leverage

Leverage is a tool which allows the trader to open larger positions in addition to providing the trader with larger exposure to the market in which they are trading regardless of the trader’s initial deposit. Leveraged products, such as Forex, increases the potential profits of the trader, but it also increases the risks and subsequent losses that the trader may incur.

No indication on the Videforex website pertaining to leverage although, previous reviews on the broker suggest leverage up to 1:100.

 

Accounts

A Forex account is a trading account that traders hold with a specific broker with the purpose of trading financial instruments.

Brokers offer a variety of trading accounts, or they may only offer a single account, in which they provide certain trading conditions that appeal to a variety of