A lot of forex brokers operate in South Africa. Each of them has their own personalities which are unique to others. Thus, when it comes to choose an appropriate broker to trade with, you need to compare the top 5 forex brokers in the world and select a good one. In case you don’t know how to compare them, let us help you. In this article, we will give you our findings based on the experience of trading and analyzing the most popular forex brokers. We believe it will be useful for you.
- Comparison of brokers in South Africa:
To compare the brokers in South Africa, you can use such criteria as: regulation, trading conditions and account types. Regulation is trust in the investment business. It includes major and minor regulators, and you can take all of them into account. Trading conditions mean the details of the product offered by your broker.
After compare them, you can use these elements to rank them: regulation, platform choice, and trading conditions for the clients.
- Regulation and reputation of brokers in South Africa:
- Regulation:
There are many regulations in the world, but to us, the most reliable ones are FCA, FSCA, CySEC & ASIC. If your broker obtains one of such regulations, you can feel secure because that broker can maintain a fair trading environment while offering strict auditing oversight and protection of funds.
- Reputation:
To consider whether the best forex brokers in South Africa should be trusted, you should base on these factors: regulation, trade execution method, and client fund management.
- Regulation: That broker should have more regulators.
- Trade execution method: There should not be any dealing desk involved in the execution or any conflict of interest.
- Client fund management: That broker should be able to protect its client against the bankrupt.
One of the safest brokers is Exness -> Exness sign up
- Account types of brokers in South Africa:
Live or real accounts
You will need to use real money to trade with this account. Also, you should note that what you do in this account will influence your account balance.
Demo accounts
This account is safe for you. It also gives you a chance to experience the trading platform, customer service, research area, and trading conditions. In our view, this type is worth trying.
- Trading conditions of brokers in South Africa:
Spreads
Spreads are considered either wide or tight and are measured in pips.
Example: the spread that is 15 pips is considered a wide spread; the spread that is 0.4 pip is considered tight.
Leverage
Leverage is an amplifier used in trading Forex pairs. It is very significant as without leverage, individual retail traders will be nearly impossible to join the business. Leverage is presented in a format like 300:1. This format means traders can maximize the size of the trade by 300 times.
To sum up, we have just shown you knowledge and way to compare the best forex brokers in South Africa in order to find a suitable one to trade with. Though this is just a short article, we believe that it has sufficiently useful information for you. Hope you can find a perfect broker for yourselves soon.
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