AvaTrade Islamic Account
AvaTrade offers an Islamic account for Muslim traders. AvaTrade offers swap-free trading for Muslim traders on 4 trading accounts levels namely Halal Gold & Silver Trading, Halal Oil Trading, Halal Indicies Trading and Islamic Forex Trading.
- Louis Schoeman
Jump to:
Islamic Account Overview
What is an Islamic Account
How to open an AvaTrade Islamic Account
Pros and Cons
Final Verdict
FAQ
Overall Rating
- 4.9/5
Min Deposit
USD 100 / 41450 NGN
Regulators
ASIC, FSA
Trading Desk
MetaTrader 4, MetaTrader 5, Ava Social, Ava Protect, Trading Central
Crypto
Yes
Total Pairs
55+
Islamic Account
Yes
Trading Fees
Low
Account Activation Time
24 Hours
| 🏛️ Headquartered | Dublin, Ireland |
| 🏛️ Nigerian Based Office | No |
| 👍 Accepts Nigerian Traders? | Yes |
| 📅 Year Founded | 2006 |
| 📱 Nigerian Office Contact Number | None |
| ⚖️ Regulation | Central Bank of Ireland (CBI), BVI FSC, ASIC, FSCA, JFSA, FFAJ, ADGM, FRSA, CySEC, ISA |
| 🔎 License Number | Ireland (C53877) Australia (406684) South Africa (45984) Japan (JFSA 1662, FFAJ 1574) Abu Dhabi (190018) Cyprus (247/17) Israel (514666577) |
| ⚖️ CBN Regulation | None |
| ✴️ Regional Restrictions | Iran, Belgium, and the United States |
| ☪️ Islamic Account | Yes |
| 📈 Demo Account | Yes |
| 📈 Demo Account Description | Free Demo Accounts with $100,000. No limitations on the number of demo accounts. 21 days limitation |
| 📈 Retail Investor Accounts | 1 (Retail and Professional Option) |
| 📊 PAMM Accounts | None |
| 🚀 Offers a Nigerian Account? | No |
| 💻 Dedicated Nigerian Account Manager? | No |
| 📈 Leverage (Up to) | 1:400, EU – 1:30 and 1:400 (Professional Accounts) |
| 📈 Leverage Restrictions for Nigeria? | No |
| 💳 Minimum Deposit (₦) | 41,500 Nigerian Naira |
| 📊 Average deposit/withdraw processing time | Depends on the method used. – CC and e-payments is immediate. Bank wire can take up to 7 business days depending on the banking institution |
| 💳 Nigerian Naira Deposits Allowed? | No |
| 💰 Active Nigerian Trader Stats | 1.3 million |
| 👥 Active Nigerian-based AvaTrade customers | Unknown |
| 💰 Nigeria Daily Forex Turnover | $1.25 million+ |
| 💳 Deposit and Withdrawal Options | Wire Transfer, Electronic Payment Gateways, Credit Cards, Debit Cards |
| 📈 Related lot sizes | Standard, Mini and Micro lots size |
| 💰 Segregated Accounts with Nigerian Banks? | No |
| 💰 Account Types | Real Account, Demo Account, Islamic Account. Options Account |
| 💻 Trading Platforms | AvaTradeGO, AvaOptions, AvaSocial, MetaTrader 4, MetaTrader 5, DupliTrade, ZuluTrade |
| 💰 Tradable Assets | Forex, Cryptocurrencies, Commodities, Treasuries, Bonds, Indices, Stocks, ETFs, Options, CFDs, Precious Metals |
| 🌐 Offers USD/NGN currency pair? | No |
| 🌐 USD/NGN Average Spread | N/A |
| 🚀 Service description | CFD Regulated broker with +1000 financial instruments and multiple trading platforms, operating since 2006. |
| ✴️ Instruments offered | 800+ |
| ✴️ Instruments | Metals, Commodities, Stocks, FX Options, Oil, ETFs, Options, Crypto currencies, CFDs, Indexes, Shares, Spread Betting, Indices, Forex, Bonds |
| ✴️ Total offered per instrument | CFD – Agricultural =7 CFD – Crypto = 20 CFD – EFTs = 60 CFD – Energies = 5 CFD – Indices = 32 CFD – Metals = 7 CFD – Shares = 623 Forex = 55 GRAND Total = 809 |
| 💰 Bonus | 20% welcome bonus accordengly to regulation |
| 👥 Sponsorship | Currently with Bolt |
| 👥 Partnership | Trading Central |
| 📈 Offers Nigerian Stocks and CFDs | Yes |
| 🔎 Banned countries | US, North Korea, New Zealand, Iran, Belgium |
| 👨💼 Languages supported on Website | English, Chinese (Simplified), Chinese (Traditional), Turkish, Thai, Slovakian, Russian, Portuguese, Polish, German, Hungarian, French, and several others |
| 👥 Customer Support Languages | Multilingual |
| 👥 Customer Service Hours | 24/5 |
| 👥 Nigerian-based customer support? | No |
| 💰 Bonuses and Promotions for Nigerians | Yes |
| ✴️ Education for Nigerian beginners | Yes |
| 📊 Proprietary trading software | Yes |
| 💰 Most Successful Nigerian Trader | Uche Paragon ($20 million net worth) |
| ✔️ Is AvaTrade a safe broker for Nigerians? | Yes |
| ✔️ Rating for AvaTrade Nigeria | 9/10 |
| ✔️ Trust score for AvaTrade Nigeria | 96% |
AvaTrade Islamic Account – 9 key points quick overview:
AvaTrade Islamic Account Overview
👉 According to research in Nigeria, AvaTrade, formerly known as AvaFX, is a privately owned online forex and CFD broker, according to Nigerian research. There are several AvaTrade licenses in Europe and Asia-Pacific nations.
👉 Currently, AvaTrade does not have an office in Nigeria and is not regulated by the Nigerian Central Bank (CBN). AvaTrade has been licensed as a legal broker for Nigerian traders by a few different regulatory organizations, assuring the safety of all customer money.
👉 There are many third-party systems for copy and social trading, like AvaSocial, ZuluTrade, DupliTrade and MQL5 Signal service, that may meet the demands of AvaTrade users who are looking for these capabilities. An independent provider of trading signals and analyst recommendations, Trading Central, collaborated with AvaTrade in 2020.
👉 An Android and iOS version of AvaTradeGO, which includes AvaProtect, has been released as an alternative to MetaTrader 4 Mobile, which is still available for Android devices.
What exactly is an Islamic Account For Nigerian Traders?
👉 An Islamic, or swap-free, trading account is allowed by Islamic Sharia law. These accounts are based on the Islamic principle where interest is not applied to positions that are held open for longer than a trading day after the trading day has concluded.
👉 Islamic Accounts are provided by brokers who serve Middle Eastern clients along with clients from other jurisdictions and offers certain features that are in line with the Sharia law, which prohibits the accrual of interest on funds deposited into the account.
👉 The other important feature of an Islamic Account is that transactions must be settled immediately, requiring that currencies be transferred from one account to the other right after the transaction has been completed and therefore paid for in full.
👉 Two key elements of the Islamic law relate specifically to trading accounts, these elements are:
➡️ Riba, and
➡️ Gharar
👉 Riba is the prohibition of generating money from money, which in this case specifically refers to an interest, which is not allowed according to Sharia law. This type of interest is seen as both unjust and exploitive gains on trade or business.
Why is interest discouraged or prohibited by Sharia law?
👉 Due to the restrictions and certain prohibitions placed on Muslim traders when considering the intricate details involved with trading activities, the following is affected greatly:
➡️ 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.
➡️ Margin deposits and interest – which involves the accrual of interest on funds that are deposited into the trading account, 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.
➡️ Margin trading – 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.
➡️ Short sales – which affects mostly shares and involves borrowing and subsequent sale of an asset, which is prohibited.
➡️ 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.
What are the steps involved in opening an AvaTrade Islamic Account?
Here are the steps to open an Islamic account on AvaTrade:
Step 1: Apply for an account with AvaTrade.
Visit the webpage and complete the online registration form.
Step 2: Verify the account.
Submit the relevant documentation which includes proof of identity and proof of residence.
Step 3: Fund the current trading account.
Pay the minimum deposit of $100 to start trading.
Step 4: Apply for an Islamic Account.
As soon as the trader has funded their account, they can apply for an Islamic account by filling in a request.
Step 5: Review And Approval
As soon as the request for an AvaTrade Islamic Account has been received, it will be forwarded to the relevant department for review and approval. As soon as the request has been received it will take between 1 to 2 business days to process.
What is AvaTrade spread costs on an Islamic Account?
👉 The cost of the spread on AvaTrade’s Islamic account varies according to the trading instrument. AvaTrade’s Islamic Account does not have any specific spreads but provides the same spreads as the retail account. Traders can anticipate the following spreads on average:
➡️ Forex – fixed spreads of 0.9 pips on EUR/USD
➡️ Stocks – fixed spreads from 0.13%
➡️ Commodities – fixed spreads from 0.5% on Gold
➡️ Indices – fixed spreads from 0.50% on US_500
➡️ FX Options – fixed spreads of 0.9 pips on EUR/USD
➡️ ETFs – fixed spreads from 0.13%
➡️ Bonds and Treasuries – fixed spreads of 0.03 pips Over Market for Euro Bonds and 0.06 Over Market for Japan Government Bonds
➡️ Cryptocurrencies – From 0.25% Over Market on BTC/USD
What other features does AvaTrade Islamic Account offer Nigerian traders?
👉 Except for interest and swaps, the AvaTrade Islamic Account includes the same as a conventional retail account. Muslim merchants get access to the following features in addition to the standard ones:
➡️ Halal Gold and Silver Trading – Islamic halal trading of gold and silver is available via AvaTrade. A tangible supply of gold and silver is required for legitimate Islamic gold and silver dealing. Shariah-compliant gold and silver trading accounts are available via AvaTrade.
➡️ Halal Oil Trading – AvaTrade now offers Islamic oil trading. It is possible to trade oil on the AvaTrade MT4 Platform using oil futures traded on the global futures exchanges. AvaTrade lets you trade oil without worrying about swap accumulation. The volatile oil markets may be entered using AvaTrade.
➡️ Halal Indices Trading – On the AvaTrade Islamic trading account, Nigerian Muslim traders can instantly access the world’s most liquid stock indexes. Indices of the stock market that are directly connected to the world’s stock markets without the accumulation of swaps. In addition, on the AvaTrade Islamic trading account, traders only pay the bid-ask spreads.
➡️ Islamic Forex Trading – AvaTrade has launched an Islamic trading account that complies with all Islamic regulations. Daily swaps will not be charged to customers having an Islamic trading account. Swap costs are entirely converted to daily administration fees on all forex trading products inside the MT4 platform.
AvaTrade Pros and Cons
| ✔️ Pros | ❌ Cons |
| AvaTrade is a globally recognized broker with regulations from several reputable entities | There are no variable spreads offered |
| There are more than 1,250 instruments that Nigerians can trade | There are inactivity fees charged |
| There are helpful trading tools and educational materials offered | Currency conversion fees apply |
| There is a choice between powerful trading platforms across several devices | There is only one retail account and one professional account offered |
| Competitive trading conditions are offered | |
| Commission-free trading is offered |
AvaTrade Final Verdict
Overall, AvaTrade is considered safe since it is regulated by several authorities globally, including the top-tier Central Bank of Ireland and the Australian Securities and Investments Commission (ASIC), and the FSCA in South Africa.
It is liked for the seamless and hassle-free account opening and many deposit and withdrawal options which are free of charge. AvaTrade also boasts low trading fees and a transparent fee structure.
FAQ
Can Muslim traders from Nigeria open an Islamic account with AvaTrade?
Yes, AvaTrade accepts Muslim traders from Nigeria.
Which instruments can I trade with the AvaTrade Islamic account?
You can trade any of the following instruments with the Islamic account: Forex, Cryptocurrencies, Commodities, Bonds, Precious metals, Stocks and Indices, Treasuries, EFTs, CFDs and Options.
Which platforms are available on the AvaTrade Islamic account?
The AvaTrade Islamic account is supported by the following platforms:
- AvaTradeGO
- AvaOptions
- AvaSocial
- MetaTrader 4
- MetaTrader 5
- DupliTrade
- ZuluTrade
Does AvaTrade offer leverage on the Islamic account?
Yes, AvaTrade offers a maximum leverage ratio of 1:400 on the Islamic account.
Are there additional charges on the Islamic account?
There are no additional charges on the AvaTrade Islamic account.
