Exness Review
FBS Islamic Account
Overall, FBS offers an Islamic Account for Muslim traders. FBS offers three retail investor accounts. FBS is considered trustworthy, with an overall Trust Score of 75% out of 100. The fees with FBS are competitive.
- Louis Schoeman
Jump to:
FBS Overview
What is an Islamic Account?
How to Open an Islamic Account?
Pros and Cons
Final Verdict
FAQ
FBS at a Glance
| 🏛 Headquartered | Belize |
| 🌎 Global Offices | Malaysia, Laos, Thailand, Dubai, Brazil, Turkey |
| 🏛 Local Market Regulators in Botswana | • Ministry of Finance and Economic Development (MFED) • Bank of Botswana (BoB) • Non-Bank Financial Institutions Regulatory Authority (NBFIRA) |
| 💳 Foreign Direct Investment in Botswana | 115.89 BWP Million in 2021 |
| 💰 Foreign Exchange Reserves in Botswana | 5270 USD Million in 2021 |
| ✔️ Local office in Gaborone? | No |
| 👨⚖️ Governor of SEC in Botswana | None, Moses Dinekere Pelaelo is the Governor of the Bank of Botswana |
| ✔️ Accepts Botswana Traders? | Yes |
| 📊 Year Founded | 2009 |
| 📞 Botswana Office Contact Number | None |
| 📱 Social Media Platforms | • Facebook • Telegram • YouTube |
| ⚖️ Regulation | IFSC, CySEC, ASIC, FSCA |
| 1️⃣ Tier-1 Licenses | • Australian Securities and Exchange Commission (ASIC) |
| 2️⃣ Tier-2 Licenses | • Cyprus Securities and Exchange Commission (CySEC) • Financial Sector Conduct Authority (FSCA) |
| 3️⃣ Tier-3 Licenses | • International Financial Service Commission (IFSC) in Belize |
| 🪪 License Number | • Belize – 000102/198 • Cyprus (Tradestone) – 331/17 • Australia (IFM) – 426359 • South Africa (Tradestone) – 50885 |
| ⚖️ MFED, BoB, or NBFIRA Regulation | None |
| ✔️ Regional Restrictions | Japan, United States, Canada, United Kingdom, Myanmar, Brazil, Malaysia, Israel, the Islamic Republic of Iran |
| ☪️ Islamic Account | Yes |
| 💻 Demo Account | Yes |
| 🛍 Retail Investor Accounts | 3 |
| ✔️ PAMM Accounts | No |
| 💻 Liquidity Providers | Currenex |
| ✔️ Affiliate Program | Yes |
| 📱 Order Execution | Market |
| 📊 Starting spread | 0.0 pips |
| 📉 Minimum Commission per Trade | From $6 |
| 💰 Decimal Pricing | 5th decimal pricing after the comma |
| 📞 Margin Call | 40% |
| 🛑 Stop-Out | 20% |
| 📉 Minimum Trade Size | 0.01 lots |
| 📈 Maximum Trade Size | Unlimited |
| ✅ Crypto trading offered? | Yes |
| ✔️ Offers a BWP Account? | No |
| 📉 Dedicated Botswana Account Manager? | No |
| 📈 Maximum Leverage | 1:3000 |
| 📊 Leverage Restrictions for Botswana? | No |
| 💳 Minimum Deposit (BWP) | 96 Botswanan Pula or an equivalent to $5 |
| ✔️ Botswana Pula Deposits Allowed? | Yes |
| 📊 Active Botswana Trader Stats | 250,000+ |
| 👥 Active Botswana-based customers | Unknown |
| 🔁 Botswana Daily Forex Turnover | Unknown, Forex overall is $6.6 Trillion |
| 💰 Deposit and Withdrawal Options | • Credit Card • Debit Card • Neteller • Sticpay • Skrill • Perfect Money • Local Exchanges |
| 💻 Minimum Withdrawal Time | 15 to 20 minutes (maximum 48 hours) |
| ⏰ Maximum Estimated Withdrawal Time | Up to 7 days |
| 💳 Instant Deposits and Instant Withdrawals? | Instant Deposits |
| 🏛 Segregated Accounts with Botswana Banks? | No |
| 📱 Trading Platforms | • FBS Trader • MetaTrader 4 • MetaTrader 5 |
| 💻 Tradable Assets | • Forex • Precious Metals • Indices • Energies • Stocks • Exotic Forex • Cryptocurrencies |
| ✔️ Offers USD/BWP currency pair? | No |
| 📊 USD/BWP Average Spread | N/A |
| ✅ Offers Botswana Stocks and CFDs | No |
| 💻 Languages supported on the Website | English, German, Spanish, French, Italian, Portuguese, Indonesian, Malay, Vietnamese, Turkish, Korean, and others |
| ☎️ Customer Support Languages | Multilingual |
| ⏰ Customer Service Hours | 24/7 |
| 📞 Botswana-based customer support? | No |
| 💸 Bonuses and Promotions for Botswanans? | Yes |
| 📚 Education for Botswanan beginner traders | Yes |
| 📱 Proprietary trading software | Yes |
| 🤝 Most Successful Trader in Botswana | Unknown |
| ✔️ Is FBS a safe broker for Botswana Traders? | Yes |
| 🎖 Rating for FBS Botswana | 9/10 |
| 🥇 Trust score for FBS Botswana | 75% |
| 👉 Open Account | 👉 Open Account |
FBS Overview
Overall, FBS is considered average risk, with an overall Trust Score of 75 out of 100. FBS is licensed by one Tier-1 Regulator (high trust), two Tier-2 Regulators (average trust), and one Tier-3 Regulator (low trust). FBS offers three different retail trading accounts namely an FBS Cent Account, FBS Standard Account, and FBS Pro Account.
FBS, which was founded in 2009, is a worldwide broker that specializes in forex and CFD trading. Leicester City Football Club’s official major partner is FBS. FBS is a beginner-friendly broker with a wide selection of markets and reasonable costs.
MetaTrader 4, MetaTrader 5, and the FBS Trader app all support a range of account kinds. FBS provides various handy tools, such as the ‘Cent Account,’ which allows newcomers to trade in the live market with minor risk.
This broker’s pricing is likewise progressive, with minimal inactivity costs and no withdrawal fees, even via bank wire. FBS’s non-dealing broker technology allows for quick market execution of trading orders.
After registering and logging in, the FBS website gives customers access to two versions of MetaTrader trading platforms (MetaTrader 4 and MetaTrader 5) for trading and investing in a broad variety of assets.
FBS excels in teaching, research, and customer support, making it an excellent alternative for traders fresh to the markets. It could also appeal to more skilled traders by including features like algorithmic trading.
Leverage of up to 1:3000 is allowed for foreign customers (IFSC and FSCA rules), while leverage of up to 1:500 is permitted for EU and UK clients (CySEC regulation). Leverage is up to 1:30 for Australian customers (ASIC legislation), and many instruments and accounts are free from commissions.
What exactly is an Islamic Account for 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 offer certain features that are in line with 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 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.
What is the primary difference between an Islamic Account and a standard trading account for traders?
The primary difference between an Islamic Account and a standard trading account lies in their compliance with Sharia law principles. An Islamic Account, also known as a swap-free account, is designed for traders who wish to engage in financial activities while adhering to Islamic finance rules. The key distinction is the absence of swap or overnight interest charges in Islamic Accounts, as such charges are considered haram (forbidden) in Islam. Instead, Islamic Accounts typically incorporate other fee structures, such as administration fees or adjusted spreads, to ensure traders can participate in the financial markets without violating Islamic principles.
Who can benefit from using an Islamic Account, and what are the advantages of choosing this type of account for trading?
Islamic Accounts are beneficial for traders who follow Islamic finance principles and seek to trade in a manner that aligns with their beliefs. These accounts provide a means for such traders to engage in the financial markets while avoiding activities that are considered non-compliant with Sharia law. The advantages of using an Islamic Account include the ability to trade without incurring swap or interest charges, making it suitable for long-term investors and traders who prefer to avoid overnight financing costs.
Why is interest discouraged or prohibited by Sharia law?
Because of the restrictions and certain prohibitions placed on Muslim traders when considering the intricate details involved with trading activities, the following are 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, which is prohibited by 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.
How does the prohibition of interest impact Islamic finance and banking practices?
The prohibition of interest (riba) in Islamic finance has led to the development of alternative financial structures and practices that adhere to Sharia principles.
Why does Sharia law discourage the charging or payment of interest (riba) in financial transactions?
What are the steps involved in opening an FBS Islamic Account?
To register an account, Botswanan traders can follow these steps:
Before traders can convert their live trading account into that of an Islamic Account, they must first register for a live trading account on the FBS website.
Step 1. Open Account
Click on the Open Account on right side.
Step 2. Register as Trader
Enter your valid email and full name. Make sure to check that the data is correct; it will be needed for verification and a smooth withdrawal process. Then click on the “Register as Trader” button.
Step 3. Temporary Password
You will be shown a generated temporary password. You can continue using it, but we recommend you to create your password.
Step 4. Confirmation Link
An email confirmation link will be sent to your email address. Make sure to open the link in the same browser your open Personal Area is.
As soon as your email address is confirmed, you will be able to open your first trading account. You can open a Real account or Demo one.
Step 5 – Review, approval, and customer support
Once reviewed and approved, traders can deposit their minimum requirement to activate their account and contact FBS customer support to request an Islamic Account conversion.
What is FBS’s spread costs on an Islamic Account?
This will depend on the sort of account that traders desire to convert into an Islamic account. The spreads that traders may anticipate falling anywhere between a fixed and floating range include the following, and traders can anticipate the following spreads:
➡️ FBS Cent Account – Variable, from 0.7 pips
➡️ FBS Standard Account – Variable, from 0.7 pips
➡️ FBS Pro Account – Fixed, from 0.5 pips
How are spread costs typically structured on FBS’s Islamic Account, and do they differ from standard accounts?
FBS’s Islamic Account, also known as a swap-free account, is designed to comply with Sharia law principles by eliminating swap or interest charges. In most cases, the spread costs on an Islamic Account are incorporated into the overall trading conditions.
Are there any additional fees or charges associated with FBS’s Islamic Account, aside from spread costs, that traders should be aware of?
FBS’s Islamic Account typically does not impose additional fees or charges beyond the adjusted spreads.
What other features does FBS’s Islamic Account offer traders?
Each FBS account has unique trading conditions and features. However, Botswana traders can expect some of these typical benefits and features when they trade with FBS.
➡️ Spreads ranging from 0 pip spread to 3 pip spreads.
➡️ Maximum leverage of 1:3000 is permitted depending on the trader’s jurisdiction and the market regulator through which they registered an account.
➡️ Commissions begin at $20 per lot on the Zero Spread Account, while all other accounts are completely free of commissions. This is the only account type that offers commissions.
➡️ Market execution begins at 0.3 seconds and uses straight-through processing (STP).
➡️ The Cent Account requires a minimum deposit of just 5 USD / 96 BWP, which can be made at any time.
➡️ Eligibility to receive a few additional benefits.
➡️ Access to robust and evolving trading systems, via which smooth transactions may be carried out throughout the trading process.
➡️ The ability to get access to a diverse selection of tradable financial products across several asset types
➡️ Access to a variety of trading tools, among other benefits.
There is no indication on the FBS website as to whether the Islamic Account incurs any extra fees. There is also no indication as to whether Muslim traders are required to present evidence of their faith to be eligible for the conversion to an Islamic account.
Before Botswanans open a live trading account with FBS and deposit money into their account, the details described above need to be validated with the company.
Aside from the elimination of swap fees, what additional features or benefits does FBS’s Islamic Account offer to traders?
FBS’s Islamic Account, also known as a swap-free account, primarily caters to traders who wish to trade in compliance with Sharia law principles. In addition to the absence of swap or interest charges, Islamic Accounts typically offer the same features as standard trading accounts, including access to a wide range of financial instruments, real-time market data, charting tools, technical indicators, and various order execution options.
Are there any restrictions or limitations on the types of trading strategies that can be employed with FBS’s Islamic Account?
FBS’s Islamic Account is generally designed to accommodate a wide range of trading strategies, and traders are not typically restricted in terms of the strategies they can employ.
FBS Botswana Pros and Cons
| ✔️ Pros | ❌ Cons |
| FBS offers a choice between accounts for Muslim traders, giving them access to flexible trading solutions | Inactivity fees will apply to dormant accounts |
| FBS does not impose additional commissions or holding fees on the Islamic Account | The spreads charged on the Cent account are wide |
| Botswanans can easily fund their Islamic accounts using several flexible payment methods | |
| FBS offers its customers 24/7 customer support in several languages | |
| Botswanans can expect trading tools to help them refine their trading skills | |
| Beginners have access to several educational materials | |
| FBS Trader is a powerful mobile app for Muslim traders on the move | |
| FBS is well-regulated and has a good reputation in the industry overall |
Verdict on FBS
Overall, FBS is very competitive in terms of its trading fees and spreads.
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Conclusion
Now it is your turn to participate:
Do you have any prior experience with FBS?
What was the determining factor in your decision to engage with FBS?
Was it because of the minimum deposit, regulation, retail trading accounts, or any other factors?
Have you experienced any issues with FBS such as difficulty withdrawing funds, inability to verify regulations, irresponsive customer support, etc.?
Regardless, please share your thoughts in the comments below.
Frequently Asked Questions
How long will it take for FBS to approve my Islamic Account?
It can take a few hours or days for your Islamic Account to be approved.
Does FBS offer halal trading instruments?
FBS offers several halal trading instruments as part of the Islamic Account option, including Forex, precious metals, indices, and others.
Is FBS’ leverage halal?
Leverage is merely a tool and cannot be halal or haram. However, what makes your position halal or harem is the financial instrument to which you apply leverage.
Does FBS offer negative balance protection?
Yes, FBS automatically applies negative balance protection to retail accounts.
Through which regulator can Botswanans register an FBS Islamic Account?
Botswanans must register a live account via the Belize portal. Once the retail account is approved, it can be converted to an Islamic Account.
Addendum/Disclosure:
No matter how diligently we strive to maintain accuracy, the forex market is a volatile environment that may change at any time, even if the information supplied is correct at the time of going live.
