Exness Review
OANDA Islamic Account
OANDA offers an Islamic account for Muslim traders. OANDA is very competitive in terms of its trading fees and spreads. OANDA is a multi-regulated forex broker with 11 Tier-1 (High Trust) and 2 Tier-3 (Low Trust) regulators. OANDA has a Trust Score of 92% out of 100.
- Lesche Duvenage
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OANDA Overview
What is an Islamic Account?
How to Open an Islamic Account?
Pros and Cons
Final Verdict
FAQ
Overall Rating
- 4.9/5
Min Deposit
USD 0
Regulators
ASIC, BVI, CFTC, FCA, FFAJ, FSC, IIROC, MAS, NFA
Trading Desk
Metatrader 4 and Metatrader 5
Crypto
Yes
Total Pairs
45
Islamic Account
No
Trading Fees
Low
Account Activation Time
24 Hours
OANDA Islamic Account – 10 key points quick overview:
OANDA Overview
👉 Overall, OANDA is considered low-risk, with an overall Trust Score of 92 out of 100. OANDA is licensed by eight Tier-1 Regulators (high trust), zero Tier-2 Regulators (average trust), and two Tier-3 Regulators (low trust).
👉 In addition, OANDA offers three different retail trading accounts, namely a Standard Account, Core Account, and a Swap-Free Account.
👉 Although OANDA offers access to various financial instruments, it is best suited for experienced traders looking for a top-notch desktop trading experience. In addition, OANDA excels in research with industry-leading analysis from MarketPulse and news from Dow Jones.
👉 There is constant access to updated text, video, and audio content. In addition, OANDA provides research from independent vendor AutoChartist. The customer-provided spread is how OANDA makes money, as is customary in the brokerage industry.
👉 It has a simple spread structure with two pricing tiers: spread-only and spread plus commission. OANDA offers investors a user-friendly website with a variety of trading options. In addition, it has helpful information that might aid traders in making progress.
👉 OANDA’s research and educational resources allow beginning traders to arm themselves with the trading knowledge they need.
👉 Furthermore, its wide range of fundamental currency pairs, market mood indicators, and accurate charting tools might help seasoned forex traders and reliable brokers profit on any given day.
👉 According to OANDA, their trading platform gives traders of all devices a speedier, more transparent, and smoother trading experience.
OANDA At a Glance
| 🏛️ Headquartered | United States |
| 🏛️ Botswanan Based Office | No |
| 👍 Accepts Botswanan Traders? | Yes |
| 📅 Year Founded | 1996 |
| 📱 Botswanan Office Contact Number | None |
| ⚖️ Regulation | IIROC, ASIC, CFTC, NFA, FCA, FFAJ, MAS, MFSA |
| 🔎License Number | Australia – ABN 26 152 088 349, AFSL No. 412981 United States – 0325821 United Kingdom – 542574 Japan – 1571 Singapore – 200704926K Malta – VLT1455 |
| ⚖️ CBN Regulation | None |
| ✴️ Regional Restrictions | None indicated |
| ☪️ Islamic Account | Yes |
| 📈 Demo Account | Yes |
| 📈 Retail Investor Accounts | 3 |
| 📊 PAMM Accounts | None |
| 📊 Liquidity Providers | JP Morgan, Deutsche Bank, Royal Bank of Canada |
| Affiliate Program | Yes |
| 📊 Crypto trading offered? | No |
| 🚀 Offers a Botswanan Account? | No |
| 💻 Dedicated Botswanan Account Manager? | No |
| 📈 Maximum Leverage | 1:200 |
| 📈 Leverage Restrictions for Botswana? | No |
| 💳 Minimum Deposit (₦) | 0 Botswanan Naira |
| 💳 Botswanan Naira Deposits Allowed? | Yes |
| 💰 Active Botswanan Trader Stats | 1.3 million |
| Active Botswanan-based OANDA customers | Unknown |
| 💰 Botswana Daily Forex Turnover | $1.25 million+ |
| 💳 Deposit and Withdrawal Options | Local Transfers Debit Cards Credit Cards Bank Wire Bank Transfers Skrill Neteller Mobile Bank Transfers International e-Wallets |
| 💰 Segregated Accounts with Botswanan Banks? | No |
| 💻 Trading Platforms | MetaTrader 4, MetaTrader 5, OANDA web, OANDA mobile |
| 💰 Tradable Assets | Index CFDs Forex Metals Commodity CFDs Bonds CFDs Precious Metals Real-time Rates |
| 🌐 Offers USD/NGN currency pair? | No |
| 🌐 USD/NGN Average Spread | N/A |
| 📈 Offers Botswanan Stocks and CFDs | No |
| 👨💼 Languages supported on Website | English, Chinese (Traditional), Spanish, Portuguese |
| 👥 Customer Support Languages | Multilingual |
| 👥 Customer Service Hours | 24/5 |
| 👥 Botswanan-based customer support? | No |
| 💰 Bonuses and Promotions for Botswanans | Yes |
| ✴️Education for Botswanan beginners | Yes |
| 📊 Proprietary trading software | Yes |
| 💰 Most Successful Botswanan Trader | Uche Paragon ($20 million net worth) |
| ✔️Is OANDA a safe broker for Botswanans? | Yes |
| ✔️Rating for OANDA Botswana | 8/10 |
| ✔️Trust score for OANDA Botswana | 91% |
What exactly is an Islamic Account for Traders?
👉 An Islamic, or swap-free, trading account is allowed by Islamic Sharia law. An Islamic Account follows the Islamic principle where interest does not apply to open positions held for longer than a trading day after the trading day has concluded.
👉 CFD and Forex brokers who serve Middle Eastern clients off Islamic Account conversions. CFD and Forex Brokers offer this option to clients from other jurisdictions who are of the Islamic faith.
👉 Certain features align with the Sharia law, which prohibits the accrual interest on funds deposited into the account.
👉 The other important feature of an Islamic Account is the immediate settlement of transactions. Direct payment requires the transfer of currencies from one account to the other right after the transaction has been completed and paid for in full.
👉 Two critical 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 interest is unjust and exploitive gains on trade or business.
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.
What are the steps involved in opening an OANDA Islamic Account?
👉 Traders who want to open a Swap-free account may do so by following the simple steps listed below to open any other live trading account.
➡️ Botswanans can instantly establish an account by clicking the “Create an Account” option on the home page. Then, traders can finish the form, fund their accounts, and begin trading immediately.
➡️ Traders do not need to produce identification or proof of domicile when opening an account with a deposit of fewer than 100,000 BWP (approximately $9,000).
➡️ Botswanan traders must be at least 18 years old to open an account. Regulations, particularly those particular to this procedure, need responses to the application’s questions.
➡️ The OANDA onboarding team will review and approve the application once it has been submitted. Botswanan traders can use their new account to deposit, withdraw, or transfer funds when the account has been authorized.
➡️ Botswanan traders are required to produce identification documentation (such as a utility bill, credit card statement, or other document containing the trader’s name and physical address) along with deposits that exceed 9,000 USD / 100,00 BWP.
What are OANDA’s spread costs on an Islamic Account?
👉 You can trade various financial assets with OANDA, renowned for its low spreads. However, if significant international or geopolitical events occur, spreads could widen during certain times of the day.
👉 Spread-only pricing and commission pricing are the two price alternatives that OANDA offers to traders. The charge for spread-only pricing is already included in the spread, so you are not required to make any further financial obligations.
👉 In contrast, traders who solely employ spread trading accounts could benefit from the smaller spreads. This is because the basis for determining trading expenses is the proper spread and any extra fees traders pay.
👉 Some typical spreads that Botswanan traders might anticipate seeing include the following:
➡️ Standard account – from 1 pip
➡️ Core Account – from 0.1 pips
➡️ Swap-Free Account – from 1.6 pips
👉 These spreads are typical for EUR/USD, and the table below lists other spreads that Botswanans might anticipate depending on the financial instrument they trade.
| 🔨 Instrument | 💰 Number of Assets Offered | 📈 Max Leverage Offered |
| ➡️ Forex | 70+ | 1:200 |
| ➡️ Precious Metals | 5 | 1:200 |
| ➡️ Indices | 16 | 1:200 |
| ➡️ Energies | 5 | 1:200 |
| ➡️ Bonds | 5 | – |
| ➡️ Agricultural Commodities | 5 | 1:100 |
Overall Rating
- 4.9/5
Min Deposit
USD 0
Regulators
ASIC, BVI, CFTC, FCA, FFAJ, FSC, IIROC, MAS, NFA
Trading Desk
Metatrader 4 and Metatrader 5
Crypto
Yes
Total Pairs
45
Islamic Account
No
Trading Fees
Low
Account Activation Time
24 Hours
What other features does AvaTrade’s Islamic Account offer traders?
👉 Apart from interest and swaps, the AvaTrade Islamic Account is identical to a standard retail account. The following features are available to Muslim traders in addition to the normal ones:
➡️ Halal Gold and Silver Trading – AvaTrade offers Islamic halal gold and silver trading. For valid Islamic gold and silver transactions, a physical supply of gold and silver is necessary. AvaTrade offers gold and silver trading accounts that adhere to Sharia law.
➡️ Islamic Oil Trading is now available on AvaTrade. On the AvaTrade MT4 Platform, oil may be traded using oil futures traded on worldwide futures markets. AvaTrade facilitates the trading of oil without swap accumulation. AvaTrade may be used to access the volatile oil markets.
➡️ Halal Indices Trading – Kenyan Muslim traders with an AvaTrade Islamic trading account get quick access to the world’s most liquid stock indices. Stock market indices that are linked to global stock markets without the build-up of swaps. In addition, traders on an AvaTrade Islamic account pay just the bid-ask spreads.
➡️ Islamic Forex Trading – AvaTrade has introduced a trading account that adheres to all Islamic standards. Customers holding an Islamic trading account will not be charged for daily swaps. On the MT4 platform, all swap charges are turned into daily administration fees for all forex trading products.
OANDA Kenya Pros and Cons
| ✔️ Pros | ❌ Cons |
| Proprietary desktop trading platforms offered alongside MetaTrader 4 and 5 | Fixed spreads are not offered |
| Offers an impressive array of financial instruments including most currency pairs | There is a monthly inactivity fee applied |
| Innovative mobile trading apps and mobile platforms provided | |
| There are several advanced charting tools and charting features offered | |
| Negative balance protection is applied to accounts | |
| The broker accepts a wide range of trading strategies including algorithmic trading, hedging, scalping, and more | |
| There is a comprehensive range of trading tools and analytical tools offered | |
| Deposit fees are not charged and there are several deposit options | |
| Offers a decent selection of educational materials including educational articles | |
| Client funds are kept in segregated accounts |
Verdict on OANDA
👉 Overall, OANDA is very competitive in terms of its trading fees and spreads.
FAQ
Does OANDA allow scalping?
OANDA allows all types of trading strategies, including scalping, hedging, EAs, and several others.
Does OANDA have a Swap-Free Account?
OANDA has a dedicated Islamic Swap-Free account for Muslim traders who want to be exempted from overnight fees.
However, Botswanans must note that additional holding charges between 4 and 7 USD apply after 5 days.
What are the average spreads I can expect on the OANDA Islamic Account?
The average spreads on the OANDA Islamic Account start from 1.6 pips EUR/USD.
Is Swap-Free Forex with OANDA halal?
OANDA offers halal trading conditions on the Swap-Free account, which exempts Muslim traders from paying or receiving interest prohibited by Sharia law.
Does OANDA charge an inactivity fee on the Islamic Account?
OANDA charges an inactivity fee of 10 units of the account’s base currency once the account has been dormant for 12 consecutive months.
