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Pepperstone Islamic Account
Pepperstone offers an Islamic account for Muslim traders. Pepperstone is regulated by one Tier-1 (High Trust), one Tier-2 (Medium Trust), and one Tier-3 (Low Trust) regulator. Pepperstone has a trust score of 92% out of 100.
- Lesche Duvenage
Jump to:
Pepperstone 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
0 USD / 0 BWP
Regulators
ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB
Trading Desk
MetaTrader 4, MetaTrader 5, cTrader and TradeView
Crypto
Yes (Not available in Africa)
Total Pairs
60+
Islamic Account
Yes
Trading Fees
Low
Account Activation Time
24 Hours
Pepperstone Islamic Account – 11 key points quick overview:
Pepperstone Overview
👉 Overall, Pepperstone is considered low-risk, with an overall Trust Score of 93 out of 100. Pepperstone is licensed by three Tier-1 Regulators (high trust), three Tier-2 Regulators (average trust), and one Tier-3 Regulator (low trust).
👉 In addition, Pepperstone offers two different retail trading accounts, a Standard Account, and a Razor Account.
👉 Pepperstone is a wholly owned subsidiary of Pepperstone Group Limited, an Australian firm founded in 2010 and rapidly becoming one of the world’s largest FX and CFD providers. Pepperstone provides a variety of platforms to accommodate all investing and trading styles.
👉 The platforms are white-label, third-party products since Pepperstone has avoided developing its own interface.
👉 Customers can choose between MetaTrader (MT) 4/5 and cTrader, a high-end system with direct pricing from liquidity providers and extensive technical features such as detachable charts, backtesting, and algorithmic strategy assistance.
👉 Smart Trader Tools for MT4 enhances technical capability by introducing applications that aid trade execution, market research, and market study depth.
👉 Pepperstone’s cTrader is a simplified trading platform available as a download or online interface, reliable, and easily accessible from any web browser (Chrome, Firefox, Safari, or Internet Explorer).
👉 This platform offers a redesigned appearance, one-click trading, and complete integration across desktop and mobile platforms, enhancing the trading experience for all traders.
👉 Pepperstone’s execution-only trading approach offers direct access to a vast pool of liquidity providers without needing a dealing desk or execution manipulation.
👉 Direct access to a big liquidity pool ensures the lowest possible spreads and the fastest execution times for traders of all experience levels. This is advantageous if you engage in scalping or use automatic trading robots.
👉 Pepperstone utilizes technologies designed to facilitate institutional trading flow for big single-ticket traders. For example, using a liquidity aggregator, they can handle multiple fills to process bigger orders at many levels.
👉 Your orders are executed on a “market execution” basis without requotes, with potential positive and negative slippage and no broker interference.
👉 Traders from countries where Sharia and Islamic law outlaw the practice of charging overnight fees have the option of using Pepperstone’s Islamic Account. These countries are eligible to convert an existing swap account to a swap-free one:
➡️ Albania
➡️ Azerbaijan
➡️ Bangladesh
➡️ Burkina Faso
➡️ Bahrain
➡️ Brunei
➡️ Brunei Darussalam
➡️ Algeria
➡️ Egypt
➡️ Guinea
➡️ Indonesia
➡️ Jordan
➡️ Kyrgyzstan
➡️ Kuwait
➡️ Morocco
➡️ Mauritania, and several other Islamic regions.
Pepperstone At a Glance
| 🏛 Headquartered | Melbourne, Australia with offices globally |
| 🌎 Global Offices | Australia, UK, Germany, Bahamas, Dubai, Kenya, Cyprus |
| 🏛 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 | 2010 |
| 📞 Botswana Office Contact Number | None |
| 📱 Social Media Platforms | • Facebook • YouTube |
| ⚖️ Regulation | ASIC, BaFin, CMA, CySEC, DFSA, FCA and SCB |
| 1️⃣ Tier-1 Licenses | • Australian Securities and Investment • Commission (ASIC) Financial Conduct • Authority (FCA) Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) |
| 2️⃣ Tier-2 Licenses | • Cyprus Securities and Exchange • Commission (CySEC) Dubai Financial Services Authority (DFSA) • Capital Markets Authority (CMA) |
| 3️⃣ Tier-3 Licenses | • Securities Commission of the Bahamas (SCB) |
| 🪪 License Number | • Bahamas – 177174 B • Australia – ACN 147055703, AFSL 414530 • United Kingdom – 684312 • Cyprus – HE 398429 • Nigeria – CMA Licence Number 128 • Dubai – DFSA F004356, DIFC 3460 • Germany – 151148 |
| ⚖️ MFED, BoB, or NBFIRA Regulation | No |
| ✔️ Regional Restrictions | United States, Canada, Iran, Japan, Iraq, Zimbabwe, Yemen, and others |
| ☪️ Islamic Account | Yes |
| 💻 Demo Account | Yes |
| 🛍 Retail Investor Accounts | 2 |
| ✔️ PAMM Accounts | No, only MAM for fund managers |
| 💻 Liquidity Providers | Barclays, HSBC |
| ✔️ Affiliate Program | Yes |
| 📱 Order Execution | Market |
| 📊 Starting spread | Variable, from 0.0 pips EUR/USD |
| 📉 Minimum Commission per Trade | From AU$7 |
| 💰 Decimal Pricing | 5th decimal pricing after the comma |
| 📞 Margin Call | 90% |
| 🛑 Stop-Out | 20% |
| 📉 Minimum Trade Size | 0.01 lots |
| 📈 Maximum Trade Size | 100 lots |
| ✅ Crypto trading offered? | Yes |
| ✔️ Offers a BWP Account? | No |
| 📉 Dedicated Botswana Account Manager? | No |
| 📈 Maximum Leverage | • 1:500 (Professional) • 1:200 (Retail) – Depending on the jurisdiction |
| 📊 Leverage Restrictions for Botswana? | No |
| 💳 Minimum Deposit (BWP) | 0 BWP or an equivalent to $0 |
| ✔️ Botswana Pula Deposits Allowed? | No |
| 📊 Active Botswana Trader Stats | 250,000+ |
| 👥 Active Botswana-based Pepperstone customers | Unknown |
| 🔁 Botswana Daily Forex Turnover | Unknown, Forex overall is $6.6 Trillion |
| 💰 Deposit and Withdrawal Options | • Visa • Mastercard • Bank transfer • MPESA • Paypal • Bpay • Neteller • POLi • Skrill • China UnionPay |
| 💻 Minimum Withdrawal Time | 1 business day |
| ⏰ Maximum Estimated Withdrawal Time | Up to 7 business days |
| 💳 Instant Deposits and Instant Withdrawals? | No |
| 🏛 Segregated Accounts with Botswana Banks? | No |
| 📱 Trading Platforms | • MetaTrader 4 • MetaTrader 5 • cTrader • TradingView • Myfxbook • DupliTrade |
| 💻 Tradable Assets | • Forex • Cryptocurrencies • Shares • ETFs • Indices • Commodities • Currency Indices |
| ✔️ Offers USD/BWP currency pair? | No |
| 📊 USD/BWP Average Spread | N/A |
| ✅ Offers Botswana Stocks and CFDs | No |
| 💻 Languages supported on the Website | English, Spanish, Russian, Chinese, Vietnamese, Arabic, Indonesian, Italian, French, German, Hungarian, Turkish |
| ☎️ Customer Support Languages | Multilingual |
| 👥 Copy Trading Support | Yes |
| ⏰ Customer Service Hours | 24/5 |
| 📞 Botswana-based customer support? | Yes |
| 💸 Bonuses and Promotions for Botswanans? | None |
| 📚 Education for Botswanan beginner traders | Yes |
| 📱 Proprietary trading software | No |
| 🤝 Most Successful Trader in Botswana | Unknown |
| ✔️ Is Pepperstone a safe broker for Botswana Traders? | Yes |
| 🎖 Rating for Pepperstone Botswana | 9/10 |
| 🥇 Trust score for Pepperstone Botswana | 92% |
| 👉 Open Account | 👉 Open Account |
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 specific prohibitions placed on Muslim traders when considering the intricate details involved with trading activities, the following are significantly affected:
➡️ Overnight rollovers involve the incurrence or receiving of swap points on positions open for longer after the trading day has concluded at the New York close at 5 PM EST. Subsequently, Sharia law prohibits such swap points.
➡️ Margin deposits and interest – which involve interest accrual on funds deposited into the trading account- are prohibited.
➡️ Loans – when followers of the Sharia law have funds transferred by a bank or other financial institution, it involves interest terms. Sharia prohibits this per the critical element, Riba.
➡️ Margin trading makes the Islamic trader liable for paying interest, which amounts to Riba. This interest refers to money borrowed from the broker (Riba) to buy or sell such equities, which Sharia Law prohibits.
➡️ Short sales affect shares and involve borrowing and subsequent sale of an asset, which is prohibited.
➡️ Forward sales affect forward contracts. Forward sales influence the trading of futures contracts because it involves the buying and selling 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?
👉 Step 1 – Register for a trading account
➡️ Traders can navigate to the Pepperstone website and select the relevant banner to either register, sign up, or open an account. This will redirect them to an online application that will take a few minutes to complete.
👉 Step 2 – Review, approval, and supporting documents
➡️ Once completed, the trader must submit supporting documents to prove their identity and their residential address. This forms part of the ‘Know Your Client’, or KYC, a process that is mandatory.
➡️ Once the application has been completed, traders can expect feedback and verification to take a few days, depending on when the application was submitted.
👉 Step 3 – Account approval
➡️ Once approved, traders will receive confirmation via email provided, and the trader can fund their account and commence trading.
What are the steps involved in opening a Pepperstone Islamic Account?
👉 Traders must first establish a live trading account by following these easy steps to open a Pepperstone Islamic Account:
➡️ To create a login on the Pepperstone website, you must need a valid email address and password.
➡️ The next step is to take the Pepperstone suitability test. Customer support at Pepperstone will utilize this brief questionnaire to determine if trading CFDs suits you.
➡️ The next step is to get your identification confirmed. Two distinct kinds of identification—a government-issued ID or a passport—and evidence of your residential address, such as a utility bill or credit card statement, must be sent to Pepperstone.
➡️ Taking a clear photo of the papers and posting it to your trader’s section on Pepperstone’s website is the quickest and easiest method to deliver these documents.
➡️ Traders are required to produce both a primary ID and a picture ID. Please be aware that Pepperstone does not accept identification papers that are damaged, blurry, or scanned reproductions of the originals. Traders may log in and deposit the base currency of their choosing per the allowed currencies after their application has been approved (AUD, USD, JPY, GBP, EUR, CAD, CHF, NZD, SGD, and HKD).
➡️ After everything is finished, traders can ask Pepperstone for an account conversion.
Overall Rating
- 4.9/5
Min Deposit
0 USD / 0 BWP
Regulators
ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB
Trading Desk
MetaTrader 4, MetaTrader 5, cTrader and TradeView
Crypto
Yes (Not available in Africa)
Total Pairs
60+
Islamic Account
Yes
Trading Fees
Low
Account Activation Time
24 Hours
What is Pepperstone’s spread costs on an Islamic Account?
👉 Muslim traders using the Pepperstone Islamic Account should expect spreads on the EUR/USD currency pair to cost up to 1.2 pips.
👉 Pepperstone charges variable spreads, which may change based on the kind of financial instrument and the situation of the market on the trading day.
What other features does Pepperstone’s Islamic Account offer traders?
👉 The following are some of the characteristics of the Pepperstone Islamic Account:
➡️ A minimum deposit of AU$200 or its equivalent in euros, pounds, or dollars.
➡️ EUR/USD spreads averaging between 1 and 1.2 pip.
➡️ Trading without commissions.
➡️ The capability of using EAs, hedging, and scalping.
👉 Before choosing an Islamic Account, traders should confirm that their nation is included on the extensive list of nations eligible for the Pepperstone Islamic Account. Currently, the following nations have access to the Islamic Account:
➡️ Albania
➡️ Azerbaijan
➡️ Bangladesh
➡️ Burkina Faso
➡️ Bahrain
➡️ Brunei
➡️ Brunei Darussalam
➡️ Algeria
➡️ Egypt
➡️ Guinea
➡️ Indonesia
➡️ Jordan
➡️ Kyrgyzstan
➡️ Kuwait
➡️ Morocco
➡️ Mauritania
➡️ Maldives
➡️ Malaysia
➡️ Niger
➡️ Oman
➡️ Pakistan
➡️ Palestinian Territory
➡️ Qatar
➡️ Sierra Leona
➡️ Chad
➡️ Tajikistan
➡️ Turkmenistan
➡️ Tunisia
➡️ Turkey
➡️ Uzbekistan
➡️ Kosovo
👉 When traders hold onto a position for 10 days or more, they are subject to holding costs, which are as follows:
➡️ Cryptocurrencies (Professional Account Only), commodities, equities – 1.5 USD
➡️ Index Markets – 10 USD
➡️ SpotCrude and SpotBrent – 20 USD
➡️ Forex, precious metals on the retail account – 50 USD
➡️ Only on the professional account – Crypto10, Crypto20, and Crypto30 – 50 USD
➡️ BTC/USD (Professional Account Only) – 125 USD
➡️ GER40, FRA40, JPN225, CN50, ETH/USD (Professional Account Only) – 12 USD
➡️ US30 – 30 USD
👉 Muslim traders in Botswana can get in touch with Pepperstone Markets to determine whether they qualify for the Islamic Account.
👉 Muslim traders can obtain customer support assistance for Islamic trading via the Africa/South Africa branch of Pepperstone because the list supplied is a standard list that can be seen on the official website.
Pepperstone Kenya Pros and Cons
| ✔️ Pros | ❌ Cons |
| Pepperstone offers competitive spreads that start from 0.0 pips on EUR/USD | There are restrictions on the countries that may use Pepperstone’s Islamic account |
| Pepperstone is well-regulated and offers an extremely secure trading environment with transparent trading fees | There is no BWP-denominated account offered, subjecting Botswanans to currency conversion fees |
| Investor protection is offered to EU clients through the FSCS | There are additional administrative fees applied to the Islamic account |
| Pepperstone offers a choice between some of the best trading platforms | |
| Negative balance protection is offered for clients in certain regions | |
| There is an Islamic account offered to Muslim traders | |
| There is a demo account offered by Pepperstone | |
| There are several trading tools offered |
Verdict on Pepperstone
👉 Overall, Pepperstone is very competitive in terms of its trading fees and spreads.
FAQ
Can Botswanans register an Islamic Account with Pepperstone?
Botswanans cannot register an Islamic Account with Pepperstone.
The only countries that may convert their Standard or Razor Account include Albania, Azerbaijan, Bangladesh, Burkina Faso, Bahrain, Brunei, Brunei Darussalam, Algeria, Egypt, Guinea, Indonesia, Jordan, Kyrgyzstan, Kuwait, Morocco, Mauritania, Maldives, Malaysia, Niger, Oman, Pakistan, Palestinian Territory, Qatar, Sierra Leona, Chad, Tajikistan, Turkmenistan, Tunisia, Turkey, Uzbekistan, and Kosovo.
What are the typical spreads on the Pepperstone Islamic Account?
Pepperstone charges spread between 1.1 and 1.2 pips on EUR/USD on the Islamic Account.
Which trading platforms can I use on the Pepperstone Islamic Account?
You may use MetaTrader 4, MetaTrader 5, or cTrader when you use Pepperstone.
What is the minimum deposit requirement on the Pepperstone Islamic Account?
The minimum deposit payable when you register a trading account with Pepperstone is 200 AUD, which equals 1,700 BWP.
Are there holding fees on the Pepperstone Islamic Account?
If you keep a position open for longer than 10 days, a holding fee will apply to your open position. This fee will depend on the instrument you trade, ranging from 1.5 to 125 USD.
