HERE IS AN ANSWER TO WHETHER YOU CAN START WITH AS LITTLE AS R200
Can I Start Trading with R200?
When looking to trade financial markets, the starting capital is important to consider. Most traders usually enter the market with a small capital and add to it as their confidence grows. Many potential traders in South Africa wonder if it’s feasible to start trading with a small amount like R200. In this article, we will explore the question, can I start trading with R200 (a little over $10 USD)? We will also look at some of the best brokers that allow traders to invest with a minimum deposit of R200.
Is R200 Enough to Start Trading?
The short answer is yes, you can start trading with R200. Several South African brokers allow a minimum deposit of R200, which is a little over 10 USD. The low deposit enables beginner traders to explore the ins and outs of the forex market with low risk. Additionally, traders can spread the risk across various brokers due to their affordability. Let’s look at some more benefits of trading with a low deposit of R200.
Benefits of Trading with Deposit of R200
Risk Management
Beginner traders should trade with a low deposit to reduce risk when learning the ins and outs of the market. They can also spread risk across various brokers and find the one that better suits their needs. Advanced traders can also use low deposits to minimise risk when testing out new strategies.
Affordability
A minimum deposit of R200 is affordable to most traders, especially in countries like South Africa. The low deposit is attractive to traders because they will not require large capital when trading.
Increased Market Accessibility
Low deposit brokers help to lower the entry barrier to the financial market. This means that South African traders with low income or small capital can still invest in the financial market.
So what are some of the brokers that allow traders to start trading with R200? Let’s take a look.
Best Brokers that work with R200 or less
HFM
HFM is a well-known broker allowing South African traders to start trading from under R200. HF Markets does not have a minimum deposit requirement on most of its accounts. The broker offers several accounts that can cater to all types of traders from new to advanced. The accounts include the Cent, Zero, Pro, Pro Plus and Premium accounts. The cent and the premium accounts feature spreads from as low as 1.2 pips with no commissions. The Pro and Pro Plus also feature spread from as low as 0.5 and 0.2 pips* for major currencies with no commission respectively. Lastly, the Zero account has spread from 0.0 pips with a commission as low as $0.03 per 1k lot.
HFM gives clients access to over 1,000 global markets including forex, metals, stocks, bonds, indices, energies, commodities, crypto, and ETFs. Additionally, these markets can be accessed on world-class trading platforms which include MetaTrader 4, MetaTrader 5, and HFM Platform.
Lastly, the broker is regulated by the FSCA in South Africa. Additionally, the broker has regulations from other well-known regulators in the market. These include the CMA in Kenya, the FSC in Belize, and the FCA in the UK.
Exness
Exness has a minimum deposit of $10, allowing South African traders to start trading with a starting capital of little less than R200. The broker has regulations from several reputable organisations including the FSCA in South Africa, the CMA in Kenya, the CySEC in Cyprus, and the FCA in the UK. Such regulations help ensure that traders have fair trading conditions.
Further, the broker offers a wide range of trading instruments for traders to diversify their trading portfolio. Traders can invest in various global markets including crypto, forex, commodities, stock, and indices. Exness also offers market-standard trading platforms for traders to choose from. The platforms include MetaTrader 4, MetaTrader 5, Exness Terminal, and Exness Trade App.
Lastly, Exness has different account types for both advanced and beginner traders. The standard and the standard cent accounts feature spread from as low as 0.2 pips and 0.3 pips respectively with no commission required.
The professional account includes the raw spread, zero, and pro accounts. Spreads on the zero and raw account start from as low as 0 pips for major currency pairs with commissions. The commissions include $0.05 for each side per lot on the zero accounts and $3.50 for each side per lot on the raw spread accounts. The pro account features spreads from 0.1 pips for major currency pairs with no commission.
XM
XM is yet another broker that traders can use to trade with R200 and below. It is accessible with a low minimum deposit of $5 and provides competitive spreads. Notably, XM has regulations from the FSC in Belize, the CySEC in Cyprus, and ASIC in Australia.
In terms of trading fees, the broker offers some of the tightest spreads in the market. The spread on the broker starts from as low as 0.6 pips for major currency pairs on the Ultra-low account with no commission required.
On the standard and the micro accounts, the spreads start from as low as 1.0 pips with no commission. Further, XM has over 1,000 trading instruments that its traders can invest in. Clients can trade Forex, indices, cryptocurrencies, commodities, shares, energies, and precious metals. The platforms offered by the broker include the MetaTrader 4, MetaTrader 5, and The XM Trading Point App.
FXTM
Trading Forex and CFDs entail risk.
Your capital is at risk.
FXTM traders can invest in global markets with a small minimum deposit of $10. This is approximately R180, which is lower than R200. Clients can invest over 1,000 CFDs on forex, stocks, commodities, indices, cryptocurrencies, and shares. The diversity of trading instruments enables traders to spread risk across various markets. Further, FXTM traders can choose various trading platforms including MetaTrader 4, MetaTrader 5, and FXTM Trader.
There are three main trading accounts on FXTM. They include the Micro account, the Advantage account, and the Advantage Plus account. The Micro account and the Advantage Plus accounts both have spreads starting from 1.5 pips upwards. In contrast, the Advantage account has spreads from 0.0 pips plus average commissions of about $0.4 to $2 based on the volume.
Lastly, FXTM is regulated by several well-known regulators in the market including the FSCA in South Africa. The other regulators include the FCA in the UK and the CMA in Kenya.
AXI
Trading Forex and CFDs entail risk.
Your capital is at risk.
Axi does not have a minimum deposit requirement. Hence, South African traders can start trading with as little as R200. AXI offers a wide range of trading instruments including forex, shares, indices, commodities, and cryptocurrencies. Further, the trading instruments can be accessed on the market standard trading platforms including the most popular one the MetaTrader 4. The other platform available is the in-house-built, Axi Trading Platform.
In terms of regulations, this company has licenses from a couple of organisations including the FSA in St Vincent and the Grenadines, the CySEC in Cyprus, the FCA in the UK, and the ASIC in Australia. Its regulations and its longevity make it no surprise that the broker is highly rated.
Finally, the broker offers three main trading accounts. The account includes a standard account, a Pro account, and an Elite account. The standard account features spread from as low as 0.9 pips for major currency pairs with no commission. The spreads on the Pro and Elite accounts start from 0.0 pips with a commission of $7 round trip and $3.50 round trip respectively.
Yes, you can start trading with R200. There are a lot of brokers in the market that accept a minimum deposit of R200 and below. In this article, we mentioned a few brokers that accept a minimum deposit of R200 and below. These brokers have some of the lowest spreads in the market, have regulations from well-known organizations, have a variety of trading instruments, and offer world-class trading platforms. While these brokers have a minimum deposit of R200 and below, it is important for a trader to consider the overall service the broker offers.