Economy
An In-depth Look into Best CFD Trading Platforms in South Africa by Traders Union
Recent years have witnessed a significant surge in the popularity of Contract for Difference (CFD) trading in South Africa. In light of this evolving market dynamic, Traders Union experts conducted a meticulous examination of the top CFD trading platforms catering to the South African market. Their insightful findings aim to assist novice and experienced traders in navigating through various platforms, each boasting unique offerings and services.
The experts considered numerous best CFD trading platforms in South Africa to ensure an unbiased assessment, eventually identifying a select few that demonstrated outstanding performance across all assessment criteria. A multifaceted approach, including comprehensive evaluations of regulatory compliance, asset variety, trading features, and overall user experience, underpinned the TU expert analysis.
The forthcoming sections present a detailed summary of their findings. Read and learn about the top platforms to trade CFDs in South Africa for novice and experienced traders.
Pioneering CFD Trading Platforms in South Africa
The Traders Union team, having scrutinized the market, has delineated several trading platforms. Learn about their features and tools.
RoboForex
Regulated by IFSC, RoboForex provides traders with an extensive array of 9 asset types for CFD trading, including Forex, stocks, indices, ETFs, commodities, metals, energies, and cryptocurrencies. With a low minimum deposit of $10, the platform offers multiple account types, catering to different trading styles and risk appetites. Their platform is easy to navigate, allowing traders to maximize their trading efficiency.
XM Group
XM Group stands out with its impressive regulatory portfolio, which includes ASIC and CySEC. They offer various CFDs on asset classes such as Forex, stocks, commodities, indices, and cryptocurrencies. Traders can enjoy competitive spreads, rapid execution of orders, and dedicated support for MT4 and MT5 trading platforms.
Tickmill MT4
Tickmill offers an assortment of CFDs, including Forex, stock indices, bonds, and commodities, on its MT4 platform. The platform, regulated by the FCA, CySEC, and FSA, requires a minimum deposit of $100. Key features include low spreads, high-speed order execution, and no requotes, contributing to a seamless trading experience.
IC Markets cTrader
IC Markets facilitates trading in Forex, indices, commodities, bonds, futures, and cryptocurrencies CFDs on its sophisticated cTrader platform. It boasts high-speed order execution, level II pricing, and detachable charts. Furthermore, it is regulated by ASIC, a globally recognized financial regulator.
Understanding CFDs
CFDs are complex financial instruments that enable traders to speculate on the price movements of various global financial markets. In CFD trading, traders do not directly own the underlying asset. Rather, they enter into a contract with the broker to exchange the difference in the price of an asset from the time the contract is opened to when it is closed. TU team discussed key steps in CFD trading:
- Checking the regulatory status of the platform.
- See the available markets.
- Verify the availability of direct share CFDs from the broker.
- Check the features and tools of the platform.
- Check commissions and fees, including spread and withdrawal costs.
- Confirm the minimum deposit amount.
- Learn about available software.
- Check the customer support service availability via email, phone or live chat.
- Sign up to start trading CFDs.
Evaluating the Legality of CFD Trading in South Africa
CFD trading is legal in South Africa and is regulated by various entities. The Financial Sector Conduct Authority (FSCA) is South Africa’s main financial regulator, ensuring fairness and integrity in the financial markets. The Australian Securities and Investments Commission (ASIC) and Cyprus Securities and Exchange Commission (CySEC) are well-recognized global regulators that oversee Forex and CFD brokers. The UK’s Financial Conduct Authority (FCA) and Germany’s Federal Financial Supervisory Authority (BaFin) are further assurances of regulatory oversight, providing robust investor protection.
Assessing Tax Implications for CFD Traders in South Africa
Traders engaging in CFD trading are subject to South African tax laws. Income from CFD trading falls under gross income as per the Income Tax Act and must be reported to the South African Revenue Service (SARS). Capital Gains Tax (CGT) also applies to the profits earned from CFD trading. Traders Unions’ experts explain that traders must consider these tax implications when calculating their potential returns.
Identifying Ideal CFD Platforms for Beginners in South Africa
For novice traders, platforms that offer copy trading or PAMM accounts present an excellent starting point. Some of these platforms include XM Group and RoboForex. These features allow beginners to learn from experienced traders, gaining insights into successful trading strategies.
Conclusion
For a more exhaustive understanding of the CFD trading landscape in South Africa, readers are advised to visit the TU website. This rich repository hosts a plethora of detailed reviews, guides, and invaluable resources to equip traders with the knowledge they need for successful trading.
By Dipo Olowookere
The local stock market firmed up by 1.13 per cent on Friday as appetite for Nigerian stocks remained strong.
Investors reacted well to the 2026 budget presentation of President Bola Tinubu to the National Assembly yesterday, especially because of the more realistic crude oil benchmark of $64 per barrel compared with the ambitious $75 per barrel for 2025. This year, prices have been between $60 and $65 per barrel.
Business Post observed profit-taking in the commodity and energy sectors as they respectively shed 0.14 per cent and 0.03 per cent.
But, bargain-hunting in the others sustained the positive run, with the consumer goods index up by 3.82 per cent.
Further, the industrial goods space appreciated by 1.46 per cent, the banking counter improved by 0.08 per cent, and the insurance industry gained 0.04 per cent.
As a result, the All-Share Index (ASI) increased by 1,694.33 points to 152,057.38 points from 150,363.05 points and the market capitalisation chalked up N1.080 trillion to finish at N96.937 trillion compared with Thursday’s closing value of N95.857 trillion.
A total of 34 shares ended on the advancers’ chart, while 24 were on the laggards’ log, representing a positive market breadth index and bullish investor sentiment.
Austin Laz gained 10.00 per cent to close at N2.42, Union Dicon also jumped 10.00 per cent to N6.60, Tantalizers increased by 9.80 per cent to N2.69, Aluminium Extrusion improved by 9.78 per cent to N12.35, and Champion Breweries grew by 9.71 per cent to N16.95.
Conversely, Sovereign Trust Insurance dipped by 7.42 per cent to N3.87, Royal Exchange lost 6.84 per cent to trade at N1.77, Omatek slipped by 6.84 per cent to N1.09, Eunisell depreciated by 5.88 per cent to N80.00, and Eterna dropped 5.63 per cent to close at N28.50.
Yesterday, traders transacted 1.5 billion units worth N21.8 billion in 25,667 deals compared with the 839.8 million units sold for N32.8 billion in 23,211 deals in the preceding session, showing a surge in the trading volume by 76.61 per cent, an uptick in the number of deals by 10.58 per cent, and a shrink in the trading value by 33.54 per cent.
By Adedapo Adesanya
Three stocks stretched the bearish run of the NASD Over-the-Counter (OTC) Securities Exchange by 1.21 per cent on Friday, December 19, with the market capitalisation giving up N26.01 billion to close at N2.121 billion compared with the N2.147 trillion it ended a day earlier, and the NASD Unlisted Security Index (NSI) dropping 43.47 points to 3,546.41 points from 3,589.88 points.
The trio of FrieslandCampina Wamco Nigeria Plc, Central Securities Clearing System (CSCS) Plc, and NASD Plc overpowered the gains printed by four other securities.
FrieslandCampina Wamco Nigeria Plc lost N6.00 to sell at N54.00 per unit versus N60.00 per unit, NASD Plc shrank by N3.50 to N58.50 per share from N55.00 per share, and CSCS Plc depleted by N2.91 to N33.87 per unit from N36.78 per unit.
On the flip side, Air Liquide Plc gained N1.01 to close at N13.00 per share versus N11.99 per share, Golden Capital Plc appreciated by 70 Kobo to N7.68 per unit from N6.98 per unit, Geo-Fluids Plc added 39 Kobo to sell at N5.50 per share versus N5.11 per share, and IPWA Plc rose by 8 Kobo to 85 Kobo per unit from 77 Kobo per unit.
During the trading day, market participants traded 1.9 million securities versus the previous day’s 30.5 million securities showing a decline of 49.3 per cent. The value of trades went down by 64.3 per cent to N80.3 million from N225.1 million, but the number of deals jumped by 32.1 per cent to 37 deals from 28 deals.
Infrastructure Credit Guarantee Company (InfraCredit) Plc finished the session as the most active stock by value on a year-to-date basis with 5.8 billion units valued at N16.4 billion, followed by Okitipupa Plc with 178.9 million units transacted for N9.5 billion, and MRS Oil Plc with 36.1 million units traded for N4.9 billion.
The most active stock by volume on a year-to-date basis was still InfraCredit Plc with 5.8 billion units worth N16.4 billion, trailed by Industrial and General Insurance (IGI) Plc with 1.2 billion units sold for N420.7 million, and Impresit Bakolori Plc with 536.9 million units traded for N524.9 million.
By Adedapo Adesanya
It was not a good day for the Nigerian Naira at the two major foreign exchange (FX) market on Friday as it suffered a heavy loss against the United States Dollar at the close of transactions.
In the black market segment, the Naira weakened against its American counterpart yesterday by N10 to quote at N1,485/$1, in contrast to the N1,475/$1 it was traded a day earlier, and at the GTBank forex counter, it depreciated by N2 to settle at N1,467/$1 versus Thursday’s closing price of N1,465/$1.
In the Nigerian Autonomous Foreign Exchange Market (NAFEX) window, which is also the official market, the nation’s legal tender crashed against the greenback by N6.65 or 0.46 per cent to close at N1,464.49/$1 compared with the preceding session’s rate of N1,457.84/$1.
In the same vein, the local currency tumbled against the Euro in the spot market by N2.25 to sell for N1,714.63/€1 compared with the previous day’s N1,712.38/€1, but appreciated against the Pound Sterling by 73 Kobo to finish at N1,957.30/£1 compared with the N1,958.03/£1 it was traded in the preceding session.
The market continues to face seasonal pressure even as the Central Bank of Nigeria (CBN) is still conducting FX intervention sales, which have significantly reduced but not remove pressure from the Naira. Also, there seems to be reduced supply from exporters, foreign portfolio investors and non-bank corporate inflows.
President Bola Tinubu on Friday presented the government’s N58.47 trillion budget plan aimed at consolidating economic reforms and boosting growth.
The budget is based on a projected crude oil price of $64.85 a barrel and includes a target oil output of 1.84 million barrels a day. It also projects an exchange rate of N1,400 to the Dollar.
President Tinubu said inflation had plunged to an annual rate of 14.45 per cent in November from 24.23 per cent in March, while foreign reserves had surged to a seven-year high of $47 billion.
Meanwhile, the cryptocurrency market was dominated by the bulls but it continues to face increased pressure after million in liquidations in previous session over accelerating declines, with Dogecoin (DOGE) recovering 4.2 per cent to trade at $0.1309.
Further, Ripple (XRP) appreciated by 3.9 per cent to $1.90, Cardano (ADA) rose by 3.5 per cent to $0.3728, Solana (SOL) jumped by 3.4 per cent to $126.23, Ethereum (ETH) climbed by 2.9 per cent to $2,982.42, Binance Coin (BNB) gained 2.0 per cent to sell for $853.06, Bitcoin (BTC) improved by 1.7 per cent to $88,281.21, and Litecoin (LTC) soared by 1.2 per cent to $76.50, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) traded flat at $1.00 each.
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