Economy
What are the Financial and Trading Bonuses Available in Africa?
One of the best promotional offers to encourage traders is the bonus. This is a significant factor in choosing a Forex broker to work with.
South African traders can take advantage of many Forex bonuses offered by brokers. Some bonuses are available after you have proven yourself to be an active trader. Others are deposited into your account after you have completed the money deposit process. Rebates are bonuses that are added to your account after you have completed a trade. Regular bonuses may require that you open a minimum number of trades in order to receive the bonus.
What are the various types of bonuses?
Different types of bonuses are offered by Forex brokers. Most of them require that you take a specific action. Some brokers offer bonuses for opening an account. Yes. It’s as simple as that.
To find the best Forex bonus, research is key. Make sure that the brokers offering the bonuses operate under the official regulations of financial authorities. You’ll also need to compare the information. When choosing a broker to offer Forex bonuses, traders often base their decision on the size of the bonus. This could lead traders to choose a broker that has high commissions or wide spreads. The bonus you have earned will eventually be charged for trading costs.
Welcome Bonus
Only newcomers who have never opened an account before will be eligible for the welcome bonus. It is similar to the no deposit bonus but does not require any initial deposits. This bonus is the most sought-after type of Forex bonuses. This type of bonus isn’t always available. It is usually offered to partners for cooperation in expanding their business into new markets and cities. Some brokers might offer these bonuses on welcome accounts, like the Tickmill broker 400 ZAR bonus, for example. These welcome accounts do not accept any deposits and can only operate for a limited period of time, after which, traders can withdraw any account balance remaining on the Welcome account.
No Deposit Bonus
No deposit bonus is not as frequent as the rest of the promotional programs that we listed below, however, it undoubtedly is the traders’ favorite in South Africa. No deposit bonus means that the broker will give a bonus to new accounts without requiring an initial deposit. The no deposit bonus, which is typically between $10 and $50, is much smaller than the deposit bonuses.
However, the brokers frequently overcomplicate the terms and conditions that allow traders to withdraw the profits. There are few exceptions to when traders can enjoy a flexible no deposit bonus program and one such example is XM 30 USD no deposit bonus. If you read the XM bonus terms and conditions you will see that the broker clearly explains how traders should get the required trading volume and withdraw their bonus earnings.
Deposit Bonus
The most popular type of bonus is the deposit bonus. It is awarded to customers after they make their first deposit. As a reward for opening an account and making a deposit, customers receive an instant bonus. You can choose to receive a fixed amount or a percentage of your deposit amount. Numerous brokers are offering deposit bonuses in South Africa often ranging from 5% to 50% with the regulated brokers. Unregulated brokers might even offer a 100% deposit bonus, but their reliability has to be questioned.
Special VIP Bonus
You will also be eligible for some special programs for clients who are loyal traders and active with a forex broker. To receive a bonus, you must stay with your Forex broker for a while. This bonus is based on your experience with the broker. You will have to create a VIP account in order to receive the VIP bonus. If you are logged in with an ordinary, micro, or another VIP account, you will not be eligible for a VIP bonus. One of the best VIP programs can be found with HotForex broker with its extensive loyalty campaign. These bonuses are subject to change and may vary depending on the broker. Keep in mind that VIP bonuses can be very profitable and advantageous. If you have an account with a broker you might consider opening one.
Turnover Bonus
Turnover bonuses are similar to cashback or rebates and enable active traders to make additional income from trading turnover. It rewards traders for their trading volume and activity. You don’t need to trade actively to get this bonus. It works automatically. The turnover bonus is usually summarized as follows: If you trade X amount per month, you will receive Y amount.
Reload Bonus
Forex brokers often offer a bonus to customers who deposit money into their trading accounts. This is known as the reload bonus. Brokers understand the importance of rewarding traders for their loyalty to their brokerage company. To keep traders loyal, brokers offer a variety of bonuses instead of just one bonus for opening a trading account. The percentage of the bonus may be less than the initial deposit bonus.
Rebate Bonus
Forex rebates are trading tools that allow you to win even if you lose. Rebate pips is the popular name for forex rebates. This bonus is a type of cash-back bonus that leaves traders with nothing, even if they lose. There are many options available to traders, so the offers may vary. Brokers want traders to trade as often as possible so bonuses such as these can motivate traders to trade efficiently. Rebate bonuses can be used by professional and novice traders alike. This attractive offer is not available to all traders.
By Adedapo Adesanya
Dangote Petroleum Refinery is preparing to raise about $5 billion through an initial public offering (IPO) expected to conclude in October, in what could become the largest stock market listing in Africa’s history.
The company has already submitted an initial application to the Securities and Exchange Commission (SEC), with approval expected in the coming weeks. Once authorised, the refinery is expected to release its prospectus in September ahead of the public offer.
The primary listing will be on the Nigerian Exchange (NGX) Limited, although investors across Africa are expected to participate through structured investment instruments rather than a dual listing.
The proceeds will be used to expand the capacity of the 700,000-barrels-per-day refinery in Lagos and possibly support plans to replicate the project in Kenya as Dangote seeks to deepen Africa’s energy independence.
The proposed IPO comes after the refinery benefited from increased demand for refined products during the recent Iran conflict, supplying jet fuel across Africa and into Western Europe as global shortages disrupted markets.
As per Reuters, stock exchanges in South Africa, Kenya, Egypt, Ghana and Rwanda have held discussions with advisers to the transaction as interest in the offering continues to build across the continent.
Kenya alone could account for as much as $500 million of the targeted capital raise, driven largely by demand from institutional investors, including pension funds, the publication reported.
While the company is targeting a $5 billion raise, the final amount will depend on the outcome of the SEC’s review. If achieved, the offering would represent more than four per cent of the Nigerian Exchange’s current market capitalisation.
The IPO follows a $2.5 billion private placement completed last month, in which a six per cent stake in the refinery was sold, implying a valuation of about $40 billion.
That valuation, however, would place the refinery well above several listed global refining companies. Turkey’s Tupras, which operates a similar combined refining capacity across four facilities, has a market value of roughly $12 billion, while US-listed HF Sinclair, with a comparable processing capacity, is valued at around $16 billion.
Although the NGX generally requires companies on its main board to maintain a minimum free float of 20 per cent, there have been exceptions. Dangote Cement, for instance, currently has a free float of just over 12 per cent.
The publication also reported that investors outside Nigeria are likely to gain exposure through instruments such as global depositary receipts or exchange-traded products linked to the Nigerian-listed shares, rather than through a cross-listing on other African exchanges.
The founder of the 700,000-barrels-per-day capacity plant, Mr Aliko Dangote, said in April that the refinery aims to increase production capacity to 1.4 million barrels per day.
Mr Dangote is also pursuing plans to build another refinery in Lamu along Kenya’s coast in partnership with other East African governments, although it remains unclear whether part of the IPO proceeds will be allocated to that project valued at an estimated $17 billion.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange rallied by 0.89 per cent on Tuesday, August 4 amid renewed buying interest in unlisted stocks.
During the session, the market capitalisation added N24.07 billion to end at N2.739 trillion compared with Tuesday’s N2.715 trillion, while the NASD Security Index (NSI) gained 40.11 points to quote at 4,563.96 points compared with the preceding day’s 4,523.85 points.
The NASD OTC Exchange ended the trading session with two price losers and three gainers, led by Central Securities Clearing System (CSCS) Plc, which chalked up N7.80 to close at N119.80 per unit versus the previous session’s N112.00 per unit. Afriland Properties Plc increased its value by N1.27 to N23.95 per share from N22.68 per share, and Nitrox Industrial Gases Plc expanded by N1.15 to N21.15 per unit from N20.00 per unit.
On the flip side, FrieslandCampina Wamco Nigeria Plc slid by N8.64 to sell at N144.00 per share compared with the previous day’s N152.64 per share, and 11 Plc dipped by 1 Kobo to end at N225.00 per unit, in contrast to Monday’s closing price of N225.01 per unit.
Tuesday’s trading data showed that the volume of securities rose by 9.0 per cent to 1.6 million units from 1.5 million units, and the number of deals climbed by 6.5 per cent to 33 deals from 31 deals, while the value of securities dropped by 26.9 per cent to N47.6 million from N65.2 million.
At the close of trades, Great Nigeria Insurance (GNI) Plc remained the most traded stock by value on a year-to-date with 3.4 billion units worth N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units valued at N6.5 billion, and CSCS Plc with 76.9 million units exchanged for N5.5 billion.
GNI Plc also closed the session as the most traded stock by volume on a year-to-date with 3.4 billion units transacted for N8.4 billion, followed by Infracredit Plc with 2.3 billion units sold for N6.5 billion, and Resourcery Plc with 1.1 billion units transacted for N415.7 million.
By Dipo Olowookere
A 0.38 per cent loss was suffered by Nigerian stocks on Tuesday on the back of continued selling pressure from investors embarking on profit-taking.
Data from the Nigerian Exchange (NGX) Limited showed that the contraction was influenced by the 1.78 per cent decline recorded by the insurance sector, the 0.24 per cent slip printed by the consumer goods index, and the 0.09 per cent drop posted by the energy space, offsetting the 0.75 per cent growth achieved by the banking sector and the 0.21 per cent growth recorded by the industrial goods segment.
Investor sentiment was weak during the trading day, as the bourse ended with 13 price gainers and 40 price losers, representing a negative market breadth index.
LivingTrust Mortgage depreciated by 10.00 per cent to N3.42, Multiverse also shed 10.00 per cent to N22.95, McNichols dropped 9.92 per cent to N5.45, Thomas Wyatt dipped by 9.87 per cent to N3.56, and Eterna lost 8.57 per cent to trade at N33.00.
On the flip side, AVA Capital improved by 9.94 per cent to N9.95, Livestock Feeds expanded by 9.71 per cent to N8.65, Neimeth increased by 8.43 per cent to N9.00, AIICO gained 3.47 per cent to settle at N4.18, and Oando grew by 3.30 per cent to N36.00.
A total of 1.6 billion equities valued at N28.7 billion exchanged hands in 54,160 deals yesterday versus the 923.0 million equities worth N37.9 billion traded in 72,544 deals on Monday, indicating a 73.35 per cent surge in the trading volume, a 24.27 per cent decline in the trading value, and a 25.34 per cent slip in the number of deals.
The busiest stock was Japaul, which transacted 904.4 million units for N2.7 billion. Sterling Holdings sold 54.0 million units valued at N431.9 million, FCMB exchanged 49.5 million units worth N545.9 million, Chams traded 44.9 million units for N199.2 million, and Neimeth sold 42.4 million units worth N327.8 million.
Business Post reports that the All-Share Index (ASI) gave up 927.70 points to 244,802.83 points from 245,730.53 points, and the market capitalisation receded by N599 billion to N158.016 trillion from N158.615 trillion.
