What is an Islamic Account?
How to Open an Islamic Account?
Pros and Cons
BDSwiss Islamic Account – 10 key points quick overview:
- ✅ BDSwiss Overview
- ✅ BDSwiss At a Glance
- ✅ What exactly is an Islamic Account for Traders?
- Why is interest discouraged or prohibited by Sharia law?
- What are the steps involved in opening an AvaTrade Islamic Account?
- What are AvaTrade’s spread costs on an Islamic Account?
- What other features does AvaTrade’s Islamic Account offer traders?
- AvaTrade Kenya Pros and Cons
- Verdict on AvaTrade
👉 Overall, BDSwiss is considered low-risk, with an overall Trust Score of 83 out of 100. BDSwiss is licensed by one Tier-1 Regulator (high trust), one Tier-2 Regulator (average trust), and two Tier-3 Regulators (low trust). BDSwiss offers four different retail trading accounts namely a Classic Account, Premium Account, VIP Account, and a RAW Account.
👉 BDSwiss is an international brokerage business founded in 2012 in Zurich. Initially, it exclusively provided Forex and CFD trading. BDSwiss entered Markets swiftly and became one of the major trading organizations.
👉 BDSwiss is also a highly renowned broker, having won several accolades in recent years as the company has increased its market footprint.
👉 Being known as a provider of one of the greatest trading platform programs, as well as for their favourable trading circumstances and atmosphere, has assisted them in enhancing their reputation among investors.
👉 The broker also manages to create an exceptional teaching environment that attracts and caters to both novice and seasoned traders, offering the information you need to enhance your trading abilities on the forex market and beyond.
👉 BDSwiss recognizes and prioritizes the safety and protection of all its traders. For this purpose, they are controlled by four global agencies, some of which are regarded as top-tier regulators who apply stringent compliance processes to create the most transparent trading environment for you, the trader.
👉 In addition to the broker’s excellent regulatory environment, the protections they offer you as a trader include negative balance protection.
👉 This means you cannot lose more than you deposit, and the use of segregated bank accounts to safeguard your funds if the broker encounters serious financial difficulties.
BDSwiss At a Glance
|🏙 Kenyan Based Office||No|
|✅ Accepts Kenyan Traders?||Yes|
|🗓 Year Founded||2012|
|📞 Kenyan Office Contact Number||None|
|🤳 Social Media Platforms||• Facebook
|⚖️ Regulation||CySEC, FSC, BaFIN, FSA|
| License Number||• Cyprus – 199/13
• Mauritius – C116016172
• Germany – 10134687
• Seychelles – SD047
|⚖️ CMA Regulation||None|
|🚫 Regional Restrictions||The United States, Belgium, and other OFAC sanctioned regions|
|☪️ Islamic Account||Yes|
|💻 Demo Account||Yes|
|🛍 Retail Investor Accounts||4|
|📊 PAMM Accounts||None|
|🤝 Liquidity Providers||None indicated|
|💸 Affiliate Program||Yes|
|📲 Order Execution||Instant, Market|
|📊 Average spread||From 0.3 pips|
|📞 Margin Call||50%|
|✅ Crypto trading offered?||Yes|
|💰 Offers a Kenyan shilling Account?||No|
|👨💻 Dedicated Kenyan Account Manager?||No|
|📊 Maximum Leverage||1:1000|
|🚫 Leverage Restrictions for Kenya?||No|
|💰 Minimum Deposit (KES)||11,300 KES or an equivalent to $100|
|✅ Kenyan shilling Deposits Allowed?||No, only USD, GBP, EUR|
|📊 Active Kenyan Trader Stats||70,000+|
|👥 Active Kenyan-based BDSwiss customers||Unknown|
|💳 Kenya Daily Forex Turnover||$100 million+|
|💵 Deposit and Withdrawal Options||• Bank wire transfer
• Debit Cards
• Credit Cards
|🏦 Segregated Accounts with Kenyan Banks?||No|
|📊 Trading Platforms||• MetaTrader 4
• MetaTrader 5
• BDSwiss Mobile
• BDSwiss Web
|✔️ Tradable Assets||• Forex
|💸 Offers USD/KES currency pair?||No|
|📈 USD/KES Average Spread||N/A|
|📉 Offers Kenyan Stocks and CFDs||No|
|🗣 Languages supported on Website||English, Czech, German, Italian, Spanish, Korean, French, Norwegian, Polish, Danish, Arabic, Malaysian, Thai, Vietnamese, Filipino, Hindi, Indonesian, Chinese, Portuguese, Romanian, Turkish, Russian|
|📞 Customer Support Languages||Multilingual|
|⏰ Customer Service Hours||24/5|
|👥 Kenyan-based customer support?||No|
|✅ Bonuses and Promotions for Kenyans||None|
|📚 Education for Kenyan beginners||Yes|
|📱 Proprietary trading software||Yes|
|💰 Most Successful Kenyan Trader||Patrick Mahinge (Net Worth – Private)|
|✅ Is BDSwiss a safe broker for Kenyans?||Yes|
|📊 Rating for BDSwiss Kenya||9/10|
|🤝 Trust score for BDSwiss Kenya||78%|
|👉 Open an account||👉 Open Account|
What exactly is an Islamic Account for Traders?
👉 An Islamic, or swap-free, trading account is allowed by Islamic Sharia law. These accounts are based on the Islamic principle where interest is not applied to positions that are held open for longer than a trading day after the trading day has concluded.
👉 Islamic Accounts are provided by brokers who serve Middle Eastern clients along with clients from other jurisdictions and offer certain features that are in line with Sharia law, which prohibits the accrual of interest on funds deposited into the account.
👉 The other important feature of an Islamic Account is that transactions must be settled immediately, requiring that currencies be transferred from one account to the other right after the transaction has been completed and therefore paid for in full.
👉 Two key elements of Islamic law relate specifically to trading accounts, these elements are:
➡️ Riba, and
👉 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 type of interest is seen as both 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 a BDSwiss Islamic Account?
👉 Traders must first open a live trading account before converting their Classic, Premium, or VIP account to an Islamic Account. Account verification was required before the trader could fund and utilize their live trading account.
👉 Traders must produce Proof of Identity (POI) and Proof of Residence to authenticate their trading account (POR). Muslim Nigerian traders are also subjected to an appropriateness test along with an economic profile, which entails completing a questionnaire to determine the degree of trading experience a trader has.
What is BDSwiss’ spread costs on an Islamic Account?
👉 BDSwiss charges variable spreads, which vary according to the account type, financial instrument, and market circumstances on the trading day. Traders in Kenya can anticipate the following typical spreads:
➡️ Classic Account – 1.5 pips EUR/USD
➡️ Premium Account – 1.1 pips EUR/USD
➡️ VIP Account – 1.1 pips EUR/USD
➡️ RAW Account – 0.3 pips EUR/USD
USD 100 / 11660 KES
CySec, FSC, FSA, BaFin, NFA
MetaTrader 4 , MetaTrader 5
50 Forex Pairs and 20 Crypto Pairs
Account Activation Time
What other features does BDSwiss’ Islamic Account offer traders?
👉 Other trading features that Kenyans Muslim traders can expect from their Islamic accounts will depend on the trading account they choose. These features are as follows:
➡️ Leverage up to 1:500.
➡️ Access to more than 250 tradable instruments including shares, forex, cryptocurrencies, indices, and commodities.
➡️ Margin call at 50% and a Stop-out at 20%.
➡️ Instant Withdrawal on credit card withdrawals.
➡️ $0 commissions on deposits and credit card withdrawals.
➡️ Trading Alerts.
➡️ Access to AutoChartist.
➡️ Access to trend analysis and daily analysis.
➡️ Access to Webinars and educational materials.
BDSwiss Kenya Pros and Cons
|✔️ Pros||❌ Cons|
|BDSwiss is well-regulated and offers services to countries worldwide||There are withdrawal fees charged|
|BDSwiss provides CTrader as multi-asset third-party trading platform for Forex and CFD trading.||The BDSwiss trading platform is not offered as a desktop application|
|Traders can choose from over 250 financial instruments that can be traded using powerful trading platforms|
|BDSwiss offers MetaTrader and its own proprietary trading platforms on Web and Mobile devices|
|BDSwiss has won several awards since its inception, proving that it is a reputable and reliable trading provider|
|Demo accounts and Islamic accounts are offered|
|BDSwiss caters for both beginner and professional traders|
Verdict on BDSwiss
👉 Overall, BDSwiss is very competitive in terms of its trading fees and spreads.
Does BDSwiss have an Islamic Account?
Yes, BDSwiss offers Kenyans Muslim traders who follow Sharia law the opportunity to convert their live trading account to an Islamic Account.
Does BDSwiss allow scalping?
Yes, BDSwiss allows both scalping and hedging strategies, along with several others on the Islamic Account.
Does BDSwiss have an inactivity fee?
Yes, BDSwiss charges an inactivity fee on all accounts that go dormant.
Are there additional costs on the Islamic Account?
No, there are no holding or admin fees indicated for the BDSwiss Islamic Account.
What is the minimum deposit for the Islamic Account?
The minimum deposit will depend on the type of account that traders register, with the minimum deposits starting from 11,900 KES / 100 USD.