Islamic Accounts
FXPortugal offers swap-free accounts exclusively for traders of the Islamic faith with no rollover interest on overnight positions following the Islamic faith. Enjoy smooth and easy trading with our Islamic trading account at FXPortugal.
Islamic Trading Account
Clients who honour the Quran and intend to invest in the Islamic stock market can go for an Islamic trading account often known as a swap-free account, following Islamic finance principles. Islamic trading accounts vary from standard Forex accounts in many respects. Provided that the Sharia law forbids debt accumulation, traders with Islamic accounts do not pay or earn interest rates. Moreover, transactions in Islamic finance-based accounts must be conducted without postponement, so that currencies must be instantaneously transferred from one account to another, and transaction costs must also be compensated at the same time.
Micro, Premium, Auto and Zero Spread are the account types accessible as Islamic. Islamic trading conditions mimic trading account type conditions but do not suffer swap or rollover fees for holding positions overnight.FXPortugal Islamic accounts vary a lot from those offered by other forex traders. The distinction is that unlike other forex companies, who cover additional fees by extending the spread on Islamic accounts, FXPortugal enforces zero additional charges.
FXPortugal is dedicated to offering its clients the highest terms for trading. Our Islamic accounts offer cutting edge trading facilities and fast execution that allow our traders to maintain a competitive advantages.
Account Details | |
|---|---|
Trading Platform: | MetaTrader 5 |
Spreads: | From 1 pip |
Trading Instruments: | All Available (Click here to view full list) |
Fifth Decimal: | ✓ |
Execution: | Market Execution |
Telephone Trading: | ✓ |
Account Currency: | USD, EUR, NGN |
Open an Islamic Account with us today!
What is a Swap?
Leaving foreign-exchange positions open for longer than 24 hours creates values for extra payments, called swap. Swap is a type of interest, a fee for the service you are being provided by the broker, it creates a Sharia law major issue for Muslim traders, which prohibits specific financial transactions, mainly those that accumulate interest. Brokers are offering their Islamic finance investors an ‘Islamic account’ to solve this issue. This type of account is like a normal one, with one main difference; it is not entitled to any extra fees or interest, which is in line with Sharia law’s financial values. The Sharia law states the investor will share in the burden of the borrower. In non-Islamic accounts, the risk is the lender’s sole responsibility. That is oppressive and highly inefficient in Islamic eyes.
Benefits of Islamic trading account
No swap commissions are the key difference between Islamic accounts and basic accounts, and this can be a particularly important benefit. Due to swap commissions, you can open long-term positions without running the risk of reducing the profits.
The second major benefit is that the trader will be able to access positions in currency pairs, where swap costs are usually extremely high particularly in exotic pairs.