South African Forex Brokers With Deposit Bonus
Many South African traders are looking for ways to trade with more capital than they own. To meet the needs of traders, various South African forex brokers offer deposit bonuses to boost the initial capital of traders. What is a deposit bonus, you ask? Well, this article explores what the deposit bonus entails. We will also go a step further and tell you some of the brokers in South Africa that offer deposit bonuses.
Understanding Deposit Bonus
A deposit bonus is a promotional offer that a brokerage firm gives new clients. The bonus is meant to entice traders to open accounts with the forex broker. Usually, the firms give the bonus on the first deposit only. However, some firms operating in South Africa offer the bonus on various other occasions when their traders make a new deposit. The latter is referred to as a reload bonus. The bonus can be either a fixed amount or a percentage of the initial deposit. Perhaps the biggest advantage of the deposit bonus is that it boosts client’s capital and allows them to open bigger positions.
How to Get a Deposit Bonus
The requirements for getting a forex deposit bonus varies depending on the specific brokerage firm. Generally, you need to sign up using your email and telephone number. You might also need to verify your identity by uploading your identification documents such as your passport or ID. Once you have opened a new account, you need to make an initial deposit. You will receive the deposit bonus typically within 24 hours. Some South African brokers offer the bonus instantaneously.
Forex Brokers Who Offer Deposit Bonus
XM offers traders from South Africa a deposit bonus that has two tiers. The first tier is a 50% bonus on deposits up to $1,000 (or when a trader receives up to $500). The second tier is a 20% bonus applied to any deposit above $1,000 up to $23,500. In case a trader deposits more than $1,000, they will receive a bonus of 50% on the first $1,000. Anything above that receives a bonus of 20% up to a total of $23,500 (or when a trader receives a total of $5,000 in bonus). This deposit bonus only applies to the Standard account, the Micro account, and the Shares account. It is not available on the XM Ultra Low account.
Remarkably, there are over 1,000 different market instruments to invest in on the XM trading site. XM gives its investors access to various global markets such as forex, indices, stocks, cryptocurrencies, energies, and precious metals. The trading platforms available to trade these instruments are some of the best in the market including the MT4 and MT5. Better yet, XM offers traders some of the lowest spreads when trading. The spreads are as low as 0.6 pips on the standard and the micro account that can receive this bonus promotion.
AvaTrade has a welcome bonus of 20%. To get the deposit bonus you have to make a minimum deposit of $200. In fact, the platform has an embedded calculator that shows you the amount of bonus you will get for each deposit. The maximum deposit bonus is $2000 for a $10000 deposit. For an amount higher than that you should contact the account manager.
AvaTrade deposit bonus is available only to new clients and is credited to your trading account once you finish your deposit and get your identification documents submitted and verified. To withdraw the deposit you are required to execute a minimum trading volume of 10,000 base currency for every 1 base currency bonus within 6 months.
Things to Consider Before You Apply for Deposit Bonus
Numerous forex brokers offer deposit bonuses, but should the deposit amount be the deciding factor when choosing the right south african forex broker? I say no, there are more important aspects you need to consider. For that reason, I have prepared a list of some of the most important aspects you should consider when opening a new brokerage account at any South African forex broker.
Other Popular Forex Brokers Who Offer Deposit Bonus
Regulation: FSCA, FSC, FCA, KNF, CySEC
Spreads: as low as 0.5 pips
Max. leverage: 1:500, Forex pairs: 57
Min. deposit: 1$
XTB offers a 50% bonus on the first deposit. However, you should trade minimum lots equal to 15% of the first deposit amount within 60 days. To qualify for the welcome bonus, you should deposit more than $100.
Trading Forex and CFDs entail risk. Your capital is at risk.
Commision fees: As low as 0.011 %
Max. leverage: 1:999, Forex pairs: 51
Min. deposit: 100$
Libertex offers a 100% deposit bonus on the first deposit. Traders can redeem the welcome bonus after depositing a minimum of $100 with a maximum bonus amount capped at $10 000. Everyday at 21:00 UTC, Libertex converts 10% of the trading commissions you paid when trading into real money. The maximum amount you can get from the commissions equals to 2% percent of the trading amount. Once this money is converted to real money you can withdraw it or do anything you please. You have 90 days to convert the whole bonus into real money.
Trading Forex and CFDs entail risk. Your capital is at risk.
Some brokers offer fixed amounts for opening an account and making an initial deposit. For instance, you can receive about $100 after making the initial deposit. Alternatively, the broker may offer a percentage of the initial bonus. For instance, you may receive a 20% deposit bonus after making a deposit.It is worth noting that brokers put caps on the percentage you can receive. For instance, if the bonus is limited at $5000, and you want to deposit $10000, you will receive a bonus based on the $5000 cap. However, your initial capital deposit will remain unchanged.
Most forex brokers offer deposit bonuses only to new clients. Therefore, you will not receive a deposit bonus for subsequent deposits if you choose to stick with the broker. That said, some brokers understand that clients need to be rewarded every time they make a deposit. For this reason, they have reloaded bonuses. Therefore, they offer bonuses to clients every time they make a deposit. These reload bonuses are usually lower than the ordinary bonuses you receive with your first deposit. Unlike no deposit bonuses, with deposit bonuses you always have to make a deposit to get the bonus.
A deposit bonus is a special offer that traders receive after depositing funds in their trading account. However, you have to fulfill several conditions before the bonus can become available for withdrawal. Nevertheless, the bonus boosts the trader’s account, protects their account from massive drawdowns and enables you to trade with larger positions. You should, however, ensure the other factors such as whether spreads and trading commissions are favorable before opting for a deposit bonus.