ForexBrokersAZ.com

Islamic Forex Brokers

Forex trading can be challenging for religion-abiding Muslims. However, solutions exist to trade currencies in a way that is ḥalāl. Compare the top 5 brokers with Islamic Forex accounts.

Flexible leverage ?Commission / lot ?Minimum deposit ? 
FxPro

FxPro
MT4 Fixed - Instant Exec.

1.6 pips
1:500
$0$500
Risk warning ?
FxPro

FxPro
FxPro cTrader

0.3 pips
1:500
$9$500
Risk warning ?
FxPro

FxPro
MT4 Floating - Instant Exec.

1.4 pips
1:500
$0$500
Risk warning ?
FxPro

FxPro
MT5 Floating - Market Exec.

1.4 pips
1:500
$0$500
Risk warning ?
FxPro

FxPro
MT4 Floating - Market Exec.

1.2 pips
1:500
$0$500
Risk warning ?
AvaTrade

AvaTrade
Islamic Account

1.9 pips
1:200
$0$250
Risk warning ?
AvaTrade

AvaTrade
Retail Account

1.3 pips
1:30
$0$250
Risk warning ?
AvaTrade

AvaTrade
Pro Account

1.3 pips
1:400
$0$250
Risk warning ?
OctaFX

OctaFX
Micro Account - MT4

1.1 pips
1:500
$0$100
OctaFX

OctaFX
ECN Account - cTrader

0.7 pips
1:500
$NA$100
OctaFX

OctaFX
Pro Account - MT5

0.5 pips
1:200
$0$500
FP Markets

FP Markets
Standard ECN Account (MT4)

1.45 pips
1:500
$0$100
FP Markets

FP Markets
ECN Raw Account (MT4)

0.45 pips
1:500
$3.5$100
FP Markets

FP Markets
Standard ECN Account (MT5)

1.45 pips
1:500
$3.5$100
FP Markets

FP Markets
ECN Raw Account (MT5)

0.45 pips
1:500
$3.5$100
LiteForex

LiteForex
Classic Account

2.2 pips
1:500
$0$50
Risk warning ?
LiteForex

LiteForex
ECN Account

0.4 pips
1:500
$10$50
Risk warning ?
FXPRIMUS

FXPRIMUS
Variable Spreads [EU]

1.6 pips
1:30
$0$100
Risk warning ?
FXPRIMUS

FXPRIMUS
ECN Premier [EU]

0.3 pips
1:30
$10$500
Risk warning ?
FXPRIMUS

FXPRIMUS
Variable Spreads [Vanuatu]

0.3 pips
1:30
$0$100
Risk warning ?
FXPRIMUS

FXPRIMUS
ECN Premier [Vanuatu]

0.3 pips
1:1000
$10$500
Risk warning ?
     

Forex trading and the Sharia

Traditional Forex trading can pose problems for religion-abiding Muslims because it often involves interest. Your Forex broker could charge interest if you borrow to open a position. And if you keep your position open overnight, you could stand to receive or pay interest depending on the prevailing interest rates.

It is possible to trade currencies without incurring interest: 1) invest no more than you can afford and 2) remember to close any open positions by 5pm New York time. However, this is likely to reduce how much you can afford to invest and may not be an option if 5pm New York time (10 pm UTC/GMT) is in the middle of your night time.

Benefits of an Islamic broker

Instead, you could open an account with a Sharia-compliant broker Forex broker to enjoy interest-free leverage and avoid interest on rollovers.

  • Interest-free leverage. Islamic Forex brokers will provide interest-free leverage. In other words, you can borrow entirely free of charge.
  • No rollover interest.With an Islamic Forex account, your open positions will be closed by 5pm New York time to avoid rollover interest. You can them re-open them immediately after that. Some brokers will open them on your behalf free of charge.

Are there any disadvantages?

If you're a non-Muslim thinking of opening an Islamic account simply to avoid interest, think again. Most brokers will ask that you provide evidence of your faith if you request a Sharia compliant account. They could close your account altogether if they have grounds to believe you are trying to game the system.

Interest-free doesn't necessarily mean you'll be at an advantage, as some brokers will look for alternative sources of revenue if they cannot charge interest. This is why Islamic accounts can have marginally wider spreads than conventional accounts. Other brokers may require higher minimum deposits.

However, this isn't always the case. easyMarkets offers Forex and commodity trading accounts in Islamic format to all clients of Muslim faith. In addition, you can keep your open positions overnight for up to 14 days at no additional cost. Others, such as HF Markets (EU) tend to apply a carry charge after 7 days.

How to open an Islamic account

Our comparison table shows popular Forex brokers with Islamic accounts.

  • Some brokers such as easyMarkets or HotForex have dedicated Islamic accounts, in which case signing up is straight forward.
  • Finally, others such as AvaTrade.com can convert a conventional Forex account into a Sharia compliant account on request. You'll need to speak to your account manager to make that happen before placing your first trade.

FxPro

Trade 70+ currency pairs, spot indices, energies, metals and shares on fixed spreads with instant ... More

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FP Markets

Trade over 50 pairs of currencies as well as CFDs on metals, indices and commodities through MT4 ... More

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AvaTrade

Trade 55 currency pairs on fixed spreads, plus CFDs on crypto-currencies, stocks, indices, bonds and... More

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Risk warning ?

Plus500

Trade online with an interest-free Islamic account. This account has no rollover charges (swap fees... More

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Risk warning ?