Amana Capital Islamic Account

Amana Capital offers an Islamic account for Muslim faith traders including a swap-free account. The Islamic forex trading environment is ideal for traders following strict sharia law with a fixed fee instead of a swap.

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Min Deposit

USD 10

Regulators

FCA, CySEC, DFSA, CMA, LFSA, FSC

Trading Platform

MT4, MT5

Crypto

Yes

Total Pairs

0

Islamic Account

Yes

Trading Fees

Low

Account Activation

24 Hours

Choose your quick section of our Amana Capital Islamic Account below.

Amana Capital Islamic Account – 10 key points quick overview:

1. Amana Capital at a glance
2. Amana Capital Islamic Account – 10 key points quick overview:
3. Amana Capital Overview
4. What exactly is an Amana Capital  Islamic Account?
5. What are the steps involved in opening an Amana Capital Islamic Account?
6. What is Amana Capital’s spread costs on an Islamic Account?
7. What other features does Amana Capital’s Islamic Account have?
8. Amana Capital Pros and Cons
9. Conclusion
10. Frequently Asked Questions

Here is our overview of the Amana Capital Islamic Account as well as the pros and cons as well as features that are offered to traders.

Amana Capital Overview

Established in Beirut in 2010, Amana Capital is a leading Forex broker which offers a diversified asset selection, extremely strong regulation, and popular trading software.

Amana Capital stands out in terms of its regulatory status, as it is licensed in several global jurisdictions by reputable organizations, including the Financial Conduct Authority (FCA) in the UK, and the Cypress Securities and Exchange Commission (CySEC) in the EEA. Amana offers Islamic traders a swap-free account with the same conditions prevalent on its other swap-rated account. Traders will have access to a wide selection of assets, including Forex, indices, precious metals, energies, commodities, share CFDs, and cryptocurrencies.

Trading of these assets is facilitated on either the MetaTrader 4 or MetaTrader 5 platforms. The MetaTrader 4 platform from Amana Capital is flexible enough to adapt to your level and trading strategy. Used by millions of traders across the world, the platform offers advanced technical analysis tools, automated trading features (Expert Advisors), as well as mobile trading applications.It also features a user-friendly interface that allows traders to view their orders, trades, and accounts, all the while keeping track of the latest market updates.

The latest version from MetaQuotes, MetaTrader 5 features an intuitive and simple interface, but it also provides greater analytical capabilities, including a wide selection of trend lines, icons, and other graphical objects. Moreover, the MT5 platform includes 12 new chart timeframes and a built-in economic calendar.

This platform also allows users to place orders, monitor the market, check their account details, copy trading, and rely on automated trading strategies. Added to this, Amana Capital also provides a range of tools and features that will suit both beginner and advanced traders. Beginner traders will enjoy the broker’s comprehensive educational offering, which consists of webinars and Forex trading manuals, and write-ups. Advanced traders will have access to an enormous selection of analytical tools, including trading signals, live prices, an economic calendar, financial calculators, live price charts, and VPS hosting.

The broker’s spreads are not the most competitive in the industry, but still provide a decent pricing model, which will suit many traders when coupled with the feature-rich trading environment, strong regulation, and excellent customer support. Accounts with Amana capital can be opened for as little as $10 (R139.59 USD/ZAR at the time of writing), and are varied in terms of their conditions, features, and offerings so that the broker has created a tailored environment that is designed to suit a range of trading interests and styles.

What exactly is an Amana Capital  Islamic Account?

To better understand Islamic forex trading, it is important to first gain an insight into the guiding principles of Islamic finance.

To this end, Islamic finance differs significantly from conventional finance in that it is guided by a set of ethics rather than by a pure profit motive. As such, two principles guide Islamic finance as below:

The first principle is a risk-sharing philosophy between the lender and borrower. According to Islamic principles, interest is unethical, as it guarantees a reward for the lender, while the borrower must incur all the risk. This, according to Islamic finance, can lead to exploitative practices.

The second principle is that financial activity must promote social and economic well-being. The purpose of finance in Islam is to promote happiness and contentment in this earthly life. Finance is just one part of life and society.

With these guiding principles, the fundamental feature of Islamic finance is to encourage socio-economic justice.  It is for this reason that interest (or riba) is prohibited. Excessive risk (or gharar) is also prohibited, as is excessive gambling or speculation.

Why is interest discouraged or prohibited by Sharia law?

Interest is any pre-agreed fee paid over and above the principal amount, whether it is a personal or commercial loan. Charging interest, according to Sharia law, or making money from money, is unlawful. The major reasons for its condemnation include:

Riba promotes negative growth. It may increase money quantitatively, but essentially, there is no primal progression in social wealth.

Riba disgraces the human spirit. It effectively promotes a culture that places undue significance on that which is monetary, while disregarding that which is human.

Riba is essentially seen as the unlawful acquisition of property.

When entrenched, Riba corrupts society.

Riba is, for all intents and purposes, unjust. While it creates money for the lender, it is extremely oppressive toward the borrower.

What are the steps involved in opening an Amana Capital Islamic Account?

Traders who wish to open an Islamic Account with Amana Capital can apply directly with the broker’s accounts department. Traders may be required to provide supporting documents to prove their religious status.

In the event that Amana detects any form of abuse, fraud, manipulation, cash-back arbitrage, or other forms of deceitful activity pertaining to a client’s Swap Free account, the company reserves the right, at any time and with immediate effect to:

Revoke the Swap Free status from all standard trading accounts; and/or

Correct and recover any un-accrued swaps or interest expenses as well as costs pertaining to any Swap Free trading account during the period for which such account was converted into Swap Free trading account; and/or

Close all trading accounts related to a client that breached applicable laws and regulations, annul all its trades with Amana, and cancel all profits or losses incurred.

What are Amana Capital’s spread costs on an Islamic Account?

The spread costs on the Islamic Account will be the same as those on the standard swap-rated accounts. As such, spreads begin at 1.4 pips for EUR/USD, 1.9 pips for GBP/USD, and 1.5 pips for cash indices such as the FTSE 100.

What other features does Amana Capital’s Islamic Account have?

When trading a Swap Free account, currency pairs held overnight will not be ‘paid or charged’ a daily swap fee. Swap Free terms are not applicable on the following:

Fees may be applied on a Swap Free trade in case trading positions are held open for more than 10 (ten) days, unless waived by Amana.

Such fees can be applied from the time the position was opened and at the sole and absolute discretion of the company without being obliged to provide any explanation or justification and applicable with immediate effect without any written notice period.

Amana Capital Pros and Cons

Conclusion

Yes, an Amana Capital Islamic account for Muslim faith traders including a swap-free account is offered. The Islamic forex trading environment is ideal for traders following strict sharia law with a fixed fee instead of a swap. The fee is not an interest and depends on the direction of the order.

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Frequently Asked Questions

How many instruments can I trade with Amana Capital?

Amana Capital offers a wide range of assets, including 54 FX pairs and a variety of popular future and cash stock indices, such as the Dow Jones and FTSE 100. Traders can also choose from over 280 US company shares, such as Facebook, Apple, and McDonald’s.

Which platforms are supported by Amana Capital?

MetaTrader 4 and MetaTrader 5.

Does Amana Capital offer leverage?

Yes. Traders within the European Economic Area can receive a maximum leverage of 1:30, while those in other regions can apply for a maximum leverage of 1:500.

What spreads can I expect with Amana Capital?

Spreads begin at 1.4 pips for EUR/USD, 1.9 pips for GBP/USD, and 1.5 pips for cash indices such as the FTSE 100.

Does Amana Capital charge commission?

Amana Capital does not charge commissions on Forex pairs, but future indices, metals, commodities, and energies come with a $10 (R139.59 USD/ZAR at the time of writing) fee per lot. For US shares, commissions are $0.02 (R0.28 USD/ZAR at the time of writing) per share.

Are there additional charges on the Islamic account?

Fees may be applied on a Swap Free trade in case trading positions are held open for more than 10 (ten) days, unless waived by Amana.

Such fees can be applied from the time the position was opened and at the sole and absolute discretion of the company without being obliged to provide any explanation or justification and applicable with immediate effect without any written notice period.

Is Amana Capital regulated?

Yes, Amana Capital is regulated in several jurisdictions by the following organizations:

• Financial Conduct Authority (FCA)
• Dubai Financial Services Authority (DFSA)
• Cyprus Securities and Exchange Commission (CySEC)
• Lebanese Capital Markets Authority (CMA)
• Labuan Financial Services Authority Malaysia (LFSA)
• Financial Services Commission Mauritius (FSC)