DomusFX Islamic Account

Yes, a DomusFX Islamic account is offered 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 swap. The fee is not an interest and depends on the direction of the order.

An DomusFX Islamic Account is offered to Islamic Forex traders who trade according to Islamic Finance principles.

Choose your quick section of our DomusFX Islamic Account below.

Our DomusFX Islamic Account Revealed:

• ✔️DomusFX at a glance
• ✔️Overview
• ✔️What exactly is an Islamic Account?
• Why is interest discouraged or prohibited by Sharia law?
• What are the steps involved in opening a DomusFX Islamic Account?
• What is Domus FX’s spread costs on an Islamic Account?
• What other features does Domus FX’s Islamic Account have?
• Pros and Cons

Here is our overview of the DomusFX Islamic Account as well as the features that are offered, for Islamic traders.

Overview

DomusFX is an STP broker which is based in the Marshall Islands, offering access to a range of financial markets by offering the trade in these asset classes:

• Forex
• Metals
• Energies
• Indices
• Cryptocurrencies

DomusFX offers traders three dynamic account types namely a Standard, Premium, and VIP Account that they can use in conjunction with competitive trading conditions. Each of these accounts offers unique features that cater to the differing needs, objectives, and experiences of different traders.

With Domus FX, Muslim traders have the advantage that they can convert either of the three live trading accounts into an Islamic Account. With the Islamic Account, Muslim traders are exempted from overnight fees which are prohibited by Sharia law.

What exactly is an Islamic Account?

An Islamic, or swap-free, trading account is one that 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 the 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.

There are two key elements of Islamic law that relate specifically to trading accounts, these elements are:

• Riba, and
• Gharar

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 pertaining to trade or business.

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 towards the borrower

What are the steps involved in opening a DomusFX Islamic Account?

To register for DomusFX Islamic Accounts, traders must first complete the process involved with registering a Standard, Premium, or VIP live trading account. Once traders have completed the account application, they will be subjected to the “Know Your Client” process.

The KYC process, as it is more commonly known, involves traders providing proof of their identity and residential address as part of the anti-money laundering policies that DomusFX uses. Once traders have verified their identity, they can proceed to convert their live trading account.

Traders can contact the DomusFX customer support team to start this process. Traders who apply to convert their normal live trading account to an Islamic Account must note that DomusFX reserves the right to revoke access to the account.

In addition, DomusFX can cancel the Islamic Account if there is any suspicious activity or if the account is being misused or abused.

What are Domus FX’s spread costs on an Islamic Account?

Typical spreads that traders can expect from DomusFX will depend on the account type they use, the financial instrument they trade, and the market conditions on the day of trading. DomusFX has variable spreads which are charged as follows:

• Standard Account – 1.2 pips EUR/USD
• Premium Account – 1.0 pip EUR/USD
• VIP Account – 0.8 pips EUR/USD

What other features does Domus FX’s Islamic Account have?

Each account type that DomusFX offers for conversion to an Islamic Account has features that set it apart. However, despite this, there are some typical features that traders can expect. These include the following:

• Variable spreads
• Access to a wide range of tradable financial instruments
• Minimum trading sizes that start form 0.01 lots
• Minimum deposit from 50 USD (713 ZAR) up to 10 000 USD (142 686 ZAR)
• The contract size of 100,000
• Access to fifth decimal pricing
• Leverage of between 1:200 and 1:500
• Access to market execution
• EUR, USD, or GBP as the account currency
• Commissions that are charged on indices
• 50% margin offered on hedged positions
• Triple swaps which are applied on Wednesdays on non-Islamic Account

For more information on the Islamic Account and the comprehensive terms and conditions that traders can expect, traders can contact the DomusFX customer support. There is truly little information provided on the website and it is unclear whether Muslim traders are subjected to additional charges on the Islamic Account.

Pros and Cons

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FAQ

Trading environment

How many instruments can I trade with DomusFX?

You can trade any of the following instruments:

• Forex
• Metals
• Energies
• Indices
• Cryptocurrencies

Which platforms are supported by DomusFX?

DomusFX only supports the use of MetaTrader 4 on the following:

• Web browsers
• Desktop (Linux, MacOS, Windows)
• Mobile (Android, iOS)

Does DomusFX offer leverage?

Yes, DomusFX offers leverage up to a maximum of 1:500.

What spreads can I expect with DomusFX?

You can expect the following spreads according to the trading account you choose:

• Standard Account – 1.2 pips EUR/USD
• Premium Account – 1.0 pip EUR/USD
• VIP Account – 0.8 pips EUR/USD

Does DomusFX charge commission?

Yes. According to the official website, commissions are charged on indices. The amount that traders can expect is not provided.

Are there additional charges on the Islamic account?

There is no indication of whether additional charges are applied on the Islamic Account.

Is DomusFX regulated and by whom?

No, DomusFX is not regulated.

Is DomusFX a recommended forex trading broker for experts and beginners?

No, DomusFX is not a recommended forex trading broker due to the lack of regulation.

What is the overall rating out of 10 for DomusFX?

3/10.

Accounts

What is the difference between a demo and live trading account?

A demo account is a practice account that can be used by both beginner and professional traders. Beginners can use a demo account to practice their trading while more advanced traders can use it to test their trading strategies.

Alternatively, traders can also use a demo account to explore what a broker has to offer. Demo accounts are known for the risk-free environment that they offer along with the virtual funds which are used to trade.

Does DomusFX offer a demo account?

Yes, DomusFX offers a demo account.

How long is the demo account valid?

30 days.

Which live trading accounts does DomusFX offer?

• Standard Account
• Premium Account
• VIP Account

Does DomusFX offer an Islamic Account?

Yes, DomusFX offers traders the option of converting any of the three live trading accounts.

What are the available deposit currencies for a live trading account?

• EUR
• USD
• GBP

Deposits and withdrawals

What is the minimum deposit required to open an account with DomusFX?

50 USD (713 ZAR).

How do you make a deposit and withdraw money with DomusFX?

• Credit/Debit Cards
• Bank Wire Transfer
• Crypto Wallet
• Neteller
• Skrill

Does DomusFX charge withdrawal fees?

No, DomusFX does not charge any commissions or fees on withdrawals.

How long does it take to make a withdrawal?

This will depend on the payment method used. Credit/Debit card withdrawals are processed immediately whereas bank wire transfers take up to five business days.