Yes, iFOREX does offer an Islamic account for traders, once you have created a live account you will have the option to convert your account to an Islamic account. law. These accounts are based on the Islamic principle where interest is not applicable.
iFOREX at a glance
| Broker's Name | iFOREX |
| 📍 Headquartered | Cyprus |
| 📅 Year Founded | 1996 |
| ⚖️ Regulating Authorities | FCA, CySEC, MNB, BVI FSC |
| 🌐 Countries not accepted for trade | United States and Canada |
| ☪️ Islamic account (swap-free) | No |
| 👍 Demo Account | Yes |
| 📊 Institutional Accounts | No |
| 📊 Managed Accounts | No |
| 📈 Maximum Leverage | 1:30 |
| 💰 Minimum Deposit | 100 USD (1 367 ZAR) |
| 💳 Deposit Options | Bank Wire Transfer Credit/Debit Cards Online Wallets Western Union |
| 💳 Withdrawal Options | Bank Wire Transfer Credit/Debit Cards Online Wallets Western Union |
| 💻 Platform Types | iFOREX trading platform |
| 📱 OS Compatibility | Web and mobile (iOS, Android) |
| 📈 Tradable assets offered | Forex Commodities Indices Shares Stock Derivatives ETFs Cryptocurrencies |
| 👨💼 Languages supported on Website | English, Russian, Spanish, Thai, Chinese, Japanese, and several others |
| 👥 Customer Support Languages | Multilingual |
| 📆 Customer Service Hours | 24/5 |
Min Deposit
USD 100
Regulators
BVI FSC
Trading Platform
Proprietary Platform
Crypto
Yes
Total Pairs
50+
Islamic Account
No
Trading Fees
Low
Account Activation
24 Hours
iFOREX Islamic account – 9 key points quick overview:
- ✔️iFOREX Islamic Account Overview
- ✔️What exactly is an Islamic Account?
- ✔️Which financial activities are restricted and prohibited by Sharia law?
- What are the steps involved in opening an iFOREX Islamic Account?
- What is iFOREX’s spread costs on an Islamic Account?
- What other features does iFOREX’s Islamic Account have?
- iFOREX Customer Reviews
- Conclusion
- FAQ’s
iFOREX Islamic Account Overview
Established in 1996, iFOREX is a CFD and forex broker that is headquartered in Cyprus with several subsidiaries based in the UK, Hungary, and the British Virgin Islands. Each of these subsidiaries is regulated by an entity in their respective jurisdiction as follows:
️ Formula Investment House Ltd. – based in the British Virgin Islands with regulation through BVI FSC.
️ Black Pearl Securities Limited which is based in the UK with regulation through the FCA along with membership with FSCS, provides eligible clients with compensation of up to 20 000 GBP.
️ iFOREX which is a European subsidiary based in Cyprus with respective regulations through CySEC and membership with the ICF, provides eligible clients with compensation of up to 20 000 EUR in the case of bankruptcy or insolvency of the brokerage.
️ eBrókerház Befektetési Szolgáltató Zrt is based in Hungary and is overseen by the National Bank of Hungary (MNB)
iFOREX is known for offering comprehensive trading solutions to traders from around the world. All traders are welcome to trade with iFOREX except those who reside in the United States and Canada.
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 which 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 offers 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 on 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 the Islamic law that relate specifically to trading accounts, these elements are:
️ Riba
️ 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 the Sharia law. This type of interest is seen as both unjust and exploitive gains pertaining to trade or business.
Which financial activities are restricted and prohibited by Sharia law?
Due to the restrictions and certain prohibitions placed on Muslim traders when considering the intricate details involved with trading activities, the following is affected greatly:
️ Overnight rollovers – which involve the incurrence or receiving of swap points on positions that are held open for longer after the trading day has concluded at the New York close at 5 PM EST which is prohibited by the Sharia law.
️ Margin deposits and interest – which involves the accrual of interest on funds which are deposited into the trading account, which is prohibited.
️ Loans – when followers of the Sharia law have funds transferred by either a bank or other financial institution and it involves interest terms, this is prohibited by the Sharia law as per the key element, Riba.
️ Trading on margin – stocks that are traded on margin result in the trader being liable for paying interest, which amounts to Riba, as money is borrowed from the broker to buy or sell such equities, and which is prohibited by the Sharia law.
️ Short sales – which affects mostly shares and involves borrowing and subsequent sale of an asset, which is prohibited.
️ Forward sales – which affects forward contracts as well as the trading of futures contracts which involves the buying and selling of contracts at a future date according to a price agreed upon on the day of entering such a contract.
What are the steps involved in opening an iFOREX Islamic Account?
To convert a live trading account into that of an Islamic Account, traders must first register for a live account. Once their account has been verified and approved, they can contact customer support. A support agent will guide the trader through the application process for an Islamic Account and they will also verify the status of the trader as a Muslim.
Step 1 – Log in to your iForex account
Traders should log in to their iFOREX account and open up the dashboard.
Step 2 – Contact support
Contact iFOREX customer service to start the process of converting your live account to an Islamic account.
Traders must note that Islamic Accounts are not granted to any other traders other than those who follow the Sharia law.
What is iFOREX’s spread costs on an Islamic Account?
The spreads that traders can expect when they trade with iForex will depend on the financial instrument that they trade. The spreads that iFOREX charges typically start from 1.8 pips EUR/USD.
What other features does iFOREX’s Islamic Account have?
The features that traders can expect from their iFOREX Islamic Account will depend on the type of account that they convert. Some typical features that traders can expect include the following:
- A minimum deposit of 100 USD (1 367 ZAR)
- Variable Spreads
- The option for commission-free trading
- Access to a powerful proprietary trading platform
- Access to an array of reliable deposit/withdrawal methods
- Access to dedicated customer support
- Access to a variety of trading tools and education
- The benefit of negative balance protection
- Maximum leverage up to 1:30 as a result of strict regulations and requirements.
- A typical margin of 0.00018 on EUR/USD and an increased margin of 0.25%.
There is no indication given that Islamic Account users will be subjected to additional charges to offset the absence of overnight swaps. Before registering for a live trading account, traders are urged to verify this with iFOREX customer support.
iFOREX Customer Reviews
I am a kind of autodidact
I am a kind of autodidact. I mean, if haven’t had iFOREX learning center, I think I would be OK anyway. However, iFOREX’s education section is so mind-opening that I had to dive into it. They have taken financial education to the next level.
A wide array of choices
A wide array of choices is the name of the game in iFOREX. They have a great variety of assets for traders to select from, a large library of top educational material, and plenty of paying methods. iFOREX has all the options for trading that I can bring to mind – making it truly the best choice for me.
Honestly
Honestly, going through iFOREX’s education center is, I believe, a must for any trader. It is thorough and detailed, giving me all that I truly need to improve my CFD game. Highly professional and recommended to all!
Conclusion
Overall, iFOREX does offer an Islamic Account but traders need to open a live account to convert their live account to an Islamic account. iForex is a well-regulated broker that offers comprehensive trading conditions despite the lack of trading and broker bonuses.
Min Deposit
USD 100
Regulators
BVI FSC
Trading Platform
Proprietary Platform
Crypto
Yes
Total Pairs
50+
Islamic Account
No
Trading Fees
Low
Account Activation
24 Hours
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FAQ’s
TRADING ENVIRONMENT
How many instruments can I trade with iFOREX?
You can trade more than 800 financial instruments spread across these asset classes:
- Forex
- Commodities
- Indices
- Shares
- Stock Derivatives
- ETFs
- Cryptocurrencies
Which platforms are supported by iFOREX?
iFOREX provides their own proprietary platform that can be accessed either through web browsers or mobile applications (Android or iOS).
Does iFOREX offer leverage?
iForex indicates that it only offers leverage up to a maximum of 1:30.
What spreads can I expect with iFOREX?
The spreads that you can expect with iFOREX start from 1.8 pips on EUR/USD.
Does iFOREX charge commission?
No, iFOREX does not charge any commissions on trades.
Are there additional charges on the Islamic account?
No, there are no additional charges indicated for the Islamic Account.
Is iFOREX regulated?
Yes, iFOREX and its subsidiaries are regulated.
- Formula Investment House Ltd. – based in the British Virgin Islands with regulation through BVI FSC.
- Black Pearl Securities Limited which is based in the UK with regulation through the FCA.
- iFOREX which is the European subsidiary based in Cyprus with respective regulation through CySEC.
- eBrókerház Befektetési Szolgáltató Zrt is overseen by the National Bank of Hungary (MNB)
Is iFOREX a recommended forex trading broker for experts and beginners?
Yes, iFOREX is an ideal option for both beginners and expert traders.
What is the overall rating out of 10 for iFOREX?
4/10.
ACCOUNTS
What is the difference between a demo and live trading account?
A demo account is obtainable by broker companies and funded with virtual currency that enables a potential client to experiment with the company’s trading platforms and its features, before setting up a real account funded with the customer’s actual money.
Does iFOREX offer a demo account?
Yes, iFOREX offers a demo account.
For how long is the demo account valid?
There is no indication that the demo account expires after a certain time.
Does iFOREX offer the option of an Islamic Account?
Yes, iFOREX offers an Islamic Account option.
Which live trading accounts does iFOREX offer?
- Standard Mini Account
- VIP Account
What are the available deposit currencies for a live trading account?
USD and EUR.
DEPOSITS AND WITHDRAWALS
What is the minimum deposit for iFOREX?
100 USD (1 367 ZAR).
How do I make a deposit and withdrawal with iFOREX?
- Bank Wire Transfer
- Credit/Debit Cards
- Online Wallets
- Western Union
Does iFOREX charge withdrawal fees?
Yes, iForex charges withdrawal fees of up to 20 USD (273 ZAR) on Bank Wire Transfer.
How long does it take to make a withdrawal?
This will depend on the withdrawal method that the trader uses. Some methods may reflect instantly whereas others may take several business days to reflect.
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