Yes, a LiteForex 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.
LiteForex at a glance
| 🔍 Brokers name | LiteForex |
| 🏛 Headquarters | Majuro, Marshall Islands |
| 📅 Years founded | 2005 |
| 📝 Regulating authorities | Only regulated in accordance with Marshall Islands Business Corporation Act. (63888) |
| 🌍 Countries not accepted for trade | United States, Japan, Israel, Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, United Kingdom |
| 📒 Demo account | Yes |
| Islamic account | Yes |
| 💻 Institutional account | Yes |
| 🤝 Managed account | No |
| 📊 Maximum leverage | 1:500 |
| 💳 Minimum Deposit | $50 or currency equivalent |
| 💳 Deposit options & Withdrawal options | Credit/debit card (Visa & Mastercard), Bank transfer, WebMoney, CentrePay, Neteller, Skrill, Alipay, Yandex, and Dengi. |
| 📊 Platform(s) provided | MT4 and MT5 |
| 📲 OS Compatibility | Mac, Windows, Linux, Web, Mobile Android, iPhone, iPad Tradable assets offered Currency – FX trading is available 24/5 on major, minor, and exotic pairs |
| 🌐 Languages supported | Arabic, Russian, Malay, Português, Español, Français, Thai, Simplified Chinese, Armenian, Hindi, Bengali, Japanese, Korean, Turkish, Azerbaycanca, Oʻzbekcha, Jazasha, Persian, Georgian, Myanmar, Swahili, Indonesian and Vietnamese |
| ☎ Customer service hours | 24 hours, five days a week |
| 📌 Open an account | 👉 Click Here |
|---|
Min Deposit
USD 50
Regulators
CySEC
Trading Platform
MT4, MT5
Crypto
Yes
Total Pairs
0
Islamic Account
Yes
Trading Fees
Low
Account Activation
24 Hours
LiteForex Islamic Account Revealed – A Key 11 Point Quick Overview
- ✅LiteForex at a glance
- ✅LiteForex Overview
- ✅What exactly is an Islamic Account?
- ✅Which financial activities are restricted and prohibited by Sharia law?
- What are the steps involved in opening a LiteForex Islamic Account?
- What are LiteForex’s spread costs on an Islamic Account?
- What other features does LiteForex’s Islamic Account have?
- LiteForex Pros and Cons
- LiteForex Customer Reviews
- Conclusion
- Frequently Aked Questions
LiteForex Overview
LiteForex Investments Limited is an established online ECN CFD and forex broker that allows clients to trade on the MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms using multiple deposit and withdrawal methods.LiteForex Investments Limited has a variety of tools to facilitate successful trading including an economic calendar, a world market news blog, and both a margin and Fibonacci calculator, all accessible via the homepage.
LiteForex Investments Limited was founded in 2005 and has headquarters in the Marshall Islands. The group boasts more than 500 000 clients worldwide with offices in the Philippines, Kenya, Myanmar, Tanzania, Ghana, Nicaragua, India, Indonesia, Vietnam, Iran, and a recently opened office in Lagos, Nigeria. LiteForex (Europe) Ltd operates as a separate broker offering trading services to clients from Europe.
LiteForex provides traders access to Tier-1 liquidity in Forex, commodities, and stock markets, allowing traders access to various financial instruments such as major FX pairs along with cross rates, oil, precious metals, and various others.
LiteForex says it uses only the most advanced technology to ensure that traders operate in a safe and user-friendly environment on the best trading platforms and with high-speed executions. LiteForex’s offering also includes low floating spreads, market execution void of requotes, and professional assistance.
What exactly is an Islamic Account?
Islamic accounts, known as swap-free accounts, are compliant with Sharia law because there is no swap or rollover interest on overnight positions, which is against the Muslim faith. Muslim clients can benefit from these same trading conditions and terms as regular trading account types, with the only difference having no swaps on trading instruments.
A handling charge may however apply. An Islamic Account may be a standalone account or an account option offered on regular accounts. Islamic Accounts are often provided by brokers who serve Middle Eastern clients and offer features that are in line with Sharia law, which prohibits the accrual of interest on funds deposited into the account.
| ☪️️ Features: | Swap Free |
| No overnight fees | |
Sharia law compliant |
Another 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 Islamic law that relate specifically to trading accounts, namely Riba and Gharar. Riba is a concept that refers to increasing or exceeding growth, which forbids interest credited from loans or deposits. Gharar is an Arabic word associated with uncertainty, deception, and risk, which in modern finance include futures and options contracts, which have dates of delivery in the future.
Which financial activities are restricted and prohibited by Sharia law?
Due to the restrictions and prohibitions on Muslim traders when considering the intricate details involved with trading activities, the following may be affected or prohibited:
☪️️ Overnight rollovers, because it involves the receiving of swap points on positions that are held open for longer after the trading day has concluded at the New York close at 17:00 EST, as is prohibited by the Sharia law.
☪️️Margin deposits and interest, because it involves the accrual of interest on funds that are deposited into the trading account, which is prohibited.
☪️️ Loans are prohibited by Sharia law as per the element of Riba. Followers of the Sharia law is prohibited from having funds transferred by either a bank or other financial institution and involving interest.
☪️️ Trading on margin results in a trader is liable for paying interest, which also amounts to Riba and is prohibited by Sharia law, as money is borrowed from the broker to buy or sell such equities.
☪️️ Short sales, which affect mostly shares and involve borrowing and subsequent sale of an asset, is prohibited.
☪️️ Forward sales are affected. The trading of futures contracts 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 a LiteForex Islamic Account?
Traders who are eligible for an Islamic Account must probably complete the live account application and then state that they want to apply for the Islamic option. LiteForex may also require certain additional documents, apart from proof of identity and residential address, before approving an application for an Islamic account.
How to open a LiteForex Islamic account:
- Step 1 – Navigate to the LiteForex website
The first step in registering for a LiTeForex account involves traders navigating to the LiteForex website, and clicking on “Register” to proceed.
- Step 2 – Fill out the LiteForex registration
The third step in the registration process requires traders to fill in their: email address, phone number, and password.
- Step 3 – Access the LiteForex trading dashboard and verify your email address.
Traders will now gain access to the Liteforex trading dashboard where they can verify their personal information in order to start trading.
- Step 4 – Contact the LiteForex support team for the Islamic account application.
What are LiteForex’s spread costs on an Islamic Account?
To make up for money lost by not charging overnight fees, a broker like LiteForex usually charges extra fees on Islamic accounts – either in administration fees, wider spreads, or additional commissions. New Islamic traders should contact the broker’s customer service team to enquire about any special conditions or extra fees before joining, because it is often overlooked or not clearly indicated on the account features pages.
What other features does LiteForex’s Islamic Account have?
When making use of the LiteForex Islamic account, traders can expect key features like the following:
| Interest is not charged on contracts which are held for more than 24-hours. |
| Accounts are activated with a required minimum deposit. |
| Some specific restrictions and limits may apply to the Islamic Account. |
LiteForex Pros and Cons
| ✔ PROS | ❌ CONS |
| Copy trade services available | MT5 not available on ECN account |
| Good variety of assets and trading tools | Not regulated by a reputable authority |
| Islamic Account can be opened | Offshore broker |
LiteForex Customer Reviews
I registered 2 weeks ago, immediately after the server crashed for a period of 1 week, yesterday I requested the transfer via skrill and today I received them…- Claudre
This is Good broker for investing
This is Good broker for investing. I have trade gold , oil, and many product – Brian Brit
They have questionable spreads and it all looked nice at first till I put a big chunk in and I have been having issues with my account. After a while of research, found future said website and I was able to get back all I put in from LiteForex through them.
They can be very sweet and tricky and that’s very bad. – Gina
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Min Deposit
USD 50
Regulators
CySEC
Trading Platform
MT4, MT5
Crypto
Yes
Total Pairs
0
Islamic Account
Yes
Trading Fees
Low
Account Activation
24 Hours
Conclusion
LiteForex is a broker that caters not only to expert traders but also to beginner traders through its provision of a variety of educational tools and materials. Although there are only two account options, both cater to all levels of trader experience. The offering is competitive with tight spreads and reasonable commissions along with an exceptionally low minimum deposit of $50 or currency equivalent.
In addition, LiteForex offers a safe and secure trading environment and advanced trading platforms which add substantially to the trader’s experience. In addition, the Social Trading option is one that makes LiteForex extremely unique and sets it apart from its peers, along with being one of few brokers to provide analysis from the third-party firm, Claws & Horns.
Unfortunately, the asset list of instruments that traders can use is limited when compared to other brokers, and this is something that needs to be addressed.
Frequently Asked Questions
How many instruments can I trade with LiteForex?
You can trade several different instruments with LiteForex, which include the following:
- Currency – FX trading is available on major, minor, and exotic pairs
- Commodities – Trade gold and oil with consistent liquidity
- Global stock indexes – Trade CFDs on major global indices, including the US30 (Dow Jones)
- Cryptocurrency – Popular crypto pairs, including Bitcoin, provide an alternative to traditional markets
Which platforms are supported by LiteForex?
LiteForex provides the following popular trading platforms:
- MT4
- MT5
Does LiteForex offer leverage?
Yes, LiteForex offers maximum leverage of up to 1: 500.
What spreads can I expect with LiteForex Islamic account?
LiteForex offers spreads from 0.0 pip.
Are there additional charges on the LiteForex Islamic account?
LiteForex does offer an Islamic Account. Some brokers charge extra fees on Islamic accounts – are either in wider spreads, additional commissions, or administration fees to make up for money that they lose with not charging overnight fees.
New Islamic traders should enquire about these special conditions or extra fees before joining, because it is often overlooked or not indicated on the account features pages.
Does LiteForex offer an Islamic Account?
Yes.
Is it safe to open an Islamic account with LiteForex?
LiteForex caters to all Muslim traders who would like to follow Sharia law and is regulate through CySEC.
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