Best CFD Brokers And Trading Platforms In South Africa 2024
The number of CFD brokers in South Africa has risen in recent years, driven in part by tougher restrictions from the European Securities and Markets Authority (ESMA), which prompted many trading platforms to expand into developing markets.
Explore the best CFD brokers in South Africa following firsthand tests and exhaustive analysis. We’ve pinpointed the CFD trading platforms that are regulated by the South African Financial Sector Conduct Authority (FSCA) and excel in catering to short-term traders in South Africa.
Top 10 CFD Trading Platforms in South Africa
Our findings show these are the 10 top brokers for South African CFD traders:
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1AvaTrade20% Welcome Bonus up to $10,000
Ratings
$1000.01 Lots1:30 (Retail) 1:400 (Pro)ASIC, CySEC, FSCA, ISA, CBI, FSA, FSRA, BVI, ADGM, CIRO, AFMCFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds, Crypto, Spread Betting, FuturesWebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingCentral, DupliTradeSkrill, Wire Transfer, FasaPay, Mastercard, Perfect Money, Swift, MoneyGram, Credit Card, WebMoney, JCB Card, Debit Card, Neteller, BoletoUSD, EUR, GBP, CAD, AUD -
2Exness
Ratings
$100.01 Lots1:UnlimitedCySEC, FCA, FSCA, CMA, FSA, CBCS, BVIFSC, FSCCFDs, Forex, Stocks, Indices, Commodities, CryptoExness Trade App, Exness Terminal, MT4, MT5, TradingCentralWire Transfer, Credit Card, Visa, Mastercard, Bitcoin Payments, Boleto, Airtel, Debit Card, Neteller, Skrill, Perfect Money, Sticpay, AstroPay, Cashu, FasaPay, WebMoney, M-PesaUSD, EUR, GBP, CAD, AUD, NZD, INR, JPY, ZAR, MYR, IDR, DKK, CHF, HKD, SGD, AED, SAR, HUF, BRL, NGN, THB, VND, UAH, KWD, QAR, KRW, MXN, KES, CNY -
3Trade Nation200 Sign-Up Reward Points84% of retail investor accounts lose money when trading CFDs with this provider.
Ratings
$00.1 Lots1:500 (entity dependent)FCA, ASIC, FSCA, SCB, FSAForex, CFDs, Indices, Shares, Commodities, Futures, Bonds, Cryptos (Bahamas Entity Only)MT4Credit Card, Visa, Mastercard, Wire Transfer, Skrill, PayPal, Debit CardUSD, EUR, GBP, AUD, ZAR, SEK, NOK, DKK -
4Vantage50% Welcome Deposit Bonus, earn redeemable rewards in the Vantage Rewards scheme, Demo contests with prizes up to $2000
Ratings
$500.01 Lots1:500FCA, ASIC, FSCA, VFSCCFDs, Forex, Stocks, Indices, Commodities, ETFs, BondsProTrader, MT4, MT5, TradingView, DupliTradeSkrill, BPAY, JCB Card, AstroPay, Visa, Swift, Neteller, Wire Transfer, Credit Card, Debit Card, UnionPay, FasaPay, Sticpay, Bitwallet, VoletUSD, EUR, GBP, CAD, AUD, NZD, JPY, HKD, SGD, PLN -
5FxPro
Ratings
$1000.01 Lots1:30 (Retail), 1:500 (Pro), 1:1000 (Via Prime Ash Capital Limited)FCA, CySEC, FSCA, SCB, FSACFDs, Forex, Stocks, Indices, Commodities, FuturesFxPro Edge, MT4, MT5, cTrader, AutoChartist, TradingCentral, DupliTradeWire Transfer, Credit Card, PayPal, Skrill, Neteller, Maestro, Mastercard, Visa, Google Wallet, Bitcoin Payments, Ethereum PaymentsUSD, EUR, GBP, AUD, JPY, ZAR, CHF, PLN -
6Plus50082% of retail CFD accounts lose money.
Ratings
$100Variable1:30FCA, ASIC, CySEC, DFSA, MAS, FSA, FSCA, FMA, EFSACFDs on Forex, Stocks, Indices, Commodities, ETFs, Futures, Options, CryptoWebTrader, AppPayPal, Skrill, Visa, Wire Transfer, Mastercard, Credit Card, Debit Card, Trustly, Apple PayUSD, EUR, GBP, AUD, ZAR, CZK -
7CMTrading
Ratings
$1000.01 Lots1:200FSCA, FSAForex, CFDs, Indices, Shares, Energies, Metals, CryptosCMTrading Webtrader, MT4Neteller, UnionPay, FasaPay, Skrill, Wire Transfer, Visa, Mastercard, Bitcoin Payments, M-Pesa, Debit Card, Credit Card, FinraxUSD, EUR, GBP, ZAR -
8easyMarkets50% Deposit Bonus Or Up To A $2000 Tradable Bonus
Ratings
$250.01 lots1:2000CySEC, ASIC, FSCA, FSC, FSACFDs, Forex, Stocks, Indices, Commodities, CryptoeasyMarkets App, Web Platform, MT4, MT5, TradingView, TradingCentralUnionPay, Credit Card, Bitcoin Payments, Debit Card, AstroPay, Perfect Money, WebMoney, Sticpay, Visa, Wire Transfer, Mastercard, Ethereum PaymentsUSD, EUR, GBP, CAD, AUD, JPY, ZAR, TRY, SEK, NOK, CHF, HKD, SGD, PLN, CZK, MXN, CNY -
9FXCM
Ratings
$50Variable1:30FCA, CySEC, ASIC, FSCA, BaFin, CIROForex, Stock CFDs, Commodities CFDs, Crypto CFDsTrading Station, MT4, TradingViewCredit Card, Debit Card, PayPal, Apple Pay, Google Wallet, Wire TransferUSD, EUR, GBP, AUD -
10VT Markets50% Welcome Bonus
Ratings
50 - 500 USD0.01 Lots1:500ASIC, FSCA, FSCCFDs, Forex, Commodities, Stocks, IndicesVT Markets App, Webtrader, Web Trader+, MT4, MT5, TradingCentralAlipay, UnionPay, Debit Card, Credit Card, Wire Transfer, FasaPay, Skrill, Neteller, Visa, Mastercard, Apple Pay, Google WalletUSD, EUR, GBP, CAD, AUD
This is why we think these brokers are the best in this category:
- AvaTrade - AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, from CFDs to AvaOptions and now AvaFutures, alongside a comprehensive education center and multilingual customer support.
- Exness - Established in 2008, Exness has maintained its position as a highly respected broker, standing out with its industry-leading range of 40+ account currencies, growing selection of CFD instruments, and intuitive web platform complete with useful extras like currency convertors and trading calculators.
- Trade Nation - Trade Nation is a top FX and CFD broker regulated in multiple jurisdictions including the UK and Australia. The firm offers low-cost fixed and variable spreads on 1000+ assets with robust trading platforms and training materials. The Signal Centre can also be used for trade ideas.
- Vantage - Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.
- FxPro - Established in 2006, FxPro has emerged as a trusted non-dealing desk (NDD) broker offering trading on over 2,100 markets to more than 2 million clients worldwide. It has scooped over 100 industry awards and counting for its competitive conditions for active traders.
- Plus500 - Established in 2008 and headquartered in Israel, Plus500 is a prominent brokerage that boasts over 25 million registered traders in over 50 countries. Specializing in CFD trading, the company offers an intuitive, proprietary platform and mobile app. It maintains competitive spreads and does not charge commissions or deposit or withdrawal fees. Plus500 also continues to shine as one of the most trusted brokers with licenses from reputable regulators, including the FCA, ASIC and CySEC.
- CMTrading - CMTrading is one of South Africa's leading online day trading brokers, offering trades with leverage up to 1:1000 on the MetaTrader 4 and browser-based Sirix platforms as well as a bespoke copy trading service. The brokerage launched in 2012 and holds a license with South Africa’s Financial Sector Conduct Authority (FSCA).
- easyMarkets - Established in 2001, easyMarkets has made for a name for itself as a trusted, fixed spread broker. Improvements to its tools over the years, from adding the MetaTrader suite and TradingView to enhancing its exclusive risk management tools like dealCancellation, mark it out from the competition.
- FXCM - FXCM is a respected forex and CFD broker, established since 1999. The British-headquartered broker has won multiple awards and operates in various jurisdictions, including the UK and Australia. With zero commissions, over 400 assets, and a range of analysis tools, FXCM remains a popular choice for day traders. The broker is also regulated by top-tier authorities including the FCA, ASIC, CySEC, FSCA, BaFin.
- VT Markets - Founded in 2015, VT Markets maintains its position as a top Australian multi-asset CFD broker. With 1000+ tradeable instruments and support for the MetaTrader 4 and MetaTrader 5 platforms, this broker delivers a wide range of day trading opportunities to over 200,000 clients worldwide. VT Markets is regulated by the ASIC, FSCA, and FSC.
Best CFD Brokers And Trading Platforms In South Africa 2024 Comparison
AvaTrade
"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."
Jemma Grist, Reviewer
AvaTrade Quick Facts
Bonus Offer | 20% Welcome Bonus up to $10,000 |
---|---|
Demo Account | Yes |
Instruments | CFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds, Crypto, Spread Betting, Futures |
Regulator | ASIC, CySEC, FSCA, ISA, CBI, FSA, FSRA, BVI, ADGM, CIRO, AFM |
Platforms | WebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade |
Minimum Deposit | $100 |
Minimum Trade | 0.01 Lots |
Leverage | 1:30 (Retail) 1:400 (Pro) |
Account Currencies | USD, EUR, GBP, CAD, AUD |
Pros
- Recently introduced AvaFutures offers an alternative vehicle to speculate on over 35 markets with low day trading margins
- Automated trading is supported through MetaTrader Expert Advisors (EAs), as well as the AvaSocial and DupliTrade tools
- The broker offers reliable 24/5 multilingual customer support with fast response times during testing
Cons
- Traders from the US are not accepted
- There is no ECN account with raw spreads
- A high $2000 minimum investment is required to use DupliTrade, which will be out of reach for many beginners
Exness
"After slashing its spreads, improving its execution speeds and support trading on over 100 currency pairs with more than 40 account currencies to choose from, Exness is a fantastic option for active forex traders looking to minimize trading costs."
Christian Harris, Reviewer
Exness Quick Facts
Demo Account | Yes |
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Instruments | CFDs, Forex, Stocks, Indices, Commodities, Crypto |
Regulator | CySEC, FCA, FSCA, CMA, FSA, CBCS, BVIFSC, FSC |
Platforms | Exness Trade App, Exness Terminal, MT4, MT5, TradingCentral |
Minimum Deposit | $10 |
Minimum Trade | 0.01 Lots |
Leverage | 1:Unlimited |
Account Currencies | USD, EUR, GBP, CAD, AUD, NZD, INR, JPY, ZAR, MYR, IDR, DKK, CHF, HKD, SGD, AED, SAR, HUF, BRL, NGN, THB, VND, UAH, KWD, QAR, KRW, MXN, KES, CNY |
Pros
- Highly competitive spreads, reduced for USOIL and BTCUSD in 2024, are available from 0 pips with low commissions from $2 per side.
- Exness Terminal offers a streamlined experience for beginners with dynamic charts while setting up watchlists is a breeze.
- Improved execution speeds, now averaging under 25ms, offer optimal conditions for short-term traders.
Cons
- Exness has expanded its range of CFDs and added a copy trading feature, but there are still no real assets such as ETFs, cryptocurrencies or bonds
- Apart from a mediocre blog, educational resources are woeful, especially compared to category leaders like IG which provide a more complete trading journey for newer traders.
- Retail trading services are unavailable in certain jurisdictions, such as the US and the UK, limiting accessibility compared to top-tier brokers like Interactive Brokers.
Trade Nation
"Trade Nation is a good choice for newer traders looking for a wide range of financial markets on a user-friendly platform. There is no minimum deposit, free funding options and strong education."
William Berg, Reviewer
Trade Nation Quick Facts
Bonus Offer | 200 Sign-Up Reward Points |
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Demo Account | Yes |
Instruments | Forex, CFDs, Indices, Shares, Commodities, Futures, Bonds, Cryptos (Bahamas Entity Only) |
Regulator | FCA, ASIC, FSCA, SCB, FSA |
Platforms | MT4 |
Minimum Deposit | $0 |
Minimum Trade | 0.1 Lots |
Leverage | 1:500 (entity dependent) |
Account Currencies | USD, EUR, GBP, AUD, ZAR, SEK, NOK, DKK |
Pros
- There is a low minimum deposit for beginners
- Multiple account currencies are accepted for global traders
- Full range of investments via leveraged CFDs for long and short opportunities
Cons
- Fewer legal protections with offshore entity
Vantage
"Vantage remains an excellent option for CFD traders seeking a tightly-regulated broker with access to the reliable MetaTrader platforms. The fast sign-up process and $50 minimum deposit make it very straightforward to start day trading quickly."
Jemma Grist, Reviewer
Vantage Quick Facts
Bonus Offer | 50% Welcome Deposit Bonus, earn redeemable rewards in the Vantage Rewards scheme, Demo contests with prizes up to $2000 |
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Demo Account | Yes |
Instruments | CFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds |
Regulator | FCA, ASIC, FSCA, VFSC |
Platforms | ProTrader, MT4, MT5, TradingView, DupliTrade |
Minimum Deposit | $50 |
Minimum Trade | 0.01 Lots |
Leverage | 1:500 |
Account Currencies | USD, EUR, GBP, CAD, AUD, NZD, JPY, HKD, SGD, PLN |
Pros
- There’s an excellent suite of day trading software, including the award-winning platforms MT4 and MT5
- The ECN accounts are very competitive with spreads from 0.0 pips and a $1.50 commission per side
- The broker has recently made efforts to expand its suite of CFDs providing further trading opportunities
Cons
- A steep $10,000 deposit is needed for the best trading conditions, which include the $1.50 commission per side
- Unfortunately, cryptos are only available for Australian clients
- It's a shame that some clients will need to register with the offshore entity, which offers less regulatory protection
FxPro
"FxPro is a stellar option for day traders, sporting exceptionally fast execution speeds under 12ms, competitive fees that were lowered in 2022, and terrific charting platforms in MT4, MT5, cTrader and FxPro Edge."
Christian Harris, Reviewer
FxPro Quick Facts
Demo Account | Yes |
---|---|
Instruments | CFDs, Forex, Stocks, Indices, Commodities, Futures |
Regulator | FCA, CySEC, FSCA, SCB, FSA |
Platforms | FxPro Edge, MT4, MT5, cTrader, AutoChartist, TradingCentral, DupliTrade |
Minimum Deposit | $100 |
Minimum Trade | 0.01 Lots |
Leverage | 1:30 (Retail), 1:500 (Pro), 1:1000 (Via Prime Ash Capital Limited) |
Account Currencies | USD, EUR, GBP, AUD, JPY, ZAR, CHF, PLN |
Pros
- FxPro's Wallet is a standout feature that allows traders to manage funds securely. By segregating unused funds from active trading accounts, the Wallet provides additional protection and convenience.
- FxPro offers four reliable charting platforms, notably the intuitive FxPro Edge, with over 50 indicators, 7 chart types and 15 chart timeframes.
- FxPro operates under a 'No Dealing Desk' (NDD) model, ensuring fast and transparent order execution, often under 12 milliseconds, ideal for short-term trading strategies.
Cons
- There are no passive investment tools like copy trading or interest paid on cash. While active traders may not miss these, competitors like eToro catering to active and passive investors have more comprehensive offerings.
- While FxPro provides 24/5 customer support through multiple channels that performed well during testing, it lacks 24/7 availability, which can disadvantage traders needing assistance outside traditional market hours.
- Despite a growing Knowledge Hub and a $10M funded demo account, FxPro is geared towards advanced traders, with beginners potentially finding the account and fee structure complex.
Plus500
"Plus500 offers a super-clean experience for traders with a CFD trading platform that sports a modern design and dynamic charting. That said, the broker’s research tools are limited, fees trail the cheapest brokers, and there’s room for enhancement in its educational resources."
Christian Harris, Reviewer
Plus500 Quick Facts
Demo Account | Yes |
---|---|
Instruments | CFDs on Forex, Stocks, Indices, Commodities, ETFs, Futures, Options, Crypto |
Regulator | FCA, ASIC, CySEC, DFSA, MAS, FSA, FSCA, FMA, EFSA |
Platforms | WebTrader, App |
Minimum Deposit | $100 |
Minimum Trade | Variable |
Leverage | 1:30 |
Account Currencies | USD, EUR, GBP, AUD, ZAR, CZK |
Pros
- The broker offers commission-free trading on a diverse range of markets, minimizing additional fees while appealing to established traders
- The customer support team continue to provide reliable 24/7 support via email, live chat and WhatsApp
- You can utilize leverage while engaging in long or short positions, allowing for more strategic trading opportunities
Cons
- Algo trading and scalping are not supported, which may deter some day traders
- Plus500’s lack of support for MetaTrader or cTrader charting tools might be a deal breaker for advanced day traders looking for familiarity
- Educational resources are limited compared to best-in-class brokers like eToro, impacting the learning curve for beginners
CMTrading
"CMTrading is a great choice for traders based in South Africa looking to access highly leveraged forex and CFDs, plus copy trading tools and short-term signals."
William Berg, Reviewer
CMTrading Quick Facts
Demo Account | Yes |
---|---|
Instruments | Forex, CFDs, Indices, Shares, Energies, Metals, Cryptos |
Regulator | FSCA, FSA |
Platforms | CMTrading Webtrader, MT4 |
Minimum Deposit | $100 |
Minimum Trade | 0.01 Lots |
Leverage | 1:200 |
Account Currencies | USD, EUR, GBP, ZAR |
Pros
- There's a decent array of educational resources for beginners on the online academy
- Clients can access free short-term forex signals from the broker's platform
- The broker supports the powerful MetaTrader 4 platform plus a proprietary Webtrader and a bespoke social trading feature
Cons
- The broker's market coverage is limited, including only 100+ stocks
- There are no additional third-party analysis tools such as AutoChartist
- Spreads are uncompetitive across accounts compared to competitors
easyMarkets
"easyMarkets provides fixed spreads starting at 0.7 pips, making it an excellent choice for beginners seeking predictable trading costs. After adding a Bitcoin-based account, it’s also a stand-out option for crypto-focused traders who want to deposit, trade, and withdraw in digital currencies."
Christian Harris, Reviewer
easyMarkets Quick Facts
Bonus Offer | 50% Deposit Bonus Or Up To A $2000 Tradable Bonus |
---|---|
Demo Account | Yes |
Instruments | CFDs, Forex, Stocks, Indices, Commodities, Crypto |
Regulator | CySEC, ASIC, FSCA, FSC, FSA |
Platforms | easyMarkets App, Web Platform, MT4, MT5, TradingView, TradingCentral |
Minimum Deposit | $25 |
Minimum Trade | 0.01 lots |
Leverage | 1:2000 |
Account Currencies | USD, EUR, GBP, CAD, AUD, JPY, ZAR, TRY, SEK, NOK, CHF, HKD, SGD, PLN, CZK, MXN, CNY |
Pros
- easyMarkets added Bitcoin as a base currency in 2019. This marks it out against most of the market and eliminates the need to convert crypto to fiat, reducing conversion fees and simplifying management for crypto-focused traders.
- easyMarkets takes risk management seriously, with negative balance protection plus guaranteed stop losses and its dealCancellation (enhanced in 2024 to include periods of 1, 3, or 6 hours) in the Web Trader.
- With 20+ years in the industry, multiple awards, and authorization from two ‘green tier’ regulators, easyMarkets continues to earn its reputation as a secure broker for active traders.
Cons
- While easyMarkets provides solid educational resources for beginners, they fall short for advanced traders. The Academy offers well-structured courses and engaging gamification, but the overall content lacks depth.
- easyMarkets does not offer a zero-spread account like Pepperstone, which can be a drawback for day traders and high-frequency traders who require minimal transaction costs.
- easyMarkets is falling behind by not providing the copy trading features you get at category leader eToro, which are popular among beginners looking to follow the strategies of experienced traders.
FXCM
"FXCM maintains its position as a top pick for traders deploying automated trading strategies, with four powerful platforms, strategy backtesting and algo trading through APIs. The broker is also great for active traders, with discounted spreads and low to zero commissions on popular assets."
William Berg, Reviewer
FXCM Quick Facts
Demo Account | Yes |
---|---|
Instruments | Forex, Stock CFDs, Commodities CFDs, Crypto CFDs |
Regulator | FCA, CySEC, ASIC, FSCA, BaFin, CIRO |
Platforms | Trading Station, MT4, TradingView |
Minimum Deposit | $50 |
Minimum Trade | Variable |
Leverage | 1:30 |
Account Currencies | USD, EUR, GBP, AUD |
Pros
- The proprietary Trading Station terminal is a good choice for day traders looking for an all-in-one solution for their short-term and automated trading strategies
- FXCM has expanded its range of trading opportunities with 24-hour stock CFDs through MetaTrader 4
- Alongside the 4 charting platforms, FXCM also offers a market-leading range of specialist software for experienced investors, including QuantConnect, AgenaTrader and Sierra Chart
Cons
- Although FXCM continues to gear their services towards experienced traders, it’s a shame that there are no managed accounts on offer
- There is no choice of retail accounts for traders, nor any Cent/Micro account options
- The live chat support can be slow and unreliable compared to the top competitors
VT Markets
"VT Markets is a great choice for regular traders who are looking for very tight spreads and powerful charting software. The broker's share CFD offering is particularly strong, with hundreds of commission-free assets spanning multiple global markets."
Tobias Robinson, Reviewer
VT Markets Quick Facts
Bonus Offer | 50% Welcome Bonus |
---|---|
Demo Account | Yes |
Instruments | CFDs, Forex, Commodities, Stocks, Indices |
Regulator | ASIC, FSCA, FSC |
Platforms | VT Markets App, Webtrader, Web Trader+, MT4, MT5, TradingCentral |
Minimum Deposit | 50 - 500 USD |
Minimum Trade | 0.01 Lots |
Leverage | 1:500 |
Account Currencies | USD, EUR, GBP, CAD, AUD |
Pros
- Market-leading MetaTrader 4 and MetaTrader 5 charting platforms are offered, with advanced technical capabilities and access to Expert Advisors (EAs)
- There’s a strong range of payment methods, including bank wire, credit cards and e-wallets, plus 5 base currencies to choose from
- A proprietary copy trading service, VTrade, is available on two platforms, with access to 100+ providers
Cons
- The broker’s bonus schemes have stringent terms and conditions, including restrictions on minimum deposits and payment methods used
- Unlike similar brands like Fusion Markets, VT Markets does not offer crypto trading
What To Look For In A South African CFD Broker
Our years testing CFD providers have taught us there are key factors to look at when picking a platform:
Trust
Choosing a broker you can trust to safeguard your funds is key when CFD trading, especially when South Africa has had its fair share of scams.
For example, South African-based CFD broker, Banxso, was unknowingly involved in the ‘Immediate Matrix’ scam that used a deep fake of tech Billionaire, Elon Musk, to encourage traders to part with millions of Rand. The reputation of this popular South African broker was exploited by scammers.
All our recommended brokers are licensed by the FSCA or another trusted regulator. Our experts check each licence claim against the relevant register, for example, the FSCA’s Authorized Financial Services Providers. Then we factor in our direct observations during the testing process, looking for dependable platforms for day trading CFDs.
- Plus500 stands out as a highly trusted CFD broker for South Africans with a license from the FSCA, a superb track record dating back to 2008, over 25 million users, and a listing on the London Stock Exchange, demonstrating a high degree of transparency. Our experts have also traded at Plus500 using real money and praise its secure trading environment.
Underlying Assets
The top CFD brokers in South Africa offer opportunities to speculate on short-term price movements spanning popular financial markets. That’s why we explore the platforms of each CFD provider we test, investigating the range of underlying assets, from stocks and indices to forex, commodities and cryptos.
For example, forex CFDs can be used to speculate on currency pairs with a ZAR element, such as USD/ZAR, GBP/ZAR, and EUR/ZAR. The South African Rand is a relatively unstable currency compared to more commonly traded denominations. This is in part due to South Africa’s developing economy and heavy reliance upon trading partners, such as the US, for its wealth.
In 2023, the ZAR experienced a mass sell-off when reports that South Africa had provided weapons to Russia emerged. Investors feared it could spell Western sanctions given the war in Ukraine. ZAR hit a new low of 19.8 to the dollar.
South Africa also has its own stock exchange, the Johannesburg Stock Exchange (JSE). The 16th largest by market capitalization in the world, although not many brokers offer CFDs on South African stocks.
- IG offers an extensive suite of 17,000+ CFDs, including 80+ currency pairs with 4 having a ZAR component, as well as commodities like platinum, palladium, gold and iron ore, which South Africa is a major exporter of. Interactive Brokers also stands out with 50+ CFDs on JSE-listed stocks, including Firstrand Ltd (FSR), Impala Platinum (IMP) and Vodacom Group (VOD).
Leverage
Leverage trading is one of the main draws of CFDs, but it also increases the risk of large losses. Therefore we look for brokers who are transparent in their margin trading requirements (the amount of money you must put down to amplify your buying power).
Let’s say I want to use a CFD to take a short position on African Rainbow Minerals (JSE: ARI) following rumours of staff strikes at key locations.I put down 2,000 Rand and my CFD broker offers me 1:10 leverage, amplifying my position and potential results (profits and losses) to 20,000 Rand (10 x 2,000).
However, leverage is not capped, unlike with CFD providers regulated in Europe or Australia for example, where leverage is typically limited to 1:30 for retail investors. This makes the CFD trading environment in South Africa high-risk, so risk management is essential.
- XM offers high leverage up to 1:1000 on CFDs, alongside transparent margin requirements and a helpful calculator where you can set ZAR to the base currency. XM will issue a margin call if your account value drops below 50%, and will stop out positions when the account value is 20% of the required margin.
Pricing
Choosing a CFD trading platform with excellent pricing is key, especially for fast-paced strategies like day trading where profit margins can be slim.
That’s why we evaluate CFD fees on the most popular financial markets where possible, covering stocks, indices and commodities. We also consider additional charges, such as inactivity fees and conversion costs if depositing Rand to a trading account denominated in another currency.
Importantly, you should expect higher spreads when trading CFDs on South African assets due to relatively low trading volumes. For example, while we commonly see spreads of <1 pip on the EUR/USD, spreads on the USD/ZAR can reach 120+ pips from our analysis.
- Vantage excels in its competitive pricing models that cater to a range of CFD traders. Its Standard account offers commission-free trading with floating spreads from 1 pip with straightforward pricing for newer traders, while the Raw ECN and Pro ECN solutions are designed for experienced traders looking for the tightest spreads from 0.0 pips and commissions as low as $1.50.
Account Funding
Convenient, secure and low-cost deposits and withdrawals can make or break the CFD trading experience. That’s why we open accounts at CFD brokers we test and navigate the cashier portal to investigate the range of payment methods available.
For South Africans, we know that 60% of online transactions are completed using credit/debit cards or bank transfers. But e-wallets are becoming increasingly popular, for example, PayPal and Skrill.
- We love Trade Nation for these reasons: it’s affordable with no minimum deposit, CFD traders can open a ZAR-based account, and there is a great selection of e-wallets, including PayPal and Skrill, alongside Visa, Mastercard and bank transfers.
FAQ
Which Is The Best CFD Broker In South Africa?
We’ve listed, rated and evaluated the best CFD brokers in South Africa. Use our rankings to find the right platform for your needs.
Who Regulates CFD Trading Platforms And Brokers In South Africa?
The Financial Sector Conduct Authority (FSCA) regulates CFD trading platforms and brokers in South Africa.
It replaced South Africa’s Financial Services Board (FSB) in 2018 and is a trusted regulator, though not as respected as bodies like the FCA in the UK or ASIC in Australia.
How Much Money Do I Need To Open A CFD Trading Account In South Africa?
Our analysis shows you often need between 0 and 250 USD, or around 0 to 4,600 ZAR, to open a CFD trading account in South Africa.
That said, IG and Trade Nation have no minimum, making them stand-out options if you want an affordable, FSCA-regulated CFD trading platform.
Recommended Reading
Article Sources
- Financial Sector Conduct Authority (FSCA)
- Authorised Financial Services Providers, FSCA
- Johannesburg Stock Exchange (JSE)
- US Dollar to South African Rand Exchange Rate Chart, Xe
- South Africa: Preferred Online Payment Methods, Statista
- South African Rand Hit By 'Perfect Storm' As Sell-Off Escalates, Reuters
- Banxso Announces Help for Victims of Immediate Matrix Scam in South Africa, Finance Yahoo
The writing and editorial team at DayTrading.com use credible sources to support their work. These include government agencies, white papers, research institutes, and engagement with industry professionals. Content is written free from bias and is fact-checked where appropriate. Learn more about why you can trust DayTrading.com