Online Trading South Africa is created for South Africans who are interested in online share trading South Africa. By using our website (www.onlinetradings.co.za), you will be able to compare cheapest online share trading platforms South Africa. We’ve partnered with the best online share trading platforms South Africa where you can create an trading account online and start buying shares online. If you are looking to trade online in South Africa, you will find this website very useful. After going through this online share trading guide, you will be able to create an online trading account and start trading online South Africa. Online trading South Africa website (onlinetradings.co.za) has been recommended by many online traders in South Africa. We are committed in making sure that we only give you the best online trading companies where you can trade stocks and purchase shares online.
Best Online Trading South Africa and Best Online Stock Brokers for 2021
Best Online Trading South Africa Sites:
To start online trading in South Africa, you need Internet connection, a laptop / computer, enough money to open a trading online account and the ability to invest in the stock market. You can start the journey of online trading of stocks from the comfort of your own home. With the help of internet, you don’t need a personal brokerage to trade, you can now do it on your own.
At Online Trading South Africa, we make sure that we only list the best trading companies. You can compare these online stock trading companies in South Africa by reading our reviews before you create an account. These online share trading companies will also be able to help you grow the value of your money with their cheapest online trading platforms. Please note that online trading is risky and your investments in stock are not guaranteed. They can increase in value as well as decrease and you may not get back the full amount you invested. Here is everything you need to know about online trading in South Africa here at OnlineTradingSouthAfrica.
What is Online Trading?
Online trading is when you buy and sell financial assets through an online trading platform. These online trading platforms are created for traders by brokers for online trading purposes. Online trading in South Africa has increased because of lockdown and high speed computers and internet connections.
In South Africa, many online traders trade EFTs, bonds, shares, stocks and mutual funds.
All the brokers featured on OnlineTradings provide a variety of assets such as foreign exchange (forex), commodities, indices, shares and stocks. Internet trading is one of the safest and quickest ways of making money online in South Africa.
At Online Tradings, we make sure that we provide both beginning and professional traders with the best trading guide in South Africa. The website has helped many clients trade online in South Africa by investing in big companies such as Microsoft, Google, Apple and many other big organizations.
How Does Online Trading Work in South Africa?
How does online trading work in South Africa? In South Africa, online trading allows traders online to buy and sell shares on the financial market using an online trading platform. To trade, you need to place trades through an online broker. A broker will then provide you with a trading terminal, the trading software that traders use to place trades. Here’s how online trading in South Africa works:
- As a trader, you decide that you want to make a deal (for example, to buy 100 shares of Google)
- You then use an online trading platform to find this asset (Google’s shares) and choose the quantity (1 lot or 100 pieces) and place an order to purchase.
- The broker will get a request from you and starts to execute the order. You need to find a counterparty – another trader who is prepared to purchase the same asset for the same price.
- The broker searches for a counterparty on the stock exchange. When they have completed the search, the deal is made.
Nowadays, everything is done automatically by the trading platform, that is why does not take longer to make a deal. It finds a counterparty and complete a deal within seconds or less. In the past, the trading process took longer through this chain “trader > broker > stock exchange> broker> trader”. Trading was also done in the exchange building in person or the trader would call his broker and to open the deal. The broker would in person search for a counterparty on the stock exchange.
Types Of Assets You Can Trade Online
In South Africa, there are various types of assets that you can trade. Besides online trading of Gold, some of these tradable assets are categorized as ‘classic’ while others emerged with the rise of online trading SA. You can trade the below assets:
- Stocks – these securities that represent an ownership share in a company.
- Currencies – you can trade currencies such as Forex
- Cryptocurrencies – trade cryptocurrencies such as Bitcoin
- Indices – these are assets which are grouped together, either representing a specific sector of a market or a whole market.
- Metals – you can also invest in metals
- Oil and Gas – buy oil and gas shares through JSE or online brokerages
- ETFs – exchange-traded fund is an investment fund traded on stock exchanges, much like stocks.
- Agriculture – you can also invest in agricultural commodities
Types of Investments
Besides the above mentioned assets for online trading, we also have different types of investments. Below are the most common types of investments:
- Binary options – is a type of option with a fixed payout in which you predict the outcome from two possible results.
- Futures contract – a contract for assets bought at agreed prices but delivered and paid for later.
- CFD (Contract For Difference) – you can also start CFD Trading.
Pros and Cons of Online Trading
Online Trading South Africa is very interesting, below are the pros and cons of Online Trading SA.
Cons of Online Trading:
- Financial risks – Online Trading is a very risky business and you can lose money in this type of an investment. Online trading doesn’t guarantee profit. You can make money some days and lose money some days.
Pros of Online Trading:
- You can start online trading with little capital – you can start online trading in South Africa with as little as $100
- You can trade anywhere using your mobile device – install an online trading app and start trading on the GO
- Potentially unlimited income – online trading is profitable and you can make enough gains
- You can still have your 9-5 job – use your online trading profit to supplement your monthly needs
- You trade at your own time and hours – you can trade 24 hours, 5 days a week
Why Would You Trade Online South Africa?
There are many reasons why people trade online in South Africa. At Online Trading South Africa, we’ve conducted a survey and we discovered that many South Africans say it is accessible and is one of the world’s largest markets, with 24-hour operations (24 hour 5 days a week trading).
This means you manage and control when and how you trade online. South African traders and investors buy and sell financial instruments such as CFDs for profit via web-based cheapest online trading platform South Africa offered by a broker or a bank. Trading online decisions are often made on the trading platform online and then immediately sent to the stock broker. People trade online South Africa for the following reasons:
- Online trading beginners in South Africa can trade online, thanks to cheap and simple trading software
- Trading online South Africa is cheap, you can open an account for as little as $5 and make profit
- You can do simple analysis which give you accurate results
- You receive a free demo account so you can practice before trading with real money
- You can use automatic trading on your trades
- You can implement copy trading strategy
How to Perform A Trade Online?
Thanks to the internet and technology, anyone with a computer can start online share trading and invest in the stock market. Here is the step-by-step guide on how to start trading stocks online and building your investment portfolio.
1. Find a broker
To perform a trade online, you need a brokerage account. It can be challenging to choose the perfect broker. You need to read reviews and check online forums to learn about the broker as not all stock / share brokers are right for all traders. There are two types of brokers you need to look at.
- Brokers who deal with clients directly.
- Brokers who act as mediators between a larger broker and a trader.
2. Open online trading account
You need to register with FSCA regulated brokers to open an online trading account. Fund your trading account with US Dollars, which is the most traded currency in the foreign exchange market. If you are not ready to trade with a live account, you can practice using a demo account. This account gives online traders in South Africa a free trial account funded by virtual money.
3. Research before investing in your money
You need to do your research before investing your money in stocks / shares. You need to find out how the company makes money, its strengths and weaknesses. Also check online trading platforms for broker consent recommendations.
4. Develop a trading strategy
You need to come up with a trading strategy that works best for you. Use a demo account to actively watch your positions and understand whether and when to react to market moves.
5. Understand the risks
You need to understand the risks associated with online trading in SA. You can lose more than what you have invested in. Share prices always go down. This is why it is recommended that you get an education before you trade anything. Make sure you learn everything you can about the markets and investing (online investing in South Africa). Mistakes can be costly and you will never get your money back.
Learn How to Trade Online in South Africa
Do you know how to start online trading in South Africa? It can be a daunting task to learn how to trade online and particularly learning to trade by yourself. Most online trading beginners feel lost and unsure of where to start. Truth is we were not born knowing everything. We had to learn. You too can learn how you can trade online by yourself. There are many valuable online trading tips you need to be aware of without going through an online trading course.
How to Learn to Trade By Yourself
It is hard to learn to trade by yourself but it’s not impossible. It requires perseverance, patience and motivation to learn by failing and willing to start all over again. As a beginner, you will probably do most things the wrong way and that’s okay. But as time goes on, you will learn how to trade properly and make profit from trading online South Africa. As a beginner, you may even consider giving up when you fail, but those mistakes are preparing you to become a successful online trader in South Africa as you gradually gain more and more knowledge.
Tips for Learning to Trade by Yourself
- Be patient
- Be humble
- Do not follow the crowd
- Do not use real money in the beginning
- Find good information
- Create a Strategy
- Make Risk Management Your First Priority
- Be Realistic
- Choose the Best Trading Conditions
- Use Stop-Losses
Online Share Trading
Thanks to online share trading South Africa, anyone can invest in the stock market using a computer or a mobile device. Below are some of the key-points you need to read on how to start share trading and building your investment career. You will learn how online share trading platforms work in South Africa.
Online Share Trading South Africa
Online Share Trading in South Africa is becoming increasingly popular among South African citizens. Anyone with a computer and fast internet connection can create an online share trading account and start buying and selling shares online. Online share trading is conducted through online share trading platforms which offer a wide range of market data package. They also provide share traders with stock-market news so that they can react with just a click of a button. Online share trading South Africa doesn’t have to be hard to understand, we will show you how online share trading works and how to create an online share trading account in South Africa. You too can begin the journey of online trading of shares in South Africa.
What is Share Trading?
Share trading, sometimes referred to as Equity trading, is the buying and selling of company stock or derivative products based on company stock with an aim of making a profit. The online trading of shares is one of the most popular forms of investing alongside commodities and forex trading.
What is Online Share Trading?
Online share trading is buying and selling shares in JSE Limited (Johannesburg Stock Exchange) listed companies through the internet. It has given South Africans who have internet connection and a computer the ability to invest in the share market.
When you buy and sell shares, you need an online share trading platform which acts as your online share broker. It will facilitate your purchase and sale of shares. A broker is a licensed person or a company that acts as an intermediary between an investor and a securities exchange. A broker usually makes money through a commission that they charge you for the trades. They buy and sell shares on your behalf through the exchange. A broker follows your instructions as to what you want to trade in, the number of shares and the price. Then will then submit your orders to the Johannesburg Stock Exchange and other markets.
How does share trading work?
Stocks or shares refer to a small portion ownership of a company and shares are sold in order to boost funds for that specific organisation. Someone who holds shares is called a shareholder. Shareholders buy and sell shares via stock markets such as the JSE. Share prices change a couple of times throughout the day as SA traders buy and sell shares. Most shareholders buy shares when the rand is weak and sell them when the share price increases in order to gain profit.
How Does Online Share Trading Work in South Africa?
In simple terms, a share is basically your share of a company. A definition of a share is a unit of ownership in a company. Buying shares in a firm offers a shareholder with equity in that firm. A shareholder is a person who owns a share in a company. How does online share trading work? Online share trading South Africa is affordable and easy for anyone interested in investing in shares in South Africa through stock markets such as the JSE.
A share price in a company changes numerous times during the day as investors buy and sell the shares. The main aim of shareholders is to buy shares when the price falls and sell them at a higher price when the share price increases to make profit.
Online trading of share is done via the JSE for South African-listed companies. There’s almost 400 companies listed on the JSE. Shares from other countries are traded on different exchanges such as the London Stock Exchange (LSE), the NASDAQ, the New York Stock Exchange (NYSE) and the Australian Securities Exchange (ASX).
How do I buy shares in a company in South Africa?
Investors can buy and sell shares online through online trading platforms and brokers listed on our website. Just visit our table and choose the best online share trading broker in South Africa.
South Africans can make money from online share trading through two main ways which are (1) Capital Growth and (2) Dividends. Capital Growth is when a shareholder sells his/her shares for a higher price than what they paid. Dividends refer to a company paying regular dividends to their shareholders. This is based on the amount of profit the company makes. You don’t need to sell your shares if you receive money regularly.
How Online Shares Work
It’s now possible for ordinary South Africans to buy shares, for example, a company would announce that they are breaking the company into 10 000 shares, each share worth R10. The company value stays at R100 000, which is R10 share price x R10 000 shares. As an investor, you can purchase one share for R10 in a company. You can also buy up to ten shares at R100 if you want.
How Are Shares Bought and Sold?
South Africans buy and sell shares exchanges such as the Johannesburg Stock Exchange. The majoring of public shares bought and sold through online share trading platforms. Buy and sell orders the tools that are used by investors to move their shares.
- A buy order – is an order to buy shares in a company.
- A sell order – this is essentially an expression showing that the investor who placed the order is interested in selling a particular number of shares in a particular company.
Once an order has been filled, the buyer searches for a seller or the seller finds the buyer. Then people who are involved are given a few days to perform the transaction and then move their shares around. However, these days, people use the best online share trading platforms and do everything on your behalf. This is how you trade shares in South Africa.
Tips for online share trading
- Research about different online share trading companies before you invest your hard earned cash
- Read news about economic factors and other events that might affect the share price
- Spread your money across different investment companies. This will help lower your risk knowing that your money is safe somewhere in case one company collapses
How to Buy Shares?
There are so many ways to buy shares online. You can also buy shares on the JSE (Johannesburg Stock Exchange). JSE is renowned as the best stock market in Africa, bringing good returns for traders and investors in South Africa. However, some people don’t prefer Online Trading on JSE, they find other brokers where they can buy shares. Follow these steps to buy shares in South Africa.
- Find a good online broker to buy shares
- Open an investment account online
- Deposit money into your online trading account
- Find the right share you want to buy
- Click on “Buy This Share Now” button
- Build your investment portfolio by buying shares consistently
What Are the Benefits of Shares?
Depending on your investment goals, the benefits of buying shares will differ and it’s up to you whether you want to invest or trade.
Want to Invest?
Investing in shares for a shorter or a longer period is seen as one of the main strength of shares and the larger stock market. The main aim of investing is to make significant profits. Some people invest for more than twenty-years in a company and the market usually tends to go up. The money that you invested in January 2000 would be worth a great deal more today.
Want to Trade?
Trading shares means that your goal is to make profit through short-term investments. You don’t necessary hold shares for a very long time. You buy shares at a lower price and sell them at a higher price within a short space of time. That’s how online share traders make money from share trading. While this kind of trading is risky than investing, it can result in quick significant returns for investors who take risks. This is also an easy way to lose money if the share price drops significantly.
Online Share Trading Standard Bank
Online Share Trading Standard Bank offers South Africans an opportunity to buy and sell shares frequently. Standard Bank has two different products and are tailored to different mechanisms of investing. Standard Online Share trading (OST) Platform, which is a division of SBG Securities Proprietary Limited, has diverse online trading options for South African investors. The Automated Share Investment (ASI) Platform is a cost effective way for Standard Bank customers get into the market. This platform is recommended for online share trading beginners.
Online Share Trading Nedbank
Nedbank online share trading is done through their official website at onlinesharetrading.nedbank.co.za. Nedbank offers investors with advanced online share trading platform to buy and sell shares online. With Nedbank Share Trading, investors can access research and advice on the JSE listed companies, global and economic analysis. You can also access a complete database of all JSE listed companies, data from SAFEX and the SA Bond Markets and real time access to JSE market information. Nedbank Share Trading also provides investors with, exchange rates, commodity prices and international market. With Online Share Trading Nedbank platform, share traders in South Africa can execute trading on a real time electronic basis. This also allows Nedbank clients to check their order online in the order book with no intervention required by any of Nedbank’s investment advisors.
Online Share Trading FNB
First National Bank (FNB), which is one of South Africa’s “big five” banks, offers three online share trading FNB products. FNB Share Investing has the Share Saver, Share Builder and Share Investor.
- Share Saver – Share Saver is an FNB Online Trading Product where you pay a monthly fee. You can invest in the top 100 companies on the JSE with a minimum monthly investment of R300. This product does not allow you to choose your own shares, FNB choose for you.
- Share Builder – The number of shares you can buy with Share Builder is limited, however, you can choose which shares you want to buy and you can Krugerrands. All you need is a minimum account balance of R100 and pay a monthly fee of R45.
- Share Investor – The Share Investor gives you access to price alerts, watch lists and the Share Swarm. It also offers investors a front row view of the latest shares before they are even listed on the market through the process of IPO’s (Initial public offerings). The Share Investor also allows investors to invest in the full range of JSE listed shares, Exchange Traded Funds, Exchange Traded Notes and Krugerrands. This has a monthly fee of R49, with a minimum account balance of R200.
Online Share Trading ABSA
Absa Group Limited, formerly Barclays Africa Group Limited, has two options. Absa online share trading platform allows investors to trade shares and EFT’s (Exchange Traded Fund). With online share trading Absa, you can also check your trading account anytime and anywhere. The second option is a telephone service where investors place trades through a phone call. Investors also have an option to monitor their shares online. Absa charges a brokerage rate of 0.4% of the value of securities traded and does not have a monthly account fee. However, according to Absa’s website, a minimum brokerage charge of R120 per trade is charged by the bank.
Online Share Trading JSE
The Johannesburg Stock Exchange (JSE) is best known as the best stock market in Africa. Investors can now buy shares on the JSE. There are three ways to invest in the JSE listed companies.
- You can invest directly in the JSE Online Share Trading by buying shares in the companies listed on the stock exchange through a stock broker.
- The second option is to invest on the JSE through the index tracking fund such as Satrix, which invests in the largest companies on the JSE.
- Alternatively, you can buy shares on the JSE through a fund manager such as Old Mutual, Allan Gray, Coronation, Stanlib and Investec just to name a few. The fund managers make the investment decisions for investors and purchase the shares that they believe will perform well.
Online Share Trading for Beginners
Online share trading has transformed the world of investing. Now anyone with internet access and a computer can access a wide range of assets and investing tools. As a beginner, this can be a daunting task if you have never read online share trading for beginners guide or taken courses. Online share trading for beginners is a great way to learn about investing in shares in South Africa. You can start with a small amount of capital. Below are the steps you need to take if you want to learn how to invest in shares.
- Get Education – learn about online share trading for beginners South Africa. There are plenty of share trading books, video tutorials and online courses.
- Develop A Strategy – Successful online share traders in South Africa develop a strategy and stick to it. You can’t jump into different assets whenever you feel like is the right thing to do. Make sure that your strategy is clear and minimize the risk of losing money.
- Open A Brokerage Account – Before you invest with real money, start off by registering for a share trading demo account. This is also called a “practice account” and will help you understand how online share trading works in South Africa and around the world. Practice as much as you can. With demo account, you will learn how to place share orders, buy and sell shares.
- Buy Shares – As a share trading beginner, this is your final step. Once you’ve found the shares you want to buy, you can click on “buy this share” button and follow the prompt.
How to Open Online Share Trading Account in South Africa
Steps to create an online share trading account.
- Step 1: Find a Stockbroker
- Step 2: Create a share trading account
- Step 3: Fund the account
- Step 4: Research about the shares
- Step 5: Start buying shares
Online Share Trading Apps
Share trading has become much easier to perform from a smartphone today. Both beginners and seasoned share investors have necessary tools to use online share trading apps as their main trading platform. These mobile apps have the edge for educational resources and trading tools. They also offer a more comprehensive research experience for South African investors. Below are some of the best online shares trading apps South Africa.
- TD Ameritrade Mobile Trader – Best Online Share Trading App
- Robinhood – Best Mobile Share Trading App
- eToro – Best Mobile Trading App
- Fidelity – Best Stock Trading App
- SigFig – Best Share Trading App
- Schwab Mobile – Top Online Share Trading App
- Trading 212 – Best Online Share Trading South Africa App
- Webull – Best Online Share Trading App South Africa
Best Online Share Trading Platform South Africa
What is best online share trading platform in South Africa? This is one of the questions you should ask yourself. Below are some of the best share trading platforms available for South African investors.
- AvaTrade – Overall Best and Cheapest Online Trading Platform in South Africa
- Pepperstone – Best Online Share Trading Platform
- IG – Best Online Stock Trading Platform
- IQ Option – Popular Online Trading Platform
- eToro – Cheapest Online Trading Platform South Africa
- CM Trading – One of the Best Stock Brokers in South Africa
- Easy Equities – Cheapest Share Trading Platform
- ABSA Stockbrokers and Portfolio Management – Best OnlineTradingSouthAfrica Platform
- Nedgroup Private Wealth Stockbrokers – Best for Stock Traders SA
- PSG Securities – Best Broker for Beginners
- Sanlam iTrade Pro – South Africa’s Best Share Trading Platform
- Sanlam iTrade Standard – Best South African Trading Platform
- Standard Bank Online Share Trading Platform – Best Share Trading Platform
Online Share Trading Platform Features
Online share trading platforms come with great features that help investors make good investment decisions. Some of the features of best online share trading platforms include the following:
- The best online share trading platform South Africa features a client and support service which is available 24/7.
- It comes with margin loans.
- It should also come with research tools, alerts and other technical trading information which will help investors know what’s happening on the financial market.
- A good platform must also offer basic and advanced charting information which is of vital importance for online share investors in South Africa.
- Education and technical help should be available on the online share trading platform to help investors especially beginner investors to get started with online share trading.
- An investor wants assurance that their money is safe; one of the features that people are looking for in a platform is security. A platform must provide online security to block hackers from hacking your online share trading account.
Advantages and Disadvantages of Online Share Trading
Online Trading of Share comes with advantages and disadvantages. As we’ve mentioned above, share trading is a very risky business and you can lose about 80% of your capital. So let’s look at the pros and cons of online share trading in South Africa.
Advantages of Online Share Trading
- Lower fees
- Access to online tools
- Ability to avoid brokerage bias
Disadvantages of Online Share Trading
- You can lose money
- Buying errors due to computer malfunctioning
How do you start stock trading?
Investing in the stock market is the most common way for online stock trading beginners in South Africa to gain investment experience. However, online stock trading investing also comes with the risk for losses. Before you start stock trading in South Africa, you need to answer this question, what kind of an investor are you? When opening online trading shares account, some brokers will ask about your investment goals and how much risk you are willing to take on. The best online trading companies in South Africa allow online traders in South Africa to invest in stocks, index funds, mutual funds, bonds, and exchange traded funds (ETFs). 5 Steps to Start Trading Stocks Online:
- Develop the right strategy – before you consider trading stocks South Africa, make sure you develop the right trading strategy that works for.
- Get an education – online stock trading education is key to successful stock trading.
- Select an online broker – choose the best stock broker in South Africa by comparing their needs and minimum deposit amount.
- Start researching stocks – make sure you research about the company before you buy stock. Check their financial history background and their weaknesses and strength.
- Make a plan and stick to it – use the right type of trade order to help you stay on a plan and stick to it. You can use stop-loss orders to minimize risk and losses.
Online Trading South Africa
There’s no doubt that online trading South Africa or online trading in South Africa is one of the best opportunities that South Africans have started exploring in the country. There reason for the rise of trading online in South Africa is because it opens doors for people who understand the market and also willing to invest their resources in online trading. You can now trade stocks South Africa from the comfort of your home anytime. However, while starting your online share trading career, you need to understand how online trading works and the rules and regulations that govern online trading SA.
When trading in South Africa, as an investor, you need to know your trading options with the South African trading brokers. There are some brokers in South Africa that are suitable for trading in the CFDs, Forex, EFTs and Indices, commodity markets or cryptocurrencies.
Online brokers in South Africa generally offer several trading accounts for SA traders, including:
- CFD Trading
- Forex Trading
- Islamic Accounts
- Demo Accounts
How to Make Money Trading Online
Trading online in South Africa can be a great way to have your money make money, especially in today’s economic climate where long-term bank notes and savings accounts do not offer significant returns. Stock trading or online trading of stocks involves risks and some losses are unavoidable. However, with extensive research and investments in the right companies, online stock trading South Africa can potentially be profitable. Follow these steps to learn how to make money trading online:
- Research current trends
- Select a trading website
- Create an account with one or more trading websites
- Practice trading before you put real money in
- Choose reliable stocks
- Buy your first stocks
- Invest mostly in mid-cap and large-cap companies
- Monitor the markets daily
- Consider investing in mutual funds
If you want to make more money trading online, you also need to understand the basics of trading and develop your stock portfolio. Other important aspects you need to be aware of include, developing a strategy, Money Management: how much risk is too much risk? Practice with demo accounts before investing real money, enhancing gains with margin – leverage, calculate costs – commissions and taxes.
Trading online is not always easy and there are no guarantees of profits. However, one of the best ways to make money trading online is to develop a trading strategy that works best for you. You also need to organise trading activities beforehand. This will minimize losses and additional trading costs while maximizing potential gains.
Is online trading legal in South Africa?
Online trading in South Africa is legal as the South African Government doesn’t have any laws governing the legality. The South African Reserve Bank (SARS) control international monetary exchange overseeing outgoing cash-flow from the country. Trading online is legal as long as you abide by financial laws that prevent money laundering and you declare your income tax. While using a regulated broker is not a legal requirement, there are online brokers operating in South Africa that are regulated by the FSCA (The Financial Sector Conduct Authority) and other brokers that are regulated by other recognized organizations around the world.
Online trading regulators list in other countries
- South Africa: Financial Sector Conduct Authority, (FSCA)(formerly the FSB)
- Australia: Australian Securities and Investments Commission (ASIC)
- Cyprus: Cyprus Securities and Exchange Commission (CySEC)
- Switzerland: Swiss Federal Banking Commission (SFBC)
- Germany: Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)
- EU: European Securities and Markets Authority (ESMA)
- UK: Financial Services Authority (FSA)
- Russia: Federal Financial Markets Service (FFMS)
- France: Autorité des Marchés Financiers (AMF)
- Spain: Comisión Nacional de Mercado de Valores (CNMV)
- Japan: The Financial Services Agency (FSA)
- Hong Kong: The Securities and Futures Commission (SFC)
- United States: Securities and Exchange Commission (SEC) and the National Futures Association (NFA)
Which bank is best for online trading?
FNB is the best bank for anything foreign exchange in South Africa. Nedbank, Standard Bank, Bidvest Bank and ABSA Bank are some of the best banks for online trading in South Africa. You can trade forex and invest in stocks using these best banks.
Best Online Trading Companies
To find the best online trading companies in South Africa, we have created a list of the best online brokers in South Africa. Here’s the list of best online trading sites in South Africa.
- IG – Best Online Trading Company in South Africa
- ForexTime (FXTM) – Best Online Trading Site in SA
- Plus500AU is also authorised as a Financial Services Provider in South Africa
- Saxo Bank – Best South African Online Trading Broker
- AvaTrade – Popular South African Online Trading Company
- CM Trading – Best Online Trading Company for Beginners
- eToro – One of the Best FX Trading Brokers in the world
- FXCM – One of the Best Online Trading South Africa Sites
- com – Best Popular Forex Broker in South Africa
- Swissquote – Best Banking Services
- City Index – One of the best Trading Online Brokers in South Africa
- Markets – Best Online Trading Site for Beginners
- XM Group – Top Online Trading South Africa Site
- IronFX – Top Online Trading Company in South Africa
Online Trading Platforms South Africa
Whether you are into online trading South Africa or simply focusing on stock trading South Africa, as long as you are into online trading in South Africa, you need the right online trading platforms South Africa to carry out your transactions. The best trading platform South Africa provide investors with trading tools such as charting, analyst research, market data, customized backtesting and account management among others. Some of these cheapest online trading platforms in South Africa have been designed to perform automatic trades on behalf of online traders in South Africa.
What Are Online Trading Platforms?
Online Trading Platforms are software used for trading. Online trading platforms are often provided by brokers either for free or paid. The best online trading platforms in South Africa offer a mix of robust features and low fees. Trading platforms can also be specially tailored to specific markets such as currencies, future markets, stocks or options.
Which one is the best trading app in South Africa? This is one of the questions every online trader must ask themselves. Although there are many best online trading platforms, we’ve compiled a list of some of the best South African trading platforms to help you perform stock trading without worrying. Here are some of the cheapest online trading platform South Africa:
Cheapest Online Trading Platforms South Africa
Now that you know what an online trading platform is and would like to compare trading platforms, let’s take a look at some of the cheapest online trading platforms in South Africa for 2021 in the market. These best online trading platforms in South Africa are ideal for traders who want to start trading with small accounts.
- IG – Best Online Trading Platform in South Africa
- FXCM – Top Online Trading Platforms South Africa
- Plus500 – Top CFD Trading Platform Online
- HotForex – Best Leading Online Share Trading Platform
- Cyber-FX – Best Online Trading Software
- AvaTrade – Best South African Online Trading Platform
- ForexTime (FXTM) – Best Stock Trading Platform
- Standard Online Share Trading/Stockbroking – Best Share Trading Platform
- E-Trade – Best Stock Trading South Africa Platform
- TD Ameritrade – Best Online Stock Trading Platform South Africa
- eToro – Top Stock Trading Platform
- easyMarkets – Offers Best South African Online Trading Platforms
- JustForex – Best Trading Platforms in South Africa
- XM – Cheapest Share Trading Platform in South Africa
If you want to see better results, use one of the above listed cheapest online share trading platform South Africa.
Choosing the best cheapest online trading platforms South Africa can be a challenging and a daunting task. Before you choose the best trading platform, you must first compare various online trading platforms. There are more than 100+ online trading platforms in South Africa to choose from.
All online trading platforms South Africa must be regulated by the FSCA (Financial Services Conduct Authority in South Africa) which is a regulatory body that oversees trading activity and promotes its healthy development in SA.
How can I choose the best share trading platform for me?
More and more South Africans turn to the stock market for higher profits and returns. Although online trading is risky, more people are introduced to how to online trading through the internet. Some have even started courses for online trading in South Africa. If you decide to buy and sell shares online for stable earnings, you need to know how to do it right. You need to choose the best share trading platform that will help you carry your transactions.
5 steps to choose the right share trading platform
Choosing the cheapest online trading platforms is one of the most important steps you must take as a stock trader. Here you’ll learn how to choose the one online trading platform and which will meet your requirements the most. You will also learn what criteria you must consider when choosing for an online trading platform.
- User-friendly interface – choose a trading platform that you are comfortable working with. A best share trading platform must be easy to use.
- Don’t imitate others – don’t choose a trading platform because is recommended by your friends or others. Test various platforms and see which one works best for you.
- Stability of performance – Make sure that a good trading platform corresponds to your software. A performance of a share trading platform must be stable and smooth. This is one of the most important aspects you need to look for.
- Basic functionalities and additional features – the best share trading platform must correspond to your SA trading situation at the moment. Most online trading platforms for beginners come with this feature.
- Support – your broker must know the trading platform you are going to choose to trade with. The team must also be equipped so that they help you whenever you need help.
How to Find the Best Online Trading Sites in South Africa
By using our guide, you will be able to find the best online trading sites in South Africa. You may be hearing more and more about online trading, it’s quite normal! Indeed, many individuals and professionals have embarked on trading sites to invest their money and grow their income. Our experts guide you to the best trading platforms of the moment to consider a serene and winning investment.
- Online trading is now carried out on an online platform or a mobile application through which you can buy financial securities.
- These trading platforms are accessible to everyone and not just to experienced traders.
As mentioned, the practice of trading is based on speculation. Indeed, investing in forex in financial securities implies analysing the price variations of securities. The goal is to resell them later, when their price increases and to make a capital gain.
If you want to get into stock market speculation, we’ll shop you top online trading sites in South Africa. It is important to be aware of the risks of this practice and not to consider this activity as a game but a real investment. The best trading site with no minimum deposit must therefore be serious, reliable and profitable!
Best South Africa online trading site in 2021: follow the advice of our experts
Online trading sites are plentiful and each have similar characteristics that make it difficult to choose.
- Indeed, most individuals who wish to start trading are often beginners and do not necessarily know how these sites work.
- To do this, it is important to get help in these steps and to follow the advice of experts.
- These steps taken alone can be time consuming and energy consuming, with no guarantee of success. Trusting professionals is definitely worth it!
As you continue to read this guide, we present the opinion of our team of experts, their comparison of the best online trading sites in South Africa, as well as all the advice to follow when choosing your trading site.
Follow their advice and selection to register on the safest trading site of the moment and safely invest your money in forex.
A team of professionals to guide you to the best South African online trading site
If you are tempted to invest in the financial markets, our team responds to guide you step by step! Find out how to invest in forex and get a big return on your investment.
- Indeed, our experts present a comparison of the best trading sites to make your work easier.
- They also share with you an opinion on the financial instruments and the different leverage effects that could suit your investor profile.
Our team of experts is made up of dedicated specialists, who guide you and guide you through the procedures to follow. In addition, they will provide you with tips and advice on how to recognize the best trading sites. Find their selection validated after many hours of work.
What is the best online trading site review?
The most famous online trading site on the market is, among others, the site that offers you:
- An intuitive and easy to use application with experienced brokers.
- Attractive spreads,
- Very low or non-existent trading fees,
- A large choice of financial instruments,
- A quality training support,
- And responsive and knowledgeable customer service.
How to invest without taking any risk on the best South Africa trading site?
To choose the right online trading site without taking too much risk, it is essential to analyse a number of elements.
Do not skip this verification step when selecting your trading site at the risk of being disappointed and seeing your money melt like snow in the sun!
An exceptional trading site must meet, before you consider making your minimum deposit and creating your account, professionally to many strict criteria.
We look at all of these aspects with the flow of this article and help you find the most interesting online trading site around.
Regulation in online trading
Regulation is an important point to ensure the quality of a trading site. Many regulatory bodies are responsible for:
- To recognize a trading site,
- And to emphasize the reliability of trading sites.
Keep in mind that trading is:
- A risky activity,
- Subject to strong competition,
- Likely to lead you to sometimes fraudulent trading sites.
- CYSEC – Cyprus Securities and Exchange Commission
- MFSA – Market in Financial instruments Directive
- MIFID – The Malta Financial Services Authority
- FCA – The Financial Conduct Authority
- FSCA – Financial Sector Conduct Authority
Our specialists have checked a plethora of platforms for you in order to find the trading site that meets all your expectations and your trading needs. Find their updated and argued selection.
Identify your investor profile
The step of creating your investor profile is important. Before considering this step, you need to find a trading site that matches your trading style.
To do this, a trading professional can help you analyze and determine some important points such as: your financial situation, your profitability goals, your knowledge and experience in the financial market.
This upstream analysis will prevent novice traders from taking the risk of speculating on trading sites which are reserved for experienced traders and orienting each one the following:
- Their training needs,
- His desire for strategies,
- And its investment potential.
Overall, an investor profile is based on 3 essential key points such as:
- The ability to follow trading rules.
- The ability to accept failure.
- The ability to remain humble.
Then, the personalities of the traders and their strategic objectives classify them in different categories with particular expectations that each forex broker wishes to satisfy.
Validate your investment strategies
All trading investment strategies include elements of differentiation like
- The type of trading that oscillates between scalping, day trading or swing trading.
- The unit of time that varies according to your investor profile. Some trading strategies work well over the short term and others are more attractive to set up over the long term.
- The traded product involves a strategy that is based on the product such as a currency pair, a stock index, a commodity or even a stock.
- The management of gains for which the strategy is based on an objective of gains. She teaches you how to manage them properly to become better at trading.
- Loss management which takes into account the possible risks of loss and teaches you to think about them constructively.
Online Trading Strategies
As the name suggests, this strategy involves buying and reselling financial assets on the same day. Indeed, this practice can be done over 4 hours, an hour or even 30 minutes sometimes. It is important to take into account:
- The market in which you are going to trade,
- The timescale you use,
- The trading indicators you use,
- And the risk you take on each trade.
This strategy consists for traders to buy assets and hold them for a period of time that fluctuates according to the opportunities. The advantage of this method is that you only spend a few minutes each day looking for trading opportunities and let the evolution of the assets do the work.
This strategy is not based on short-term fluctuations in the financial trading market. On the best trading site, the trader will buy assets in his trading account with the aim of reselling them in several weeks or even months.
This investment strategy is here based on an algorithm. The trader will enter his rules and conditions of use of his financial instruments so that the program can enter and exit the market. This trading strategy represents a significant time saving.
This trading strategy is based on financial seasons. The trader knows the fluctuations of the market according to the periods (macroeconomic announcements). He buys and resells according to seasonal habits and on the same day.
Get training on reliable trading sites
Whether you are a beginner trader or a trader with a lot of experience behind you, each trading platform offers you suitable learning tools to help you progress in investing in the financial markets.
- A quality trading site offers you tailor-made training to learn how to trade effectively and guides you according to your needs.
- A professional trading site offers a demo account accessible to all to allow you to take control of the chosen trading site, understand how it works and take your marks on the financial markets.
- Social trading is also an alternative offered by a good trading site and a quality broker. It helps you understand the daily life of a trader and follow the steps of live trading.
Social trading is one of the possibilities for a trader to train on a trading site.
- It consists of an online grouping of people who have the same focus of interest, i.e. trading.
- This social trading allows less experienced traders to benefit from the analyses of experienced traders and invest in forex the same way they do.
- This community trading is based on the exchange of information and cooperation between new and old traders.
- Although there is no proof that the gains from social trading are additional to the gains from traditional trading, this technique, which is featured on the most reputable trading site, appeals to and demystifies the world of online trading.
- This method of social trading is mainly intended to help traders who do not know how to invest in forex on their own and do not understand the game of fluctuations in cryptocurrency.
Test the online trading site
To introduce you to speculation on trading platforms, each trading site offers a demo account in which you invest fictitiously.
- These demo accounts generally offer unlimited time access to traders and are free.
- The aim is to allow the trader to become familiar with the handling of trading using virtual money.
- It allows the trader to understand how to avoid losing profit on a trading site.
- In addition, these demo accounts allow each trader to familiarize themselves with the trading site, to understand its operation as well as the operation of the tools it makes available.
You will therefore be able to test many speculation strategies without taking the slightest risk for your portfolio!
What are the essential elements to find on a serious online trading site?
Before getting into a trading platform and starting to take an interest in cryptocurrencies and the like, it is essential to check the reliability and reputation of the site where you are going to invest in forex.
To ensure a serious trading site, you can verify that certain information is provided correctly.
- First, check the registration and license number of the online forex broker or your online brokers.
- Then find the contact information such as email and phone.
- It is generally not in vain to dwell on the terms and conditions available on the trading platform and their bank details to verify that they correspond to the name of the site in order to distinguish the reliable trading site from the scam.
Also remember that if the trading site calls you with a masked number, it is rather a bad sign in terms of reliability. Do not hesitate to test the quality of its customer service! This will give you a precise idea of the quality of the service of this online trading site.
The platforms used on the best online trading sites
Choosing your trading platform is not an easy step whether you are a beginner or an experienced trader. The choice of your platform will depend on your objectives.
Instruments offered on trading platforms
On an online trading site, you have the opportunity to invest in forex thanks to many different financial instruments such as raw materials and crypto currencies,
We help you to see more clearly in these different elements in order to approach trading with full knowledge of the facts. An informed trader is worth two!
The type of spread offered by reliable trading sites
On the stock market, the spread corresponds to the difference between the quotations of supply and demand. It is therefore the commission that the forex broker receives on the trader’s transactions.
There are different types of spreads that the trader can find in the trading site offers:
- The fixed spread which is determined and which does not vary. However, it is important to note that it is sometimes higher than variable spreads.
- Spread variables that the trader can find when applying the No dealing Desk. Unlike the fixed spread, it varies according to the supply and demand of transactions and is regularly updated.
The payment methods offered by the trading site
You need to make your first deposit to get started in the world of trading. However, before performing it, it is essential to:
- Find out about the payment methods offered,
- Dissect the conditions related to financial transactions.
Any self-respecting forex broker knows that he must offer his trader multiple payment methods in order to satisfy him and meet his needs.
What could be more frustrating than insufficient means of payment and not being able to finalize a transaction, the opening of your trader account or even a large investment on your favorite online trading site!
- Bank cards – Visa, Mastercard and Maestro cards are accepted by any forex broker to make your deposits.
- Electronic wallets – Secure payment method, it allows you to pay via Neteller, paypal or paysafecard on the trading site.
- Bank transfers – Bank transfer is such a secure option that is unanimous. The waiting period is long than other payment methods, it will take several working days for the money to reach your account.
The minimum authorized deposit is:
- Around 10 USD for bank transfers, payment by credit card,
- Sometimes even 5 USD for electronic wallets.
It is important that withdrawal methods are also to the advantage of traders. To withdraw his money, the trader must simply select his trading account to be debited and indicate the amount of his withdrawal.
Find the trading site offering the most payment solutions and incredibly advantageous deposit and withdrawal conditions. Trust the detailed advice of our experts who have studied its aspects with all the necessary precautions.
Leverage in your image
For any trader, it is important to be able to choose the best cryptocurrency trading site to trade online.
- Once the trading site has been validated, it is important to determine which leverage to choose to prevent traders from losing money.
- If leverage is applied incorrectly, it can be very risky for the trader and for his portfolio.
The higher you choose a level and a higher leverage, the greater the risk.
- If you are a beginner, it is therefore preferable not to go for too much leverage.
- Additionally, to determine your leverage, you need to analyze your level of risk aversion and whether or not you are willing to lose money and how much.
- It is wise to analyze the market well before any trade.
The ergonomics and design of the platform
Investing in cryptocurrencies is a complex and complicated business. To facilitate the approach to trading for beginners, trading sites have opted for ergonomics and a clean design.
- The goal is to simplify the trader’s activity and increase the intuitiveness of his movements on the trading site, without discouraging him by complex manipulations.
- The categories and tabs of the site are well distinguished with different colors and varying font sizes to allow easy and simplified navigation.
Customer service is a must to check and test before committing further to a trading site. It is imperative that this customer support be efficient and of the highest quality.
Customer service should at least offer the trader who is new to the trading site or the experienced investor the following:
- Communication and exchange in the language of the trader.
- Multiple communication channels like phone number, email or live chat to easily contact them.
- Competent advisers to meet your expectations.
Accessibility, responsiveness and competence are the key words for quality customer service!
The best online forex trading site for smart investing
Opening a trading account is an essential step for any trader wishing to invest in forex, the stock market by buying shares or others.
To do this, and prevent traders from losing money:
- The best forex broker, or online brokers, is there to guide the trader in his steps.
- Demo accounts can be important for them to practice before investing in forex.
However, it is important to choose the best forex broker by validating that it offers at least the following services:
- easy and quick opening of an account;
- all the complex market analysis tools at your fingertips;
- a thoughtful and judicious capital investment;
- tips to minimize the risk of loss;
- access to multiple financial products;
- analysis of many different stock markets;
- the possibility of diversifying your investments:
- the advantage of benefiting from tailor-made training;
The trader must remain aware of the risk-taking to which he is exposed by investing in cryptocurrencies, commodities and others in the financial markets.
The trader must be careful when selecting the trading site that he prefers. Many trading sites are actually scams, be careful!
Online Trading South Africa FAQs
Get the answers to the most frequently asked questions about Online Trading in South Africa. At OnlineTradingSouthAfrica, we’ve done our research properly and done everything we can to answer all your Online Share Trading questions.
Question: What is Online Trading?
Answer: Online trading is the act of using the internet to buy or sell stocks.
Question: How can I start trading online in South Africa?
Answer: You’ll need to open a SA trading account with an online broker that is regulated in South Africa. Then you can be able to use their on line trading client program to buy and sell shares or invest in stock trading.
Question: Is online trading legal in South Africa?
Answer: Yes, trading online is legal and legit in South Africa.
Question: How do you trade online South Africa for beginners?
Answer: You need to first choose an online broker, create an account and a use demo account to practice. Once you feel like you are ready to trade online with real money, then fund the account, choose the currency pair or stocks and start trading in SA.
Question: Does South African online trading really work?
Answer: Online trading works and is not a get rich quick scam. It takes practice and patience to master the art of trading.
Question: Can you make money trading online?
Answer: Yes, it is possible to make money in stock trading. Some successful online traders in South Africa such as Ref Wayne, George Van Der Riet and Sandile Shezi have actually made millions trading in markets.
Question: What is the best form of trading?
Answer: Position Trading, Swing Trading, Day Trading and scalping are four popular active trading methodologies.
Question: Can I trade in South African shares even when I am not living in South Africa?
Answer: Yes, you can. Our team at Online Tradings has done a research. You need to look for online brokerages in your country with operations in South Africa.
Question: How can I become a shareholder?
Answer: You become a shareholder by buying shares in a company.