What is the minimum deposit to open a trading account?
Opening a trading account usually requires depositing a first amount of money to confirm and activate the account. But this modality is different from one online broker to another. We must therefore study what each broker offers online before deciding to open an account with one or the other and can begin to invest online on financial assets.
For new traders, it is first advisable to start trading using demo accounts. These accounts allow provide real trading conditions but with a sum of virtual money to invest in order to train, start testing its trading strategies and become familiar with the trading platform. Once this first step is completed and the desire to trade confirmed, you then have to open a real account with one of the online brokers. Each broker generally offers different types of account depending on trader profiles, sums to invest and the regularity of the activity. Thus, while some accounts are really aimed at amateur traders, others are exclusive to professional traders. Depending on the chosen account, the conditions are not the same. The commissions and fees, which are paid online sites, will be different. Similarly, the minimum deposit required to invest at the opening may vary. Some brokers offer to open an account without minimum deposit.
This minimum deposit issue is very important and goes hand in hand with the question of the budget dedicated to online trading. It must be clearly defined before starting to trade and will play an important role in choosing the broker. For example, if a trader has 2500 euros to invest, it would not be relevant to try out a trading platform requiring a minimum investment of 10 000 euros. Research and knowing which are the minimum forex deposits on demo and real accounts are therefore important to avoid surprises.
When comparing brokers, we notice that minimum deposits vary greatly from one broker to another. Most online brokers prefer a large investment from the start, which can of course be an obstacle in going through their services. Conversely, some brokers do not ask for a minimum deposit, making it possible to start from scratch. In this case, it is enough to open a stock exchange account – and the broker may even give a 25 or 50 euro welcome bonus. This type of account is aimed primarily at traders who do not have much experience or knowledge yet. Another option is micro-accounts. These types of accounts allow investors to start with 10 euros or contract sizes of 0.01 lots.
Then, the higher the minimum deposit required, the more important the features are. In general, if the minimum deposit is around 200 euros, it is possible to trade in addition to Forex CFDs or binary options for example. These accounts are therefore for the most experienced. Similarly, accounts where the minimum deposit is 1,000 euros are very often offered with very tight spreads and are exclusive to professionals.
The minimum deposit is an important element to consider when choosing an online broker. This is part of the key information you need before testing a trading platform.
Last Update on 02/01/19