Established in 1992, Saxo Bank is one of the biggest names in the Forex industry. The company stays in its position by expanding its client base and offering new services as an answer to the changing dynamics of the market. According to its first half report for 2020, the brokerage has executed over 34 million transactions and held over $62 billion in client assets. There are several reasons why traders choose to work with Saxo Bank. If you are also looking for a brokerage to start or continue your trading career, our Saxo Bank review can give you an idea about the pros and cons of the brokerage.
Is Saxo Bank Safe?
When it comes to trust, Saxo Bank is unrivaled and one step ahead of the other. The company has never gone public and it is regulated by six tier-1 regulators (high trust) and one tier-2 regulator (average trust). Top tier regulators authorizing Saxo Bank are the Financial Conduct Authority (FCA), Japanese Financial Services Authority (JFSA), Monetary Authority of Singapore (MAS), Australian Securities & Investment Commission (ASIC), Securities Futures Commission (SFC) and Swiss Financial Market Supervisory Authority (FINMA). You can deposit your fund on Saxo Bank without fear and hesitation.
Range of Products
Saxo Bank serves as a multi-asset broker and traders can choose to trade among more than 40,000 symbols. There are 9000 CFDs and 170 Forex pairs on their platform. However, it should be noted that the company does not have any instrument about cryptocurrencies in its offering portfolio. Saxo Bank offers stocks, stock options, spot FX, futures, FX options, non-deliverable forwards (NDFs), Contracts for Difference (CFDs), Exchange Traded Funds (ETFs), Exchange Traded Notes (ETNs), and 33,000 bonds.
Commissions and Fees
Saxo Bank offers probably the best pricing especially for those with large account balances. the average EUR/USD spread is 0.8 pips at Saxo Bank according to the data for August 2020. However, this spread can reduce to 0.7 or 0.6 pips depending on the type of your account (Platinium or VIP).
The minimum initial deposit is $10,000 which is a high number and hard to provide for many traders. But there are some exceptions due to your location. For example, if you are a UK resident, the entry-level comes to £500. The numbers are for the Classic account. When it comes to Platinium and VIP accounts, the minimum initial deposits are $200,000 and $1,000,000 respectively.
Saxo Bank does not practice any commission and only makes money off the spread. The situation is different only for traders with trading volumes of less than 50,000 units. These people have to pay a ticket fee of $3 per side.
Platforms and Tools
Saxo Bank’s platforms always draw a lot of attention with their easy-to-use design and trading tools. SaxoTraderGO, Saxo Bank’s web-based platform comes with 58 indicators and 19 drawing tools for charts. There are some sections that can help traders to get informed about the news such as the product overview section showing the trade signals from Autochartist.
Saxo Bank also offers many innovative tools. Account Value Shield is a feature that closes all open positions according to the maximum risk you are willing to take. If a certain level on your account balance is triggered, this feature gets activated and protects your balance accordingly.
If you do not feel comfortable with Saxo Bank’s own platforms, you can also use MetaTrader 4 but it is not a cheap option. Your deposit should be above $20,000 and you have to spend at least $2,000 per month if you want to enjoy MetaTrader.
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