Table of contents:
- 1 Account-dependent minimum deposits with BDSwiss
- 1.1 Minimum deposit and minimum deposit – an explanation of terms
- 1.2 Minimum deposit often depends on the payment method and account type
- 1.3 Minimum deposit can also serve as margin
- 1.4 Minimum deposit and trading sizes for FX trading with BDSwiss
- 1.5 Minimum deposit of binary options at BDSwiss
- 1.6 Conclusion on the minimum deposit with the broker BDSwiss
Account-dependent minimum deposits with BDSwiss
The point that we do not only deal with in our broker reviews, but which is also of interest to many traders, is the minimum deposit required by the broker. In practice, we usually speak of either a minimum deposit or a minimum deposit. However, there is a slight difference between these two terms, as most Forex brokers use the minimum deposit to refer to a minimum balance that must be available on the trading account. The minimum deposit, on the other hand, usually refers to a deposit made on the trading account, so it is closely related to a chosen payment method. Many brokers, such as BDSwiss, now completely waive a minimum deposit. However, depending on the payment method chosen, there are still requirements regarding the minimum deposit, which the example of BDSwiss can illustrate very well.
Minimum deposit and minimum deposit – an explanation of terms
It is especially important for beginners who are new to trading currency pairs, CFDs or even binary options, to know the terms used in this trading segment. Some technical terms, such as spread, margin or leverage, should simply be familiar to you, as they are part of everyday trading and understanding. Among the relatively specific terms used in Forex trading, as well as Forex and CFD trading, are the minimum deposit or minimum deposit. Mostly, brokers use these two terms synonymously, although sometimes there is a difference in practical terms.
As a rule, both the minimum deposit and the minimum deposit mean that the trader must observe a certain minimum when depositing money into his trading account. Depending on the broker, the minimum deposit is usually between 100 and 500 euros. In the case of BDSwiss there are even 2 minimum deposits, depending on whether you decide to trade currencies or binary options. However, the higher minimum deposits in particular, which are above 1,000 Euros, are often only required for special premium accounts. The smallest trading accounts offered by the respective broker, on the other hand, often only require a minimum deposit of 100 or 200 euros. Some brokers, such as BDSwiss, for example, now even waive a minimum deposit completely. However, this does not necessarily mean that the customer does not have to observe a minimum deposit amount when making a deposit.
Minimum deposit often depends on the payment method and account type
Two factors that often determine the amount of the minimum deposit are the payment methods and the type of account chosen by the customer. In the case of payment methods, brokers often make the amount of the minimum deposit dependent on which payment method the customer chooses. In principle, the minimum deposit amount is usually set to ensure that the costs of processing a deposit are in an acceptable proportion to the deposit process. If, for example, many traders were to make a deposit of only five or ten euros several times a day, the workload for the broker would be extremely high and would therefore incur equally high costs.
Minimum deposit can also serve as margin
Another reason for many brokers to require a minimum deposit is that the minimum account balance simultaneously fulfills the function of margin. It is well known that CFDs and Forex trading are leveraged. This means that the broker lends money to the customer, so that the customer is only then able to trade the required volumes. At the same time, however, the trader must keep a margin, i.e. a security deposit, on his trading account. If, for example, with a leverage of 200:1 and a resulting minimum margin of 0.5 percent, you want to trade a total equivalent of 100,000 euros, you must invest 500 euros of your own capital, which is also the security deposit. With a minimum deposit of 500 euros, the broker could thus already achieve that this amount has to be kept constantly on the account anyway. If the client then wants to open another position, the margin must of course be increased.
Minimum deposit and trading sizes for FX trading with BDSwiss
As mentioned at the beginning, the broker BDSwiss joins the group of providers who officially do not require a minimum deposit. This means that the customer only has to keep a certain amount of money on his trading account if he is actively trading and therefore requires a margin. Despite the fact that there are no minimum deposit requirements, the trader must still observe a minimum deposit. Depending on the payment method chosen, the minimum deposit varies between 10 and 20 Euros. The minimum deposit at the broker BDSwiss is therefore at a relatively low level. This also applies to the minimum trading size, which is 0.01 lots. In other words, the broker prescribes only one microlot, i.e. 1,000 units of the respective currency as the minimum trade size.
Another size that also falls within the range of trade sizes is the maximum trade size. This amounts to 60 standard lots, in other words, six million currency units. It should also be noted that there can be a maximum of 300 open orders at the same time. This value is relatively high, so that even professional traders and so-called heavy traders are rarely allowed to reach their limits
Minimum deposit of binary options at BDSwiss
The situation is somewhat different when trading binary options. Here, BDSwiss definitely requires a minimum deposit of 200 euros. After that, however, you can deposit as much or as little as you wish.
In addition, there are certain minimum amounts that must be set per trade when trading the various options.
Overview of minimum amounts when trading binary options:
|Options Type||Minimum bet|
|Long term, couples and ladder||25 €|
|60 second options||1 €|
|One Touch Options||50 €|
Conclusion on the minimum deposit with the broker BDSwiss
On the one hand, the broker BDSwiss does not require a minimum deposit, which must be constantly available as a credit balance on the trading account. On the other hand, however, the trader must observe a small minimum deposit of 10 to 20 euros if he wishes to deposit an amount to his trading account. The amount of the minimum deposit then depends on the chosen payment method. With regard to the other trading sizes, it should be noted that these are very positive from the customer’s point of view. For example, the minimum trading size is only one microlot (1,000 currency units), while the maximum trading size is extremely high at the equivalent of six million currency units. This also applies to the maximum number of open orders that can exist at the same time, because here the broker specifies a maximum of 300 orders.