HotForex minimum deposit – Guide for beginners
Deposit is the process by which traders deposit funds into their HotForex trading accounts. When starting out to trade forex and CFDs, there are many things you have to learn and be quite familiar with. These range from actual analysis (fundamental and technical) to how the trading platforms work. You should however be quite knowledgeable of the financing side of your relationship with your online broker.
You must be quite aware of the process of moving funds in and out of your broker account. Most importantly, you should have information such as the minimum deposit required to trade with such a broker. This piece takes you through the minimum deposit required for trading with HotForex.
Facts about the HotForex minimum deposit:
- The minimum deposit is $ 5
- The minimum deposit is depending on the account type
- Micro account $ 5
- Premium account $ 100
- Zero Spread account $ 200
- Auto account $ 200
- PAMM account $ 250
- HFCOPY $ 500 for strategy provide, $ 100 for follower
- Multiple payment methods are available
(Risk Warning: Your capital can be at risk)
How to deposit on HotForex:
There are several methods through which you can deposit funds into your HotForex trading account. The broker actually provides traders with multiple options – and this is quite commendable. With the diverse options provided, traders are free from the restrictions placed by the inaccessibility of certain payment channels in whatever countries they may reside in.
The different deposit and payment channels include:
- Bank wire
- Credit cards
Once you created a trading account you can choose the deposit method and invest your money. We recommend verifying the trading account with the requested documents before depositing.
Introduction to HotForex
HotForex is a globally recognized broker providing forex and CFD trading services to traders all over the world. Currently, it is reportedly present in at least 180 countries and boasts of millions of active traders on its platforms daily. These traders come from Asia, Africa, and Europe, and increasingly, Latin America. It has its headquarters in Mauritius but with area offices in Cyprus, Johannesburg (South Africa), Seychelles, and St Vincent and the Grenadines.
HotForex is licensed by multiple reputable regulatory bodies. For one, it is regulated by the Dubai Financial Services Authority (DFSA) as well as the highly reputable Financial Conduct Authority (FCA), the Financial Sector Conduct Authority (FSCA) of South Africa, and the Financial Services Authority (FSA) of Seychelles as a Securities Dealer. Then, it has a license with the Financial Services Commission (FSC) of Mauritius. The broker is also registered under the International Business Companies (Amendment and Consolidation) of St Vincent and the Grenadines.
Trading with Hot Forex
Trading with Hot Forex is similar to trading with other brokers to some extent. However, there are some unique features provided as well.
Markets and Types Trading
Hot Forex primarily provides forex trading. However, it has now expanded to comprehensive derivatives trading – especially in CFDs. Unfortunately, it does not allow for spreadbet trading. Markets available include cryptocurrencies, metals, stocks, indices, and of course, currencies. It offers multiple account types (up to 6, as we will see later) as well as an array of quality trading tools and indicators some of which are proprietary.
One of the most remarkable things to note about Hot Forex is that it enables trading via a whopping twelve (12) trading Platforms. This means that traders can trade from as many platforms as they desire.
Types of accounts in Hot Forex and minimum deposits
HotForex, just like most other quality brokers, offers different types of accounts for its traders. Each account type comes with its own features. Usually, what differentiates each account is the minimum deposit that is required to be deposited into the accounts.
The accounts are mainly divided into the demo account and the live account. The demo account is a free account. The live account is that which requires you to deposit funds to be able to trade. There are 5 types of accounts under the live account category. We discuss the account types and their features below:
Demo account (no minimum deposit)
A demo account is a type of trading account containing virtual money. This account is provided by a broker to traders using its platform. With a demo account, you can make trades and do almost every other thing that you do when using a live trading account. However, you cannot withdraw the funds or whatever profits you make with the account. Nevertheless, as you will see, a trading demo account is a must-have.
Uses of a Demo Account
Listed below are ways in which the demo account has proven invaluable:
- To practice trading skills
For newbie traders, the demo trading account gives you the opportunity to put to practice whatever trading skills you might have learned. Here, you are trading real-life market situations but with fake money, without any risks coming whatsoever on your part.
- To test a trading platform
Before you sign up with a particular broker and commit your capital to it, you may want to test such a broker first.
There is no better way to do so than with a demo account. With a demo account, you get to know how trading works with the broker, those instruments that you can get to trade with it, or whatever currency your trading account will be denominated in. With these, you can easily decide if the broker is worth it or not. As such, it is recommended that before you register with Hot Forex, you first use its demo account for some time.
- To test a strategy or system
Even as an experienced trader, you will still need a demo account. From time to time, you will develop or come across new trading strategies, but you will need to test their effectiveness or profitability before you commit them to your live account. Your demo trading account gives you the best opportunity to do so without incurring any risks. Hot Forex provides traders with a $100,000 demo account. This is quite commendable.
(Risk Warning: Your capital can be at risk)
There is an array of options to pick from when it comes to the live account trading with Hot Forex.
Micro Account ($ 5 minimum deposit)
The Hotforex Micro Account is a great option if you want to trade with slightly lower stakes. It is available to traders in CySEC, SV, and FSCA areas. The leverage you are allowed on this account also depends on your area. Due to CySEC regulations, 1:30 is the limit in the EU, but under SV and FSCA, this limit stretches as far as 1:1000. The trading platforms made available also depend on your location. MT4 is always available, but MT5 is only accessible to those within the range of SV or FSCA bodies.
Zero Account (§ 200 minimum deposit)
Everyone with a Hotforex and HF Markets Zero Account can benefit from a variable spread that starts from 0 pips on major forex markets. This also has no mark-ups. These accounts are available under CySEC, FV, FCA, DFSA, and FSCA regulations. They are known as VIP Accounts under DFSA regulation though.
The competitive spread from this account type is marginally balanced by the charging of commission which is generally $6 per round turn on a single lot. These fees can also be paid in your native currency depending on location. Back to leverage where the maximum HF Markets leverage in the EU stays at 1:30. This also applies to FCA regulated traders. Under DFSA you can avail of 1:50, and the big leverage is available under SV and FSCA regulation where you can get 1:500 leverage on this account type.
Again, the available trading platforms will also depend on where you are located. MT4 is available on this account type under CySEC, SV, DFSA, and FSCA regulations. MT5 is added if you are under FCA in the UK.
Premium Account ($ 100 minimum deposit)
The VIP account obtainable with the HotForex entity is available if you are trading under DFSA regulations and as we described above, it is very similar in nature to the Zero Account type. There are a few more benefits included. Direct contact with your own HotForex relationship manager is one such benefit.
To open this type of account though, you will need to deposit at least $20,000. Again, however, the variable spread starts at 0 pips and with no markups. Your only costs should be commission which is levied at $12 per round turn on a lot of 44AED per lot. Fees may be higher outside of major currency pairs. Maximum HotForex leverage for this account type is 1:500 and the only trading platform facilitated is MT4.
This is available under both SV and FSCA regulation and connects with MQL5 to access signals and other benefits from the community. You can access leverage of 1:500 through this account type and the platforms available once again depend on your location. MT4 is available in both areas, but MT5 and HF API are only available to SV registered traders.
The HF Copy Account is available to traders regulated by CySEC or SV bodies and this account allows you to be a copy trader or a provider for others. The social aspect of the account, available on both HotForex and HF Markets broker branches, means you can have as many as 400 followers or more if permitted on request. Through this HF Copy Account, you can only trade in forex, gold, and Bitcoin with the leverage restricted to 1:30 under CySEC, and 1:400 under SV regulation.
Conclusion on the HotForex minimum deposit
There are many things that can get complicated with dealing with and trading forex. From learning how to trade to knowing how to navigate trading platforms and depositing, the whole process is not always straightforward. The above guide should serve you well for this purpose. Overall, HotForex is a professional broker with good conditions. It is possible to trade with small and big minimum deposits.
(Risk Warning: Your capital can be at risk)