Amana Capital Review
Amana Capital Review
Amana Capital provides several account types on two trading platforms. All of them offer variable spreads, and micro tradeable lots. All accounts but the Elite have a swap-free option
Moreover, Amana Capital offers several multi-account management solutions (PAMM and MAM accounts) for money managers and clients looking for professionals to manage their funds through the MetaTrader 4 Multi-Terminal.
The Company. Security of Funds
Amana Capital Group is a Financial Services Group specialized in providing brokerage services in currency pairs, commodities, and stock indices. Stemming from the Arabic word, the Group operates several entities, regulated and authorized by the respective regulatory authorities.
Company Country Regulation
Amana Financial Services Ltd (UK) UK FCA
Amana Capital Ltd. (Cyprus) Cyprus CySEC
Amana Capital SAL Lebanon CBL
Amana Financial Services (Dubai) Limited UAE DFSA
Amana Capital Ltd. (Cyprus) and Amana Financial Services UK Limited are both duly authorized and regulated by the respective authorities. The Cyprus-based company is regulated as a Cyprus Investment Firm (CIF) by the Cyprus Securities and Exchange Commission (CySEC) and the UK-based firm is authorized and regulated by the Financial Conduct Authority (FCA).
Both FCA and CySEC are reputable financial regulators, applying strict rules and supervision to licensed firms. To acquire a license from the UK financial watchdog, brokers have to prove their financial stability and to meet a number of requirements. For instance, clients` funds must be kept in segregated bank accounts, and regulated companies must hold a minimum of €730 000 to be considered financially stable.
CySEC applies similar money rules and as regards the minimum capital requirement, Cyprus-based brokers are required to hold at least €1 million.
Furthermore, both FCA and CySEC apply compensation schemes as additional guarantee to clients’ funds. FCA-regulated brokers in UK, are under the umbrella of the Financial Services Compensation Scheme, where the maximum compensation cover is £50,000 per person. Likewise, all CySEC-regulated companies are members of the Investor Compensation Fund, the fund of last resort for customers of authorized financial services firms. If any such company becomes insolvent or ceases trading, the fund is able to pay compensation to its covered clients, amounting to a maximum of 20,000 EUR.
Additionally, every CySEC/FCA regulated company is also MiFID compliant and therefore entitled to offer cross-border services within the EU under the MiFID Passporting Regime.
As regards the other two units, they are also properly licensed by the respective agencies: Amana Capital SAL, the Lebanon-based unit of the group, it is a licensed Financial Institution regulated by the Central Bank of Lebanon, and Amana Financial Services (Dubai) Limited is regulated by the Dubai Financial Services Authority (DFSA).
Minimum Initial Deposit
The minimum deposit for opening a trading account with Amana Capital is $50, which is not much, especially for a global brokerage regulated in several countries.
Average spreads & Commissions
The broker’s floating spreads vary by account types. Spreads on account types accessible with an inirial investment of $50 start from of 1.4 pips on EUR/USD, which is on the upper end of average for the forex market. For purposes of comparison, FxPro offers average spread of 1.4 pips on the EUR/USD for its commission-free MT4 accounts. If you need further information, you may look up real-time spreads of 15 leading brokers here.
The maximum leverage rates at Amana Capital are up to 1:500. Such leverage is considered comparatively high, although many other FCA/CySEC-regulated brokers offer similar or higher leverage rates. For instance, FxPro also provides leverage up to 1:500 and XM – up to 1:888. More forex brokers offering leverage equal to or exceeding 1:500 can be viewed here.
Please, be advised that higher leverage ratios may multiply your earnings on a small deposit, but they may also lead to heavy losses, exceeding initial investments. That is why Amana Capital uses a dynamic leverage model up to 1:500 on forex products, which automatically reflects on client’s trading positions. As the volume of each trading instrument of a client increases, the maximum leverage offered decreases and vice versa.
When trading with Amana Capital, you will be offered the most widely used Metatrader 4 (MT4) platform, as well as its successor, the MetaTrader 5 (MT5). Both of them come in desktop, web and mobile versions.
MT4 is preferred by most experienced traders, because it is equipped with an outstanding charting package, a full set of technical analysis tools, a wide range of Expert Advisors (EAs) and extensive back-testing environment. Besides, the platform is user-friendly and even novice traders can easily find their way around it.
Here is a list of more forex brokers offering MT4 platform.
Amana Capital is one of the many forex brokers that lately launch trading on MetaTrader 5. While most of its functionalities on the new platform are similar to those of its predecessor, there are a few improvements. Some modules are now detachable on MT5, which allows multiple monitor support. On the downside, custom technical indicators and Expert Advisors, created for MT4 do not work on the newer version. Nonetheless, the MT5 offers basically the same top-notch charting as MT4.
At the time of writing this review, the broker offers a Refer-a-Friend bonus from $100 to $750, depending on the referred person’s first deposit amount.
Methods of Payment
Clients of Amana Capital can make deposits to and withdrawals from their accounts via the following payment methods: via credit/debit cards, bank wire, and e-wallets Skrill, Neteller, WebMoney, Moneta.ru, Qiwi, FasaPay, Ayeer, ePay, Perfect Money, advcash.
Clents of the Lebanon entity are able to make deposits and withdrawals via credit/debit cards and bank wire only.
Amana Capital is a reliable and well-regulated broker, offering typical conditions for trading in various currency pairs and CFDs.
Amana Capital Review Conclusion
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