Broker Overview
Today, I'm going to give you a review of EXANTE, a global broker that's been on the market for over a decade. In this article, we will analyse in detail the conditions of this broker, the trading terminal, the registration process, and deposit and withdrawal methods.
Feature | Rating |
Security | 5 |
Comfortability of the platform | 4 |
Range of financial instruments | 5 |
Support | 4 |
Commissions | 4 |
OVERALL | 4.5 |
EXANTE: A Global Broker with Multiple Licences
One of the stand-out features of EXANTE is that it's a brand used by several investment firms around the world, providing direct market access to more than one million financial assets. The firms operating under the EXANTE brand are regulated by the FCA (UK), CySEC (Cyprus), MFSA (Malta), and SFC (Hong Kong).
EXANTE's trading platform caters to a wide range of clients. These include professional traders, asset managers, wealth managers, proprietary traders, family offices, banks, and financial institutions.
Trading Instruments
EXANTE boasts an impressive array of trading instruments. The broker offers over a million different instruments, including stocks and ETFs, bonds, futures, and hundreds of thousands of options. This broad offering allows traders to diversify their portfolios and explore different markets.
Here's a breakdown of the instruments available on EXANTE:
Stocks and ETFs: Trade more than 30,000 stocks and ETFs across multiple financial markets including US and European exchanges.
Bonds: Access to prime bonds and unlimited opportunities for portfolio diversification. Ideal for lower-risk strategies.
Options: Find, analyse, and trade hundreds of thousands of options.
Funds: Trade over 200 funds with a single multi-currency account.
Futures: More than 3,000 futures on markets like EUREX, CME, and LIFFE.
Currencies: Trade more than 50 currency pairs with forwards and swaps available.
Metals: Invest in metals via multiple instruments, including options, futures and ETFs.
Rates and Commissions
EXANTE prides itself on its transparent rates and commissions. The broker charges just trading commissions and market data subscriptions, with no hidden fees.
Rates start from 0.02 USD for stocks & ETFs, 0.3 spread for currencies, 3 USD for metals, 1.5 USD for futures and options, and 9 bps for bonds.
Here is a breakdown of EXANTE's trading fees:
Instrument | Fees |
Stocks & ETFs | From 0.02 USD |
Currencies | From 0.3 spread |
Metals | From 3 USD |
Futures | From 1.5 USD |
Options | From 1.5 USD |
Funds | From 0.5% |
Bonds | From 9 bps |
You can see a detailed breakdown of EXANTE's fees here.
Pros and Cons of Trading with EXANTE
Like any other broker, EXANTE has its strengths and weaknesses. Here are the pros and cons of trading with EXANTE:
Pros:
Instruments: More than 1 million trading instruments on the trading platform.
Margin trading: Traders can use their existing assets as collateral to diversify their portfolios.
Clear rates and commissions: No hidden fees or tiered pricing.
Dedicated manager: Clients are assigned a dedicated manager from day one, ensuring a personal touch.
Broad offering: EXANTE offers not just US and EU stocks, but also Asia-Pacific, MENA, CIS, and exotic markets upon request.
Trading platform: Trade on the web, desktop, and mobile.
Cons:
High minimum deposit: The minimum deposit for retail clients is considerably high, standing at 10,000 EUR.
Lack of automation in options trading: This could be a drawback for traders who prefer automated trading.
Lack of automated reports: Some reports have to be requested manually, which can be inconvenient for some traders.
EXANTE Terminal
As a trader, your trading terminal is your cockpit. It's where you steer your investment vehicle, navigating the market's turbulent waves and calm seas. We're going to take a close look at the terminal offered by EXANTE.
EXANTE's trading platform is available for desktop, web, and mobile (Android and iOS).
Modular Design That Adapts To Your Needs
One of the first things you'll notice about the EXANTE terminal is its modular structure. This is a game-changer for both beginner and seasoned traders. Why? Because it allows you to customise the platform to your specific needs.
The main window of the terminal always features a toolbar on the left and a status bar at the bottom. The rest of the space is your playground. You can add the entire toolbar from the Basic settings menu, rearrange tabs as you please, and customise tab sizes by dragging their boundaries.
Want to maximise any tab to full screen? Double-click the tab header. Want to close tabs you don't need? You have several options: close them one by one, all but the current one, all to the right, or all tabs.
The toolbar serves as your launch centre. Click any icon to open the corresponding module. If the module is already open, it will be highlighted. If you want to open the same tab repeatedly, hold Shift while clicking.
Mobile App
EXANTE's mobile trading app works on Android and iOS devices. The app has a user-friendly interface and works immediately after downloading.
You'll have access to all the financial instruments from a single account and there's a wide range of personal settings available. The app navigates easily, gives you access to real-time market data, and you can easily execute trades with a few simple steps.
The mobile trading platform is not as comprehensive as the desktop version but it doesn't disappoint. It has a range of charting capabilities and a variety of time frames, as well as technical indicators available to traders.
EXANTE Terminal Features
The EXANTE terminal offers a plethora of features that make trading smoother and more efficient. Here are some of the things you can do:
Find investment opportunities in over 1,000,000 instruments and group them under different Profiles in Watchlists.
Search for promising Bonds in the specialised Bond Screener module.
View detailed Instrument Info including trading schedule, overnight rates, margin requirements, short allowance, underlying asset, exchange specification and more.
Inspect real-time and historical data on the Chart aggregated within different timeframes, as well as raw tick data.
Set Price Alerts on different conditions to keep the upper hand.
Place Orders of different types and/or durations, including Trailing Stop, Iceberg and TWAP, Take Profit / Stop Loss orders.
Monitor Margin Utilisation, use your assets as collateral and benefit from cross-margin trading.
Trade from multiple accounts at once using Multi-Account Trading and get Accounts Report (activated upon request).
Convert your cash in just a couple of clicks with the Exchange module.
Bond Screener
The Bond Screener is a powerful comparison tool that allows you to find bonds and filter them by several parameters at once. You can quickly find a specific bond by its name (ticker), description or ISIN, as well as screen up to 300 bonds from the same window.
You can customise the search results, add more filters, add and hide columns, and filter data within the columns. Once you've found the bond you want to purchase, you can contact your Account Manager.
Click-Trade Module
The Click-Trade module allows you to create new trades quickly and easily.
You can trade after just three simple steps: drag an instrument to this module with the mouse pointer, specify the quantity, and click "Sell Market" or "Buy Market".
The Exchange Module
The Exchange module allows you to make the most of your multi-currency account, by providing you with a tool to quickly and conveniently convert your funds from one currency to the next
Summary Module
The Summary module displays information concerning the account's current status. It gives you a quick overview of your account status.
It includes positions, available funds, margin size, and available balance (NAV).
Portfolio Module
The Portfolio module allows you to easily view and manage all open positions and all working orders. It displays all the positions you have opened and their primary information. This information is updated in real-time.
Orders Module
The Orders module displays information about all orders you placed ‒ completed or not.
Chart Module
The Chart module is one of traders’ key tools. It updates in real-time and shows current market quotes.
Trading From Chart
The EXANTE terminal allows you to open, modify, or close orders in the 'Order' module by clicking on the chart price axis.
The EXANTE terminal offers a comprehensive suite of tools and features that cater to both novice and experienced traders. Its modular design and customisable interface make it a versatile platform that can adapt to your trading needs.
Plus, its wide range of modules, from the Bond Screener to the Exchange module, offers you a multitude of ways to navigate the financial markets.
Algo Trading
Algo Trading, short for Algorithmic Trading, is a method of executing trades using pre-programmed trading instructions. These instructions, or algorithms, can include variables like timing, price, and volume. It's a bit like having a robot trader that can execute trades based on certain market conditions.
One of the main features of the Algo Trading module is the Grid robot. This bot is designed to execute multiple trades based on small price movements, especially when the market is in a sideways trend.
How Does Algo Trading Work?
The Grid robot, once programmed, places original buy and sell orders at various price levels. When an original order is executed, a new one is activated in the opposite direction. This new order is fulfilled when the price reaches a pre-set level.
It's important to note that the Grid operates with one instrument at a time. If you decide to pause an algo strategy, all its working orders will be cancelled.
Accessing the Algo Trading Module
The Algo Trading module can be found in the left-side toolbar of the EXANTE desktop platform.
It can also be accessed from the upper toolbar by clicking on 'Trading' and selecting 'Algo Trading' from the drop-down list.
Understanding the Algo Trading Parameters
The Algo Trading module provides a comprehensive list of your algo strategies and their parameters. These parameters include status, name, account, type, instrument, currency, orders, filled orders, unrealised profit and loss, and more.
You can customise these parameters as per your needs.
Creating and Using Algo Trading Strategies
Creating a new algo strategy is simple. You can either click the 'Plus' button in the upper toolbar or select 'Create Strategy' if the main module is empty.
From there, you can drag the desired instrument into a new window or open 'Instruments' or 'Watchlists', right-click on an instrument, and choose 'Add Algo' from the context menu.
Once you've set up your strategy, you can launch it by clicking 'Run'. The Grid robot will then start placing original buy orders at various price levels.
Tracking Your Algo Trading Performance
Keeping track of your strategy's performance is crucial. The Algo Trading module helps you keep an eye on key parameters like unrealised and realised profit and loss, position, fill ratio, active orders, filled orders, and placed orders.
Managing Your Algo Trading Strategies
Editing and deleting your algo strategies is straightforward. You can edit a strategy by choosing it from the list and clicking the pencil button, right-clicking on the strategy and selecting 'Edit', or double-clicking on the strategy.
Remember, you can only edit paused strategies.
To delete a strategy, right-click on it in the module's main menu and select 'Delete'.
You'll be asked if you want to close all strategy-related assets or cancel the action and keep the assets in your portfolio.
The Algo Trading module is a powerful tool that can help optimise your trading activity. It offers the potential for increased efficiency and precision, but like all trading strategies, it requires careful management and monitoring.
Dividends: An Essential Part of Trading with EXANTE
In the trading world, dividends are a portion of a company's earnings distributed to shareholders. If you're holding shares until a specific ex-date set by the company, you're eligible for dividends. These dividends are automatically credited to your account on the payout date, usually a month after the record date.
However, there might be a slight delay in receiving the funds due to document processing. Also, if any taxes apply to your dividends, they are debited in a separate transaction.
From Declaration to Payout
Understanding the journey of dividends from declaration to payout is essential. Here's a step-by-step breakdown of the process:
Declaration: A company announces dividends from a stock, typically following the Annual General Meeting (AGM).
Record Date: The company sets a record date and informs shareholders through a press release. All shareholders on record until this date are entitled to receive dividend payments.
Ex-Date: The day after the record date is known as the ex-date, from when the stock trades ex-dividend. This means if you buy stocks after this date, you won't receive the next payment. Instead, the seller gets the dividend.
Payout Date: This is when you receive dividends in your account, usually a month after the record date.
You can find information on dividends paid and tax applied in the Transactions section of the Client's Area.
Tax Implications on Dividends
The tax on dividends is governed by the law of the country where the traded company is registered and listed. As an 'execution only' service provider, EXANTE is neither a withholding agent nor a tax agent.
The proceeds from transactions with financial instruments or corporate actions are passed to clients in the exact amount received from EXANTE's counterparties, minus any withheld taxes.
As a Qualified foreign Intermediary (QI) to the IRS, EXANTE is obligated to collect W-8 forms from all clients who could potentially receive US source income in the form of dividends.
Failure to submit this form will result in a maximum withholding rate of 30% applied to foreign entities or individuals. However, once you submit a valid form, you can benefit from the tax treaty applicable to your specific tax residence.
Key Takeaways
If you hold shares until the company-defined ex-date, you're eligible for dividends.
Dividends are automatically credited to your account on the payout date.
Any applicable taxes are debited in a separate transaction.
The tax on dividends follows the law of the country where the traded company is registered and listed.
As a QI to the IRS, EXANTE must collect W-8 forms from all clients who could potentially receive US source income in the form of dividends.
Trading with EXANTE is more than just buying and selling shares. It's about understanding the entire process, including dividends and their tax implications. Armed with this knowledge, you can make more informed decisions and maximise your trading potential.
EXANTE Fees
EXANTE's trading fees are structured in a way that they only apply to actual trades. This means that you can trade any number of instruments starting from one traded unit. The size of the minimum traded unit varies by instrument, and this information can be found on the EXANTE trading platform.
Stock & ETF Trades
Trading fees for stocks and ETFs vary across exchanges. For instance, on the main US exchanges, the maximum rate is 0.02 USD per share. European exchanges have varying fees, ranging between 0.02% to 0.18%.
Major Asian exchanges also have their own fee structure, with rates ranging from 0.1% on the Tokyo Exchange to 0.1927% on the Hong Kong Exchange.
Futures & Options Trades
Futures and options trades also have varying fees across exchanges. The main US exchanges charge from 1.5 USD per instrument. European Exchanges have a fee of 1.5 EUR per instrument. Other exchanges like the DGCX, HKEX, OSE, ASX, and SGX have their own fee structures.
Real-Time Feed Provision
EXANTE charges a fee for the provision of real-time feed from certain venues. You can subscribe to any of the enlisted markets via the Client’s Area. The fees vary depending on whether you are a retail or professional client.
Cash Conversion Fee
EXANTE charges a fee for cash conversion. This is 0.25% on all major currency pairs, except for EUR/USD, where the rate is 0. For the rest, the rate is 0.4%. When converting through the Account Summary module or with automatic currency conversion, no additional fee is applied.
Bond Trading
EXANTE allows you to trade both private and corporate bonds with fees starting at 9 bps for a range of bonds. This includes both European and US Corporate/Government bonds.
Currency Pair Trading
If you wish to trade currency pairs, live market spreads start at 0.2 pips. However, keep in mind that for holding a negative position in cash, you will be charged interest, depending on the currency of the position.
Overnight Fees
Overnight fees apply to short positions and FX. They depend on the market and are constantly changing. Current overnight fees can be found in the Client's area.
Manual Execution Fee
Note that the fee for manual execution of voice orders amounts to 90 EUR/GBP.
Service Fees
EXANTE does not charge for transfers to EXANTE or transfers between your accounts and subaccounts within EXANTE. You can use leverage when trading with EXANTE for free. However, EXANTE may charge various commissions for specific actions.
Inactivity fee: 50 EUR/GBP per month for accounts with no trades within the last 6 months, no open positions, and a balance under 5,000 EUR/GBP.
Withdrawal fee: 30 EUR/GBP or an equivalent per transaction.
Deposit fee: None.
Margin trading fee: None as long as Margin Utilization is below 100%. If exceeded, a fee equivalent to 100% p.a. on the exceeded value is charged daily.
Shorting stocks: Approximately 12% of the transaction.
Manual execution: 90 EUR/GBP for voice trading in case you place phone/email orders.
Fees for trades: Variable, applied by the issuing exchange.
Overnight fees: Variable, can be found in the client's area.
Interest: Variable, applies as a fee for holding negative positions in cash.
Custody fee: 0.3% annually, applies to bonds.
Remember, these fees may change at the discretion of the exchange. It is always important to stay up-to-date with the current fee structure applicable to your account by checking your Client's Area regularly.
Register and Open an Account with EXANTE
The process of registering and opening an account with EXANTE is straightforward and user-friendly. Here's how it works:
Sign up: The first step is to sign up on their platform. Ensure to provide accurate contact details, or else they won't be able to reach you.
Client's Area access: Once you've signed up, you'll gain access to the EXANTE Demo area. Here, you can get a feel for their platform before proceeding to open a Live account.
Fill out the questionnaire: This is where you indicate your trading experience and areas of interest. This information helps EXANTE tailor an account that suits your needs.
Identity verification: You'll need to upload the required documents for an individual or corporate account. The verification process typically takes one business day.
Fund your account: Depending on your account type, you'll need to deposit a certain amount. For individual clients, the minimum funding requirement is 10,000 EUR/GBP, while for corporate clients, it's 50,000 EUR/GBP.
Access the trading platform: After all these steps, you can access the live trading platform from their website or download it for any mobile or desktop device.
Document Verification Process
Opening an account with EXANTE doesn't require a face-to-face meeting. All you need is an internet connection and to follow their guidelines. To verify your account, you'll need to:
Create an account with EXANTE.
Fill out the opening questionnaire in the Client’s Area.
Agree to and sign the necessary documents for opening an account.
Upload and submit the required documents for an individual or corporate trader in the Client’s Area.
If your documents are valid and correct, it usually takes one business day to verify documents and approve the account. If any additional documents are required, the information will appear in your Client’s Area.
Document Requirements for Individual Clients
To open and verify an individual trading account, you'll need to provide the following documents:
Proof of identity: This could be a valid passport, national ID card, residence card, or driving licence. The document should contain your full name, nationality, date of birth, place of birth, and issue and expiry date. It should be in colour and scanned with all four corners visible.
Proof of residence: This document should contain your full name, address, document date, and the name of the service. Acceptable documents include a utility bill, bank/PSP account statement, or correspondence from a government authority. Note that mobile service bills or credit card statements are not accepted.
Please note that one document cannot confirm both Proof of Identity and Proof of Residence. You must provide two different documents.
Restrictions and Final Steps
EXANTE works with clients worldwide, excluding the USA (citizens and residents), Japan, Iran, the Democratic People's Republic of Korea (DPRK), Russia and Belarus. Enhanced Due Diligence is required for clients from certain countries.
Once you've registered and your account is approved, you can deposit the required funds and gain full access to the EXANTE trading platform. You can practise on the Demo account or go Live for direct market access and real-time trades.
EXANTE Deposit
For starters, EXANTE has a minimum deposit requirement which is dependent on the type of account you hold. If you're an individual trader, you're required to deposit a minimum of 10,000 EUR/GBP to get started. On the other hand, corporate accounts demand a higher minimum deposit of 50,000 EUR/GBP.
The good news is, EXANTE provides flexibility in terms of the deposit currency. You're not limited to just EUR or GBP. The platform accepts deposits in a variety of currencies including USD, JPY, CHF, CZK, SEK, CAD, HKD, MXN, PLN, NOK, SGD, and AUD.
However, it's worth noting that the range of available currencies may vary based on the type of account you hold.
Making a Deposit
Once your documents have been verified and approved, you're free to deposit any amount. There are no fixed minimum or maximum transfer limits, which means you can transfer the deposit in parts. However, live trading access is only granted once you reach the minimum deposit requirement for your account.
The default deposit method is bank transfer, which is often considered the safest way of transferring large sums of money. After your documents have been verified, you'll receive an email with the transfer details. EXANTE accepts payments via transfers from any banks and payment systems, with a few exceptions.
These exceptions include financial institutions registered in restricted regions, cryptocurrency exchanges and wallets, and financial institutions subject to sanctions.
Timeframe and Additional Information
It's important to keep in mind that bank transfers can take between 1 to 5 business days to process. Once processed, the funds will be reflected in your account immediately. Remember to include your account number and full name in your payment reference, along with any other information required by your bank or local authority.
One key rule to remember: the account can only be funded by the verified account owner. Third-party transfers are not allowed. It's also advisable to consult your bank in advance to learn about any potential fees, commissions, or costs borne by intermediaries.
Managing Your Account Currencies
EXANTE's trading platform allows you to trade from a single multi-currency account. It supports a wide range of currencies, including EUR, USD, AUD, CAD, CHF, CZK, GBP, HKD, JPY, NOK, NZD, PLN, SEK, SGD, and TRY. The deposit currencies depend on the client's account type.
You can deposit the minimum initial sum required to open an account in any of the currencies above, with the official exchange rate on the day applied.
If you add money to your account in any of the currencies, your funds will remain in the currency of choice unless you intentionally convert them or enable the 'automatic currency conversion' function.
Converting Funds on the EXANTE Platform
EXANTE offers the option to convert your funds directly on their desktop platform. You can do this by clicking ‘Account Summary’ on the top toolbar -> ‘Cash Balance’ -> right click on the row of the currency you wish to convert (‘Convert To’).
Alternatively, click ‘Instruments’ on the top toolbar -> choose ‘Cash’ from the groups of instruments -> place an order. This allows you to convert existing funds to additional currencies.
The EXANTE deposit process is fairly straightforward and flexible, offering a variety of currencies to deposit in. However, it's important to be aware of the minimum deposit requirements, the time it takes for the bank to process your transfer, and the rules regarding third-party transfers.
EXANTE Withdrawal
EXANTE operates a two-tiered commission system for withdrawals. The first type is the standard (minimum) commission and the second is the non-standard (maximum) commission.
The standard commission is 30 EUR/GBP. However, if the non-standard commission calculation (0.9% of the withdrawal amount) exceeds 30 EUR/GBP, the higher amount is applied.
Let's break it down with an example:
Suppose you're withdrawing 1,000 EUR/GBP. 0.9% of 1,000 equals 9 EUR/GBP, which is less than 30 EUR/GBP. Therefore, the standard commission of 30 EUR/GBP is applied.
Now, imagine you're withdrawing 10,000 EUR/GBP. 0.9% of 10,000 equals 90 EUR/GBP, which is more than 30 EUR/GBP. In this case, the non-standard commission of 90 EUR/GBP is applied.
The non-standard commission is only applied if two conditions are met:
The account was funded through a securities transfer, not a cash transfer.
No trades were performed, only a few nominal trades were completed, or trades were executed solely for the purpose of liquidating transferred securities and withdrawing the cash.
If the account was funded with cash and you decide to withdraw the funds immediately without trading, the commission will be 30 EUR/GBP, regardless of the withdrawal sum.
How to Withdraw Funds from Your EXANTE Account
EXANTE only supports withdrawals through bank transfers, as it's the most secure way to handle significant amounts. Here's a step-by-step guide on how to withdraw funds:
Log into the Client’s Area.
Navigate to the ‘Account’ tab and select Transfers.
Specify the withdrawal amount. If you have any open positions, a warning message will remind you to close them first.
Choose your preferred currency. EXANTE supports withdrawals in EUR, USD, GBP, CHF, CZK, and PLN.
Fill out the withdrawal form and press Send withdrawal request.
To confirm your withdrawal request, you'll need to use two-step authentication (Google Authenticator) or an SMS code sent to your contact number.
Please note that it usually takes one business day to approve a withdrawal request. However, bank processing might take up to five business days and might require additional fees, which EXANTE doesn't determine.
Minimum Withdrawal Level at EXANTE
EXANTE doesn't impose any limits on the amounts clients can withdraw from their accounts. There's no minimum withdrawal amount, while the maximum amount is naturally limited by the amount of free funds currently available on the account.
How Long Does It Take to Withdraw Your Funds?
Typically, it takes no more than 24 hours to approve your withdrawal for execution. After that, it may take 3 to 5 business days for funds to be transferred by the bank to your account.
EXANTE Security
EXANTE has established a reputation for its robust security measures. It's clear that the company is committed to ensuring the safety of its clients' personal data and financial assets. Let's delve into the specifics.
Data Privacy and Protection
One of the first questions that comes to mind is, "Does EXANTE share my personal information with third parties?" The answer is a resounding no. EXANTE stores all personal data on its internal servers, and it doesn't share this information with any third parties.
This commitment to data privacy is reassuring, as it means that your personal information is kept confidential and secure.
When it comes to data security, EXANTE is also compliant with the General Data Protection Regulation (GDPR). This means that they adhere to strict standards when it comes to data protection and privacy.
In-house Trading Platform
EXANTE has developed its trading platform without relying on third-party solutions. This is a significant security advantage, as it reduces the risk of data breaches and other security issues that can arise from using third-party software.
Data Erasure
What happens if you want all your data to be erased? If you decide to end your relationship with EXANTE, you can request the complete erasure of your personal data. However, as a regulated financial institution, EXANTE is required to retain your data for a minimum of six years for anti-money laundering and counter-terrorism purposes.
Two-Factor Authentication (2FA)
EXANTE implements two-factor authentication (2FA) for both its Client's Area and trading platforms. This is a crucial security measure that provides an additional layer of protection against unauthorised access to your account.
EXANTE supports various types of verification, including SMS, email, and one-time password applications. Notably, they recommend using Google Authenticator, a mobile application that generates 2-step verification codes.
Financial Security
In addition to data security, EXANTE also prioritises financial security. As an EU-regulated investment firm, EXANTE complies with the MiFID II Directive and meets all associated legal requirements, protocols, and policies.
EXANTE works with major European banks and relies on Tier 1 liquidity providers for clearing. They also have multiple counterparties for each financial instrument to ensure smooth operations. For commodities trading, deals are executed directly at the corresponding exchanges.
To further enhance asset protection and risk mitigation, EXANTE employs segregated accounts. This means that client funds are kept separate from the company's own funds, providing an additional layer of financial security.
Anti-Phishing Measures
Phishing is a common online scam where fraudsters attempt to steal personal information by posing as legitimate entities. EXANTE takes active measures to protect its clients from such threats. They implement administrative and technological measures to safeguard client data processed through their information systems.
In conclusion, EXANTE's commitment to security is evident in its comprehensive measures to protect client data and financial assets. As a trader, I find this commitment reassuring and believe it contributes significantly to the platform's overall reliability and trustworthiness.
What happens if EXANTE closes?
As a trader, it's crucial to understand what could happen if your chosen brokerage, in this case EXANTE, were to unexpectedly close its doors. While this scenario is unlikely, it's always best to be prepared and understand the potential implications.
The Liquidation Process
If EXANTE were to cease operations, a standard procedure would kick in. The court would appoint an administrator to manage the liquidation process. The physical offices would be shut down, and all operations would stop. The administrator, in collaboration with the firm, would then review all documents, records, and books to ensure everything is in order.
The supervisory authority, whose role is to oversee the process, would step in to verify the accuracy of the firm's records. If everything checks out, the next step would be to transfer client accounts to another brokerage firm.
Client Account Transfer
The transfer of accounts is typically arranged by the supervisory authority and the administrator. As a client, you would be notified about the transfer. You would then have the option to continue with the new broker or select a different service provider according to your preference.
In some cases, you might be required to file a claim with the appointed administrator for the repayment of your assets.
Investor Compensation Fund
In certain circumstances, if you fall under the protection of an investor compensation fund, you could be entitled to a direct repayment of your assets. This would be within the limits set by the respective investor compensation fund. This process is typically handled out-of-court, simplifying the procedure.
EXANTE's Measures
To reassure its clients, EXANTE, a fully licensed investment company, complies with MiFID II (Markets in Financial Instruments Directive). By MiFID II requirements, EXANTE separates clients’ and the Company's assets. The clients' assets are held on segregated accounts at trusted custodians, and EXANTE does not have access to these assets.
Key Takeaways
In the event of EXANTE's closure, a court-appointed administrator would manage the liquidation process.
Client accounts would be transferred to another brokerage firm.
Clients may be eligible for direct repayment of assets if they fall under the protection of an investor compensation fund.
EXANTE separates clients’ and the company's assets, ensuring client assets are safe.
EXANTE encourages its clients to regularly check on the company's legal status and licences in the state registries. It's also recommended to maintain organised records of your assets and accounts, either as hard copies or electronic records of holdings, account statements, and trade confirmations.
While the closure of a brokerage firm like EXANTE is unlikely, it's important to be prepared and understand what such a scenario would entail.
Conclusion
EXANTE is a global broker that offers a wide range of trading instruments, clear rates and commissions, and dedicated customer service. However, it does have its drawbacks, such as a high minimum deposit and lack of automation in certain areas. As a trader, it's important to weigh these pros and cons before deciding whether EXANTE is the right broker for you.
Remember, trading involves risk and it's crucial to understand the terms and conditions of your broker before you start trading. Always do your due diligence and make informed decisions.
FAQ
1. What is EXANTE's minimum deposit?
The minimum deposit for retail clients is 10,000 EUR.
2. What trading instruments does EXANTE offer?
EXANTE offers a wide range of trading instruments, including stocks, ETFs, bonds, futures, and options.
3. What are the pros and cons of trading with EXANTE?
The pros include margin trading, clear rates and commissions, a dedicated manager, and a broad offering of markets. The cons include a high minimum deposit and a lack of automation in options trading and reporting.
4. Is EXANTE a global broker?
Yes, EXANTE is a global broker with licenses from the FCA (UK), CySEC (Cyprus), MFSA (Malta), and SFC (Hong Kong).