We've ranked the best regulated CFD brokers that offer NAS100 or NASDAQ CFD indices. Our comparison is based on broker's fees, regulations & 6 other important factors..
NASDAQ 100 is one of the most popular equity indices of the world. It is the Index of the largest global companies listed on NASDAQ by overall market capitalization. It includes companies like Google (Alphabet), Facebook (Meta), Amazon, Apple, Tesla etc. NAS 100 is also denoted as US TECH 100.
Traders in South Africa can trade with NAS 100 through CFDs without actually owning the securities.
Many forex and CFD brokers in South Africa allow trading on NAS 100 as a CFD instrument with different spreads and features. Traders in South Africa can speculate the US Tech 100 stock index and can go long as well as short through CFDs on a variety of trading instruments.
We’ve listed the best regulated CFD brokers offering CFDs on NASDAQ 100 along with basic details of the capital market.
List of brokers with NASDAQ or NAS100 in South Africa for 2022
We first selected the CFD brokers that are regulated by FSCA or other top-tier regulations. Then checked the CFD trading fees for NAS100 instruments at all these brokers.
Here is the detailed comparison of all the NAS100 offering CFD brokers.
Here is our detailed research on the features: spread, platforms, funding/withdrawals, available trading instruments, support & more on the selected FSCA regulated forex brokers.
Rated #1 NAS100 Broker
Exness is a FSCA authorized forex & CFD broker. They are also regulated by multiple other top-tier regulations including FCA & CySEC. They offer NASDAQ CFD instrument on their platform as USTECm.
Exness is a market maker forex and CFD broker that is regulated by FCA, FSCA, and CySEC. It offers CFDs on the US Tech 100 index (USTECm) with an average typical spread of 5.67 pips per lot for 1 Mini Lot Contract and a margin requirement of 1% on the Standard account. The lowest spread for the US Tech 100 index with the commission-based zero Account at Exness is 10.8 pips per lot + $2/Standard lot (These are for Standard Lot). The average spread for NASDAQ CFD instrument is higher at Exness than other brokers.
Exness broker also offers ZAR base currency trading account & accepts multiple transaction gateways including local bank transfers in South Africa with a minimum deposit of $1. The deposits via most methods are instant including with Internet banking & withdrawals can take upto 48 hours.
Rated #2 NAS100 Broker
Hotforex is a reputed CFD & forex broker regulated by FSCA. They offer CFD trading on NASDAQ 100 (USA100) index.
HotForex is an STP broker that is regulated by FCA, FSCA, and CySEC. They allow South African traders to trade with CFD as well as futures on the US Tech 100 stock index (USA100). The average typical spread on the CFD of NAS 100 is 2.03 pips per lot with a maximum leverage ratio of 1:50.
The spread for trading USA100 CFD instrument is same with all the 4 Account types at HotForex. There is no commission, only spread is charged with this instrument + Swap Fees for overnight positions. The minimum deposit is $5 at HotForex.
Local deposits & withdrawals are available via bank transfer in ZAR. You can choose between ZAR or USD as your Account base currency.
The support at HotForex is good. The Live chat is available on their website during weekdays, and we did not experience any major connection delays or hold time.
also read our detailed HotForex review
Rated #3 NAS100 Broker
XM is an ASIC regulated forex broker that offers CFD trading on NASDAQ (US100). They only charge spread of as low as 2 pips on this instrument.
XM is a market maker broker & they are not regulated in South Africa, but they are licensed by top tier regulators ASIC & CySEC. The lowest spread on the CFD US100 at is 1 pips per lot & the margin requirement is 1%. The Long Swap is -1.34 & Swap Short is -1.30, so you will be charged extra for any overnight position on this CFD instrument.
Traders based in South Africa are registered under “XM Global Limited” which is regulated with IFSC in Belize. They makes XM a moderate risk CFD broker as they are not regulated with FSCA, and are regulated with 1 Tier-1 regulation i.e. ASIC.
NASDAQ CFD at XM is available as US100 on their platform. The max. leverage with this instrument is 1:100. The minimum deposit required to open account at XM is $5 with all their account types.
Also read our detailed XM review to know more about their spread & safety.
Rated #4 NAS100 Broker
Tickmill is a FSCA regulated CFD broker that offers NASDAQ CFD at very low fees. They don’t charge any fees other than the spread for trading NASDAQ CFD.
Tickmill is a FSCA authorized forex broker in South Africa. NASDAQ is available as USTEC on their platform.
The minimum deposit required to open your account at Tickmill for trading NAS100 is $100. They offer max leverage of 1:100 for this instrument & the typical spread is 1.93 (plus Swap Fees for overnight trades) for 0.01 lot Contract Size, while the minimum spread is 0.8. The minimum contract size can be 0.01 lots.
Tickmill has local Bank transfer option available for funding & withdrawals for SA traders. But they don’t have ZAR Base currency option, only USD, GBP & EUR account base currency options are available.
Also read our detailed Tickmill review to know more about their regulations & fees.
NAS 100 is a prominent stock market index that was initiated on 31st Jan 1985 by the NASDAQ. The index was created to promote the NASDAQ and allow the retailers to trade through a non-financial stock index.
NASDAQ 100 includes 102 equity securities of the top 100 non-financial companies listed on NASDAQ. The 100 stocks do not include any corporation that is involved in financial services. The stocks are selected on the basis of market capitalization and the rebalancing of the stocks is done in December of each year.
The index was initially launched with a base price of 250 in 1985 and was later reset to 125 in 1993. It has been a volatile index but has increased consistently apart from the bearish trends in 2001 and 2008. NAS 100 holds the all-time high record of 13,879.77 on 16th Feb 2021 (as of 22nd Feb 2021). In the calendar year of 2020, the index soared by 47.58% despite the volatile market conditions due to covid-19 and the lockdown. NAS 100 is considered more volatile than any other large-cap index in the US. The volatile movements attract a large number of traders and hence liquidity is not an issue while trading on NAS 100.
NASDAQ 100, also known as US Tech 100 includes various popular stocks like Apple, Tesla, Microsoft, etc. Financial stocks have the ability to steer the stock indices according to market conditions. Trading on an index that does involve financial stocks can allow traders to speculate the growth in the stock market without the influence of financial stocks. Traders can trade through futures and options on NAS 100 although trading through CFDs is the most convenient option for South African traders.
Traders in South Africa can choose from a wide variety of forex and CFD brokers that are regulated by top-tier financial regulatory authorities. These brokers allow trading through CFDs on various capital markets including indices, commodities, cryptocurrencies, etc. The availability of leverage allows traders to open bigger positions with small initial deposits.
By trading CFDs on NASDAQ index, traders do not actually own any of the securities, but the price movements of the concerned security are speculated to find profit-making opportunities. Trading CFDs can be more advantageous compared to physical trading as traders can go long as well as short at any time based on their market sentiment. Most CFD brokers allow trading through multiple supported devices.
Trades on index CFDs are executed in lots where traders can go long as well as short on the concerned index. The lot size can differ from broker to broker but generally, a single lot of CFD on US Tech 100 is 1 unit of the index. The difference between the buy and sell price is called the spread.
CFD trading on indices can be better understood with the help of an example.
Suppose the NASDAQ 100 is currently trading at 13,002.00/13,000.00.
This means that the buy price or the bid price of the index is 13,002.00 and the selling price or the ask price is 130,00.00.
If the lot size is 1 unit of the index, then the spread will simply be the difference between the bid and ask price of a lot i.e. USD 2.
In the below chart of US Tech 100 CFD from Forex.com broker, you can see that their spread is 3.0 (15132.1 – 15129.1) or $3 for 1 Lot. Some brokers like Tickmill allow trading minimum contract size of 0.01 lot for NASDAQ CFD.
If the trader wishes to go long on the index, then he can buy one lot of the index CFD by paying the margin requirement.
If the leverage ratio is 1:5, the trader can buy 1 lot of NAS 100 by paying 13,002/5 = USD 2600.4.
Profits on this trade can only be made when the selling price goes above 13002.00. If the selling price reaches 13102.00, the trader can book a profit of $100 by closing the position.
If the leverage is 1:100, the position on 1 lot of NASDAQ 100 can be opened with $130.02 while the profits will be the same. Although, in case if the selling price goes below $12,800 and the position is closed, the trader will face a loss of $200 which is more than the initial deposit.
The trader will either need to add more balance in his/her account to cover the margin requirements & keep the position open, or the broker will close the position if the account balance falls below the margin required to keep the position open.
Similarly, if the trader wishes to go short on the index CFD, the margin requirement of the selling price needs to be paid and the price of the index needs to go below the selling price to book profits.
For example, if you had placed a sell order on NAS100 CFD at $13,000, and the spread or commission charged by the CFD broker is $2, then the price must go below $12,998 for the trader to book any profits.
Traders must note that significant involvement of leverage can enhance the profits on trade but can also increase the risk factor. Charting and analysis through various indicators and tools on trading platforms can enhance the trading decisions and can increase the probability of profits.
For the new traders, it is advisable to gain experience, understand the risks of leveraged CFDs and learn strategies by trading with virtual currencies on a demo account offered by various CFD brokers in South Africa.
CFD trading on indices and commodities are less complex than trading futures and option. Traders can have better profit-making opportunities if the spreads are narrow and lesser commission is charged for trades. However, lower pricing should not be the only factor to consider while choosing a NASDAQ CFD broker.
There are few points that must be considered when you are choosing a CFD broker for trading NASDAQ in South Africa.
Here is our checklist that you can follow:
1. Broker Regulation: First & foremost, ensure that the CFD broker must be regulated by a top-tier regulatory authority like FSCA, FCA, etc.
In South Africa, you must only trade with a FSCA regulated broker. In our list, we have only listed the reputed forex & CFD brokers that are regulated by FSCA or FCA or CySEC.
Check the broker’s website for their regulatory FSP number. Most brokers list it on their website. As an example, Hotforex South Africa have mentioned their FSCA regulation on their website’s footer section.
After that you should verify the FSP number on FSCA’s website as explained in our FSCA regulated brokers guide
It is important to only trade via a regulated CFD broker as this will ensure that your funds are safe & not misused by the broker. An unregulated broker does not have the comply with the policies set by the FSCA & other regulators, which makes them high risk for SA traders.
2. Overall NAS100 fees: Check the overall trading & non-trading fees for trading NASDAQ 100. Most brokers will publicly show their typical spread for each instrument including NAS100. NASDAQ is generally listed as ‘US Tech 100’ on websites of most brokers.
As an example, this instrument comparison page on HotForex’s website shows their typical NAS100 spread with all their account types.
The trading, as well as non-trading fees must be checked and compared to choose the most cost-effective broker.
The below table compares the NAS100 spread & commission with Standard Accounts for 1 Contract at major regulated brokers:
|Instrument||HotForex (Premium Account)||XM Trading (Ultra Low Account)||Exness (Standard Account)||FXTM (Standard account)||BDSwiss (Classic account)|
It is important to note that these are the typical spreads for trading NASDAQ CFD instrument. The actual spreads could be higher or lower, depending on the market conditions. But the typical or average spreads that brokers list on their website for NAS100 are generally similar to the spreads you will get on the actual platform.
You should also take into account any Swap Fees charged by your CFD broker for Long & Short. This fees will be charged (or sometimes paid to you) when you hold your trading position overnight. In case of NASDAQ CFD, the Swap fees is negative at all brokers that we have compared, which means that you will be charged this fees if you hold the trade/position overnight.
For example, HotForex charges Swap Short fees of 1.10 USD & Swap Long fees of 1.18 USD for 1 Standard Lot position size with USA100 CFD for a trade held overnight for 1 night. Exness on the other hand as 0 USD Swap fees (Long or Short) for the same trade.
So, you should take into account the Swap fees that you will have to pay if you want to keep your NASDAQ trade open overnight. This fees can add up if your position is open for a few days, hence this should be very important consideration for traders that want to trade NAS100 with overnight positions open.
All CFD brokers list their Swap fees on their Trading conditions page. You should check the Swap fees that you will be charged.
For example, HotForex South Africa mentions their Swap charges for “US Tech 100” CFD instrument on their trading condition for Indices CFDs. This fees will be charged if your trading order is open overnight, -1.0 for Short & -1.18 for Long positions. This fees is extra, plus the spread.
Another fees that you should take into account is if there is any charge during deposits or withdrawals. We explain this more in the next point below.
3. Ease of Withdrawals: The convenience of deposits and withdrawal methods must be checked before opening the account. See the reviews & complaints against the broker.
What is the average withdrawal time mentioned on the broker’s website for the withdrawal method that you want to select. All the brokers will list all their deposit & withdrawal methods in the client panel or on their website, including the processing time & fees.
It would be preferred if your broker offers funding & withdrawals via Internet Banking Transfer or EFT in ZAR. It will be easier to fund your Trading account & withdraw funds if there is local payment method.
This below table on FXTM’s website is an example of the time & fees on the withdrawal methods at brokers.
4. Customer Support: The broker must offer a resourceful and helpful customer support staff. This is important as you might run into some issues where you need support, and the broker should be available for you in that case.
Check if the broker has a local phone number in South Africa, 24/5 English Language Live chat support, and quick email support. You can test the email, phone support & live chat by sending queries to a broker & asking them questions, then see how well they respond to your questions & in how much time.
5. Platform’s ease of Use: The trading platform should be user-friendly and include charting and analysis tools. You should be able to easily place new orders & close existing orders.
Most of the NASDAQ CFD brokers in our list offer Metatrader platform (MT4 & MT5), but the execution speed is different from broker to broker. For example, market marker broker like XM offers instant order execution, while Hotforex offers market execution of orders.
You can ask your broker questions like; what is their execution speed, do they offer market execution, is the broker a market maker or a STP/NDD broker.
6. Check the Broker’s Reviews: Traders must also check for the reviews by the existing clients of the broker. We have reviewed all the popular forex & CFD brokers in South Africa, so you should check if the broker you are choosing has some important cons that you must know before opening a Live account.
For example, while Exness is one of the largest CFD brokers & also regulated by FSCA, they don’t have a local phone number for support. Plus, their email & live chat support are not the fastest. So, you should be aware of these concerns if you are choosing Exness broker.
Below is the comparison table of all the brokers that offer NAS100 CFD instrument to traders in South Africa.
|NAS100 Broker||Regulations||Average NAS100 Spread||Leverage||Minimum Deposit||Visit Website|
|Exness||FSCA, FCA, CySEC||5.67 pips with Standard Account||up to 1:100||$1||Visit Broker|
|Hotforex South Africa||FSCA, FCA, CySEC||2.03 pips||1:50||$5||Visit Broker|
|XM Broker||ASIC, CySEC||As low as 1 pip||1:100||$5||Visit Broker|
|Tickmill||FSCA, FCA||1.93||1:100||$100||Visit Broker|
|Avatrade||FSCA, ASIC||1 over market||1:200||$100||Visit Broker|
|FXTM||FSCA, FCA, CySEC||4 pips with Standard account||1:40||$50||Visit Broker|
As per our research, Hotforex & Exness & Tickmill are the most competitive FSCA regulated CFD brokers that offer NAS100 or US Tech 100 CFD indices instrument. The typical fees at Hotforex for NASDAQ 100 CFD is 2.03 pips, at Tickmill it is 1.93, but it is higher at Exness at around 5.67 for contract size with similar number of lots.
There are 70+ FSCA authorized derivatives offering CFD & forex brokers in South Africa. Most of these brokers offer CFD trading on multiple indices including NASDAQ, but not all of them have the same fees, leverage or margin requirements etc.
In this guide, we have compared the most popular regulated brokers that offer NASDAQ CFD trading.
According to our research HotForex & Tickmill have the lowest typical spreads for NASDAQ CFD indices. HotForex’s typical spread for this instrument is 2.03 pips for 1 Contract with all their account types, and at Tickmill it is 1.93. This is lower in comparison to other similar brokers for 1 Contract (with 0.01 USD Price Fluctuation) like Exness (5.67), FXTM (4), XM Broker (as low as 1).
Also, Hotforex does not charge any extra fees for deposit or withdrawals. So, their overall fees is quite low in comparison to other brokers for trading NASDAQ CFD instrument.
Yes, you can trade NASDAQ 100 as a CFD instrument via an authorized broker. Most FSCA licensed forex brokers offer NAS100 & US Tech CFD instrument. But you must note that trading CFDs is risky & only meant for professional traders. So you must fully understand how CFD trading works before trading NASDAQ 100 (USA100) instrument as a CFD via any FSCA licensed broker.
Exness is the #1 NAS100 CFD BrokerVisit