Capital Index Review

Category: Reviews | Author: Trading Brokers | Date: September 14, 2023

In the fast-paced world of online trading, the choice of a broker can make all the difference in your financial journey. Today, we embark on a thorough exploration of ‘Capital Index,’ a brokerage firm that has earned its place in the spotlight. Our ‘Capital Index Review’ is your guide to understanding what sets this broker apart, from its services to its reputation. Join us as we dissect the factors that define Capital Index and discover how it could be the key to unlocking your investment potential.

Pros & Cons

  • Capital index is authorised and regulated by the FCA in the UK and operates on an STP model, which ensures transparent, fast and secure trading
  • Capital index supports various payment methods for deposits and withdrawals
  • Capital index provides a unique tool called MarketBOOK, which shows the depth of market liquidity and order flow for each instrument
  • Capital index offers a variety of markets, instruments, accounts, platforms, tools, and educational resources
  • Capital index offers san Islamic account type
  • Capital index has a high minimum deposit requirement for the pro and black accounts, which may not be affordable for some traders
  • Capital index does not accept customers from some countries, such as the US, Canada, Japan, and Iran
  • Capital index does not offer any other platforms besides MT4, which may limit the choice and functionality of some traders
  • Capital index charges commissions on commodities and shares trading, which may increase the trading costs for some traders

Summary

Capital Index Review

Capital Index Review

Capital Index is a global online brokerage that specializes in CFDs, Financial Spread Betting, and Spread Trading. It was founded in 2014 and has offices in the UK, Cyprus, and South Africa. Capital Index offers its clients access to several markets, including forex, indices, commodities, metals, bonds, and cryptocurrencies. It also provides various trading tools, such as MarketBOOK, MetaTrader 4, WebTrader, and mobile apps.

Capital Index is regulated by the Financial Conduct Authority (FCA) in the UK, the Cyprus Securities and Exchange Commission (CySEC) in Cyprus, and the Financial Sector Conduct Authority (FSCA) in South Africa. It also adheres to the Markets in Financial Instruments Directive (MiFID) and the European Securities and Markets Authority (ESMA) standards. Capital Index claims to offer fair and transparent pricing, fast execution, low spreads, and no commissions.

Capital Index allows its clients to trade with different types of accounts, such as Advanced and Pro accounts. The minimum deposit required to open an account is $100 for Advanced accounts and $10,000 for Pro accounts. The maximum leverage offered by the Capital Index is 1:30 for retail clients and 1:200 for professional clients. Capital Index also offers a demo account for those who want to practice their trading skills before investing real money.

Capital Index provides various learning and training resources for its clients, such as webinars, seminars, ebooks, videos, and articles. It also has a dedicated customer service team that is available 24/5 via phone, email, and live chat. Capital Index aims to meet all of its clients’ trading needs and provide them with a unique trading experience.

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Regulation

Capital Index is a global financial services provider that operates under the supervision of various regulators depending on the location of its subsidiaries. Capital Index (Global) Limited is authorized by the Securities Commission of the Bahamas (SCB), which is responsible for ensuring the integrity and stability of the financial markets in the Bahamas. Capital Index (UK) Limited is authorized by the UK’s Financial Conduct Authority (FCA), which is the conduct and prudential regulator for over 58,000 financial services firms and financial markets in the UK.

Both the SCB and the FCA have strict rules and standards for Capital Index to follow, such as capital adequacy, risk management, customer protection and anti-money laundering. Moreover, both regulators offer compensation schemes for eligible clients of Capital Index in case of insolvency or default, up to $500,000 per claimant by the SCB’s Investor Compensation Fund and up to £85,000 per claimant by the FCA’s Financial Services Compensation Scheme.

Platforms & Tools

Capital Index offers its clients a variety of platforms and tools to trade CFDs, Financial Spread Betting, and Spread Trading on over 3,000 markets. The main platform that Capital Index uses is MetaTrader 4 (MT4), which is one of the most popular and widely implemented trading platforms in the industry. MT4 allows traders to access the financial markets, analyze them, execute orders, and automate trading strategies using various features and functions.

MT4 Platform

MT4 Platform

Some of the advantages of using MT4 with Capital Index are:

  • Flexible and convenient trading: MT4 supports various order types, such as market, limit, stop, and trailing stop orders. Traders can also trade directly from the chart, which makes it easier to monitor the price movements and execute orders quickly.
  • High-quality execution: MT4 provides fast and reliable execution of orders, with low spreads and no commissions. Capital Index also offers negative balance protection, which means that traders cannot lose more than their account balance.
  • Technical analysis: MT4 has a range of technical indicators and analytical objects that traders can use to perform technical analysis on the market. Traders can also customize the chart settings, such as the time frames, colors, and styles.
  • Trading signals and copy trading: MT4 allows traders to subscribe to trading signals from other traders or signal providers, and copy their trades automatically. This can help traders learn from more experienced traders or diversify their portfolios.
  • Algorithmic trading: MT4 supports the use of Expert Advisors (EAs), which are programs that can automate trading strategies based on predefined rules and conditions. Traders can create their own EAs using the MetaEditor tool, or use the ones provided by Capital Index or other sources.
  • Trade via desktop, mobile or tablet: MT4 is available as a desktop program for Windows, as well as a mobile app for Android and iOS devices. This gives traders the flexibility to trade anytime and anywhere.

In addition to MT4, Capital Index also provides other platforms and tools for its clients, such as:

  • MarketBOOK: This is a web-based platform that allows traders to view the depth of the market (DOM) for any instrument. The DOM shows the volume and price of orders at different levels, which can help traders identify the supply and demand in the market.
  • WebTrader: This is another web-based platform that allows traders to access their MT4 account without downloading or installing any software. WebTrader has a user-friendly interface and supports all the features of MT4.
  • Mobile apps: Capital Index has its own mobile trading apps for Android and iOS devices, which allow traders to manage their accounts, deposit and withdraw funds, access customer support, and view market news and analysis.

Education

When it comes to online trading, knowledge is the key to success, and at Capital Index, education takes center stage. This broker is committed to empowering its customers with the essential skills and insights needed to excel in the financial markets. Let’s explore how Capital Index goes the extra mile to nurture traders through its comprehensive educational resources and tools.

  • Webinars: Capital Index elevates the learning experience with a robust offering of live and recorded webinars. These webinars cover a diverse range of topics, including market analysis, trading strategies, risk management, and platform features. What sets them apart? Seasoned traders and analysts lead these sessions, sharing their wealth of experience and offering practical tips. But it doesn’t stop there; webinars are interactive, allowing customers to ask questions and gain direct feedback from these experts. Plus, they’re archived for convenient access, ensuring that knowledge is always at your fingertips.
  • E-books: For those eager to delve deeper, Capital Index provides a library of free e-books. These resources cater to traders at every level, from novices to experts. Covering the fundamentals of forex and CFD trading, as well as advanced topics like technical analysis, chart patterns, indicators, and trading psychology, these e-books are designed for comprehensive learning. They’re not just informative; they’re practical too, with real-world examples and exercises that help you apply newfound knowledge to actual trading situations.
  • Glossary: The world of finance comes with its own language, and Capital Index understands the importance of clarity. Their glossary demystifies trading terms and concepts. Whether you’re a newcomer or need a quick refresher, you’ll find concise definitions and explanations of the most common and crucial terms in the financial markets. And the best part? It’s searchable and accessible from any page on the website, making it an invaluable reference tool.
  • FAQs: Questions are part of the learning journey, and Capital Index anticipates your queries. Their Frequently Asked Questions (FAQs) section is a treasure trove of information. Organized into categories and subcategories, it provides clear and detailed answers to your most common questions about the broker. From account opening and deposits to trading conditions and customer support, you’ll find it all here. What’s more, these FAQs are regularly updated to ensure you’re always in the know about any changes or updates in the broker’s policies or services.

Markets

Capital Index operates as a prominent global online brokerage, offering a wide array of trading opportunities encompassing forex, CFDs, and spread betting. Diving into the financial markets with Capital Index means gaining access to a diverse range of trading instruments across multiple asset classes:

  • Forex: Capital Index is home to a comprehensive selection of 55 currency pairs, including major, minor, and exotic pairs. With competitive pricing in the form of tight spreads and low commissions, traders can actively participate in the forex market, which operates 24 hours a day, five days a week. This constant accessibility ensures traders can navigate the high liquidity and volatility that define the global currency arena.
  • Indices: The brokerage provides access to over 20 global indices, featuring renowned indices such as the Dow Jones, S&P 500, FTSE 100, DAX 30, Nikkei 225, and more. Traders at Capital Index can seize opportunities in these indices with the benefit of low margins and leverage, thereby allowing them to capitalize on the movements of leading stock markets worldwide.
  • Commodities: Diversification is key in the world of trading, and Capital Index facilitates this through its offering of over 10 commodities. This includes precious metals like gold and silver, energy resources such as oil and natural gas, as well as soft commodities like coffee and sugar. Competitive pricing and leverage options enable traders to explore and balance their portfolios across various sectors and market cycles.
  • Shares: For those inclined towards individual company performance, Capital Index offers trading on over 100 shares from prominent companies based in the US, UK, and Europe. These include tech giants like Apple, Amazon, Facebook, Google, as well as industry leaders like BP and Barclays. With low commissions and leverage available, traders can speculate on the performance of individual companies or sectors, adding a dynamic dimension to their investment strategies.

Accounts

Capital Index is a broker that offers different types of accounts to suit the needs and preferences of its customers. The accounts vary in terms of spreads, commissions, minimum deposits, leverage, and other features. Customers can choose from the following accounts:

  • Advanced Account: This is the basic account type that requires a minimum deposit of 100 GBP/EUR/USD. It offers spreads from 1.4 pips and no commissions on forex and indices. It also allows trading on commodities and shares with commissions of 0.02/unit/trade (minimum 10 GBP/EUR/USD or 15 USD per trade). The leverage is up to 1:30 for retail clients and up to 1:200 for professional clients. The advanced account is suitable for traders who want to start trading with a low initial investment and enjoy competitive trading conditions. The advanced account provides access to over 200 instruments across various markets, such as forex, indices, commodities, and shares. The advanced account also supports various order types, such as market, limit, stop, trailing stop, and OCO. The advanced account has no hidden fees or charges and offers free demo accounts for new traders.
  • Pro Account: This is the account type for more experienced traders who want lower spreads and faster execution. It requires a minimum deposit of 10,000 GBP/EUR/USD. It offers spreads from 1.0 pips and no commissions on forex and indices. It also allows trading on commodities and shares with commissions of 0.02/unit/trade (minimum 10 GBP/EUR/USD or 15 USD per trade). The leverage is up to 1:30 for retail clients and up to 1:200 for professional clients. The pro account is suitable for traders who want to trade with higher volumes and benefit from better trading conditions. The pro account provides access to over 200 instruments across various markets, such as forex, indices, commodities, and shares. The pro account also supports various order types, such as market, limit, stop, trailing stop, and OCO. The pro account has no hidden fees or charges and offers free demo accounts for new traders. The pro account also offers faster execution speed and lower latency than the advanced account.
  • Black Account: The Black Account, offered exclusively to seasoned traders through invitation, represents the pinnacle of trading sophistication at Capital Index. With a minimum deposit requirement of 50,000 GBP/EUR/USD, this account sets the stage for serious traders seeking optimal trading conditions. It boasts impressively tight spreads starting from just 0.4, providing a competitive edge in the market. Traders in the Black Account can harness leverage up to 500:1, offering substantial trading power. The minimum trade size for both forex and non-forex instruments is set at 1.00 lot, with increments as low as 0.10 lot. However, it’s worth noting that this account operates on a commission-based structure. In exchange for these advanced features, traders should expect a post-trade commission.
  • Copy Trading Account: The Copy Trading Account at Capital Index caters to time-strapped traders, enabling them to follow and automatically mimic experienced traders’ actions based on performance. It offers competitive spreads from 1.4 pips, accepts multiple currencies (GBP, EUR, USD), and requires a minimum deposit of 500 GBP/EUR/USD. Leverage goes up to 200:1, and there are no commissions. Forex trades start at 0.01 lot, with increments of 0.01 lot; non-forex trades begin at 0.10 lots. It’s an ideal choice for hassle-free trading.
  • Islamic Account: Capital Index’s Islamic Account complies with Sharia law, allowing traders to maintain their religious beliefs while trading. It activates with a $100 minimum deposit, offers competitive spreads from 0.4 pips, and executes trades directly through the STP model. No interest is charged on contracts held over 24 hours, and there are no additional rollover commissions. Traders can use USD accounts, benefit from 5-digit spreads, trade mini and micro-lots, and employ Expert Advisors (EAs) for automated trading.

Funding

When it comes to trading, one of the critical factors is how seamlessly you can fund your trading account. Capital Index recognizes this need and offers a range of flexible payment methods to cater to its customers’ diverse preferences. Here’s a closer look at the funding options available:

  • Credit/Debit Cards: Capital Index simplifies the funding process by accepting Visa and Mastercard credit/debit cards for both deposits and withdrawals. This means customers can swiftly and securely fund their trading accounts without incurring any additional fees or charges. The minimum deposit amount stands at 100 GBP/EUR/USD, ensuring accessibility for traders of various levels. For those who need the flexibility to deposit larger sums, the Capital Index accommodates transactions up to 20,000 GBP/EUR/USD per transaction.
  • Bank Transfers: If you prefer the traditional route, Capital Index also welcomes bank transfers for deposits and withdrawals. This method allows customers to transfer funds directly from their bank accounts to the broker’s bank account. While there’s no maximum limit, bank transfers may take a bit longer to process, typically within 3-5 business days. It’s important to note that fees or charges may apply, as per the policies of the banks involved.
  • E-wallets: E-wallets are becoming increasingly popular for their convenience, and Capital Index caters to this trend by accepting Skrill and Neteller e-wallets for deposits and withdrawals. The advantages here are speed and cost-effectiveness, as customers can quickly and conveniently fund their accounts with relatively low fees or charges. The minimum deposit amount matches the standard at 100 GBP/EUR/USD, while the maximum deposit amount for a single transaction is capped at 10,000 GBP/EUR/USD.

Conclusion

In conclusion, Capital Index emerges as a formidable player. Regulated by the FCA in the UK and operating on an STP model, it offers a comprehensive suite of features to empower traders worldwide. From a rich array of trading markets and instruments to a user-friendly MetaTrader 4 platform, along with essential tools, educational resources, and diverse funding options, Capital Index demonstrates a commitment to traders’ success. However, it’s important to acknowledge that while Capital Index excels in many areas, there are brokers with longer track records to consider as alternative options. For a broader selection, we encourage you to explore our trading broker reviews, ensuring that your choice aligns perfectly with your unique trading goals.

Capital Index Logo

$100

Capital Index is a global online brokerage that offers trading on forex, CFDs and spread betting. It is authorized and regulated by the FCA in the UK and operates on an STP model. It provides its customers with a variety of markets, instruments, accounts, platforms, tools, and educational resources to trade on. It also supports various payment methods for deposits and withdrawals.

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.


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