Rakuten Securities Review
Richard Montana | March 25, 2022
Table of Contents
Founded in 1999, Rakuten Securities is a global online broker that offers fixed spread trading on forex and cfds via the MT4 platform. They provide trading tools including Autochartist and copy trading solutions via ZuluTrade and MyFxBook.
Broker Pros / Cons
- Strict regulation
- Segregated client funds
- Fixed spread accounts
- No commission fees on trades
- Social trading via myfxbook & ZuluTrade
- Analysis & market reports courtesy of Autochartist
- No US clients
- Limited non-FX instruments
- No variable spread accounts
- Educational material not yet provided
Rakuten Securities is one of the five largest forex brokers in the world and a pioneer in leveraged forex trading. They offer online forex and CFD trading products and services on the MT4 platform. The broker boasts a global presence with a very large customer base from all over the world. The website is available in 11 languages.
Rakuten Securities Australia is part of the Rakuten Securities Inc. which has been in operations since 1999. Rakuten Inc. is publicly traded on the Tokyo Stock exchange. It has a market capitalisation of 1 trillion Japanese Yen.
Rakuten Securities states clearly that it is a market maker because its order volume is so high that it can act as its own liquidity provider without involving any third party. The broker affirms that it does not act as counterparty to client orders. Market executions are used on all orders and they are executed within milliseconds. The trade execution servers are located in Australia and Tokyo respectively.
Rakuten Securities Australia is regulated by the Australian Securities and Investments Commission (ASIC). Rakuten Securities Australia holds Australian Financial Services License (AFSL) number 418036. Rakuten Securities is also regulated by the Japan Financial Services Agency (JFSA).
All Rakuten Securities Australia client funds are held in segregated accounts domiciled in the National Australia Bank which is an AA rated bank. This is in compliance with the ASIC regulations. Funds held in segregated accounts are not used by Rakuten for its internal operations. If in the future, the broker becomes insolvent, the segregated funds will be returned to the owners.
The Rakuten website and platform is protected by a 128-bit Secured Socket Layer (SSL) encryption which is provided by “DigiCert SHA 2 Secure Server CA”. This ensures that all user sensitive data, such as credit card details, are encrypted before it is transmitted to the servers over the internet. Internet hackers and cyber thieves are kept away by this SSL technology.
Rakuten accepts clients from all over the world, excluding some countries where restrictions apply such as USA, Belgium, Russia, Iran & Israel.
The only platform provided for trading is the popular MetaTrader (MT4) trading platform developed by Russian software company MetaQuotes. Rakuten provides the MT4 platform as a downloadable windows desktop application and also as mobile apps. MAC OSX users are advised to contact the support team for assistance on how to install MT4 on their systems. Other brokers provide MT4 for MAC.
Rakuten chose to offer MT4 to traders because of its myriad of features, tools and customisability.
MT4 desktop platform features:
- Interactive charts in 3 styles that can be displayed over 9 timeframes.
- 30 inbuilt technical indicators that can be expanded with custom indicators.
- 24 Analytical objects used to conduct technical analysis of the charts.
- 4 pending orders, 2 stop orders and a trailing stop.
- One-click trading.
- Notifications via platform, SMS and email.
- Live quotes and live charts of all tradable assets.
- Supports automated trading through the use of Expert Advisors (EAs).
- MetaEditor for developing EAs, indicators and scripts in the MQL programming language.
- Access to the MetaTrader market where more trading tools can be purchased.
The MT4 mobile app is available for iOS and android devices. Rakuten provides the links to download the apps from the respective app stores. The mobile app is designed for users to access their trading account whilst on the go from anywhere in the world with an internet connection. The app interface is simple and user friendly. It maintains most of the same features as the desktop version.
MT4 mobile features:
- The ‘Quotes’ tab displays the live ‘bid’ and ‘ask’ prices of all the tradable assets.
- Fully customisable charts in 3 styles and 9 timeframes. The charts can be zoomed and displayed in various colours.
- 30 technical indicators and 24 analytical objects for conducting chart analysis.
- Complete orders management using market execution, pending orders and risk management tools like Stop loss and take profit.
- Account balance displays in real time even when trades are in session.
- It integrates seamlessly with the desktop version. You can place a trade on your pc and monitor, adjust or close the trade on the mobile app.
The latest news section on the Rakuten website gives the market news on the various trading instruments as it breaks. Unfortunately, this news section is currently not frequently updated (as of 2019).
Rakuten provides Copy Trading services for its clients via Myfxbook’s AutoTrade feature. Myfxbook is a popular social trading network that allows users to copy the strategies and trades of other traders.
Rakuten MT4 trading accounts can be linked with myfxbook in order to access the AutoTrade feature. The minimum account balance required to link accounts with myfxbook is $1,000. Myfxbook charges a fee of $0.1 for every $1000 traded.
This is an MT4 plugin tool that scans the charts of different instruments looking for a trading opportunity. When it finds one, the trader is alerted. It is available in 11 languages and fully customisable. This saves the time spent on technical analysis by the trader. The Autochartist can be downloaded from Rakuten’s website and installed on the desktop version of the MT4 platform.
Rakuten Clients can subscribe to receive 3 market reports every day. These reports give an outlook of the market when the Tokyo, London and New York markets open.
ZuluTrade is amongst the leading social trading networks available today. ZuluTrade enables traders to locate expert strategy providers from their rankings, performance and other statistics. Rakuten’s clients can choose from thousands of traders from over 190 countries and copy their trades automatically. To start trading with ZuluTrade, clients are required to sign up to ZuluTrade and then link their MT4 accounts.
The Virtual Private Server (VPS) is provided for all clients who are interested. It is often required by traders who use complex trading styles, trading systems and EAs. A VPS is useful for running MT4 24 hours a day, 7 days week. It can also increase latency and minimise downtimes. The VPS can be setup through Amazon and Rakuten provides a guide on how to go about it.
At the moment, there are no training resources on the Rakuten website. The ‘Learn’ section of the website says that Rakuten is putting together the educational materials to assist traders. It further urges interested users to put down their email addresses for information when the training package will be ready.
Rakuten offers a limited array of assets when compared to the majority of other online brokers. There are about 40 forex currency pairs and precious metals which include gold and silver. Also, the broker offers 10 CFD indices from around the world.
Rakuten offers only two types of accounts which are based on leverage. The minimum opening balance for both accounts is $50. The broker offers fixed spreads with no commissions on all accounts.
Fixed spread accounts can be useful for those whose trading strategy requires a consistent spread and helps the trader to calculate the cost of a trade before placing the position. However, it should be noted that at certain times such as during news releases or hours of low volatility, spreads can still increase.
The trading account types are as follows:
- Standard Account: This account offers a maximum leverage of 1:100. This account offers lower spreads with the benchmark EURUSD currency pair at 0.5 pips.
- High Leverage Account: The maximum leverage available is 1:400. Spreads are slightly higher with the EURUSD currency pair at 0.8 pips.
Islamic accounts that comply with Sharia law are available upon request although Rakuten insists that it is strictly for Muslims and so, anyone who applies for Islamic account must provide a proof of his faith.
Demo accounts are available to test the different trading platforms and conditions before opening a real account. Demo accounts are unrestricted and unlimited. However, they will be disabled anytime there is no activity in the account for up to 30 days.
The customer care service is available from Monday to Friday. They can be reached on phone, email, Skype, web chat, WhatsApp and social media. The live chat services are available from 9am to 5pm (Sydney time) from Monday to Friday. All unanswered messages will be replied on the next working day. On social media, they are available on Facebook, twitter, LinkedIn and YouTube. The support team also have a detailed FAQ page where most answers to questions are detailed. They also have a ‘guides page’ containing some pdf guides on MT4 desktop, MT4 mobile and VPS installation.
Rakuten Securities asserts that it abides by the counter terrorism and Anti-money laundering laws. So, the broker rejects cash deposits and third party payments. The following payment options are accepted:
- Bank Wire transfers: Clients can do a direct transfer to Rakuten’s NAB bank accounts from their banks. There are no deposit charges but withdrawals are charged at $25. Local withdrawals in AUD are waived. International bank transfers take 3-5 business days while domestic transfers take 1-2 bank working days.
- Skrill: This is an e-wallet payment gateway which is accepted for both deposits and withdrawals. There are no deposit fees but a withdrawal fee of 2% is charged. Skrill deposits are processed instantly while withdrawals take up to 2 business days.
- Neteller: This is a global e-wallet payment option that Rakuten accepts. 2% withdrawal charges apply while deposits are free. Withdrawals can take up to 2 days while deposits are processed instantly.
- Credit/Debit cards: Payments through cards are available via Neteller. The cards accepted are MasterCard, Maestro, American Express and Visa cards.
- Bitcoin: This cryptocurrency is accepted for payments via the Neteller and Skrill payment processing platforms.
Click on the “Open live account” button found on the topmost part of all the WebPages on Rakuten’s website. The application form consists of 4-pages that require personal details, employment details, source of funds, trading experience and account information. The final step is to upload a proof of address and a photo ID. This is a normal part of the KYC process.
After uploading the necessary documents and submitting the application, a thank you message is displayed. If successful, the account is verified and opened within 24 hours. You can then deposit into your account using any of the convenient funding options and commence trading.
What is the Rakuten Securities minimum deposit?
The minimum deposit required by Rakuten Securities is $50.
How do I deposit money into Rakuten Securities?
You can deposit money into your Rakuten Securities account using the following payment methods: Wire Transfer, Credit/Debit Cards, Bitcoin, Neteller, Skrill, and more.
What are Rakuten Securities deposit fees?
Fortunately, Rakuten Securities do not charge any deposit fees, but you may need to pay a fee to your bank or a currency conversion fee if using a different currency.
How do I withdraw money from Rakuten Securities?
Rakuten Securities offers multiple convenient payment options, including bank transfers, credit/debit cards, and online payment gateways, such as Neteller and Skrill.
What are the Rakuten Securities withdrawal fees?
Rakuten Securities charge withdrawal fees of $25.
What is the Rakuten Securities commission fee?
Rakuten Securities does not charge a commission on clients’ trades. The fee is included in the marked-up spread.
Are there any Rakuten Securities inactivity fees?
Rakuten Securities does not charge any inactivity fees on clients’ trading accounts. This means that traders would not incur certain charges when they leave their inactive for a prolonged period.
What are the Rakuten Securities account types?
Rakuten Securities offers two main account options: Standard and High Leverage accounts.
Is there a Rakuten Securities demo account?
Yes, Rakuten Securities offer demo accounts on all the available trading platforms. The demo accounts are preloaded with virtual funds to allow clients to test the broker’s platforms and practice various trading strategies without risking their funds.
What are the Rakuten Securities spreads?
Rakuten Securities offer low competitive spreads, starting from just 0.5 pips on some major forex pairs.
What is the Rakuten Securities leverage?
Rakuten Securities have a leverage of up to 1:400 available for clients who qualify.
Do Rakuten Securities allow hedging, scalping, news trading & automated trading?
Yes, Rakuten Securities do not impose any specific restrictions on trading styles. Therefore, all trading strategies and techniques are welcome, including automated trading, hedging, and news trading.
Is there a Rakuten Securities Islamic account?
Rakuten Securities offer a swap-free Islamic. The purpose of an Islamic Account is that it caters specifically to Muslim traders who strictly follow Sharia law.
What are Rakuten Securities trading instruments?
Rakuten Securities clients can trade and invest in forex, commodities, stocks, shares, indices, metals, and CFDs.
How do I open a Rakuten Securities live account?
You can open a live account by clicking on the “Open live account” button at the top of the broker’s website.
How do I verify my Rakuten Securities account?
You can verify your Rakuten Securities account by providing proof of identification and up-to-date proof of address, no more than six months old.
What is the Rakuten Securities trading platform?
Rakuten Securities provide traders with the MT4 trading platform. It is an advanced trading platform that is available in desktop, web, and mobile versions.
Where can I download the Rakuten Securities platform?
You can download the Rakuten Securities trading platforms directly from the broker’s website or the relevant iOS and Android app stores.
Where is Rakuten Securities located?
Rakuten Securities is located in Japan.
Is Rakuten Securities regulated?
Yes, Rakuten Securities Australia is regulated by the Australian Securities and Investments Commission (ASIC).
What countries does Rakuten Securities not accept?
Rakuten Securities services are not available for countries where the offer of such products is prohibited or restricted by laws, including the USA.
Is Rakuten Securities a scam?
No, Rakuten Securities is not a scam. They have been operating for several decades and are strictly regulated by the Australian Securities and Investments Commission (ASIC).
How can I contact Rakuten Securities support?
You can contact Rakuten Securities customer service 24/5— Mondays to Fridays— through phone, email, Skype, web chat, WhatsApp, and social media.
|Broker Features||AvaTrade||IG||IC Markets|
|Regulated||ASIC, BVI, CBI, FFAJ, JFSA, FSCA, IIROC, ADGM FRSA||FCA, CFTC, NFA, BaFin, FINMA, ASIC, FMA, MAS, FSA, FSCA, DFSA, JFSA, METI, MAFF||ASIC, CySEC, FSA, SCB|
|Country||Australia, Ireland, South Africa, Japan, British Virgin Islands||Australia, UK, USA, Switzerland, UAE, Singapore, Japan||Australia, Seychelles, Bahamas, Cyprus|
|Min. Deposit||Min $250 Deposit||Min $100 Deposit||Min $200 Deposit|
|Commission||From $0||From $0||From $0|
|Instruments||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Options, Bonds, CFDs, ETFs||Forex, Commodities, Stocks, Shares, Indices, Cryptocurrencies, Metals, Energies, Options, Bonds, ETFs, CFDs||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Bonds, CFDs|
|Platforms||MetaTrader 4, MetaTrader 5, AvaTradeGO, AvaOptions, AvaSocial, DupliTrade, ZuluTrade, Web, Mobile||MetaTrader 4, IG Platform, IG Progressive Web App, ProRealTime (PRT), L2 Dealer, FIX API, Web, Mobile||MetaTrader 4, MetaTrader 5, cTrader, Web, Mobile|
|Type||Market Maker, STP||STP, ECN, DMA||ECN|
|Funding||Wire Transfer, Credit/Debit Card, Paypal, WebMoney, Neteller, Skrill||Wire Transfer, Credit/Debit Cards, PayPal||Wire Transfer, Credit Card, Debit Card, WebMoney, Neteller, PayPal, Skrill, FasaPay, UnionPay, Qiwi, Bpay, Poli|
|Visit Broker||Visit Broker||Visit Broker||Visit Broker|
Rakuten is an experienced broker that has been in operations for a long time in Japan. They have since expanded the company operations globally, endorsing partnerships, opening offices and attracting patronage from traders all over the world.
They implement advanced and innovative trading technologies with very fast servers which complete trade executions in less than a second. Its liquidity pool is superflux, hence the company’s decision to remain ‘market makers’ without any trade manipulations. Clients’ deposits are kept safe as the broker complies with all regulatory standards and verifies all clients using various procedures.
The MT4 platform is well accepted among most traders and it is a good choice by Rakuten. The integration of social trading through ZuluTrade and myfxbook is commendable. The Autochartist is a tool that is very beneficial to traders who need to conduct thorough technical analysis of the charts. Fixed spreads are used on all account types with no commissions charged on trades.
Despite the many positives, the assets listing of this broker is very small compared to other brokers that offer thousands of tradable assets. Also, the broker has no analysts to help with daily analysis and market news. No training resources are provided, though there is a mention on the website that they will soon be available.