The world of online trading often resembles a vast ocean, with various platforms serving as vessels, each with its unique attributes.
Amid this vast sea, knowing which vessel to trust can be challenging. This article closely examines one such trading platform – Rakuten Securities, through an in-depth “Rakuten review.” By providing a comprehensive review, we aim to equip traders with crucial insights to help them navigate the trading waters better.
Traders Union published a detailed Rakuten review and uncovers the platform’s operations, offerings, strengths, and areas of improvement, bringing to light invaluable information to assist your trading decisions.
What is Rakuten Securities?
According to TU experts, Rakuten Securities is a high-risk broker, scoring a modest 2.99 out of 10 on the TU overall rating scale. This Japanese broker operates under the umbrella of the Rakuten Group Financial Corporation and caters to traders in the United States, the European Union, and the Asia-Pacific region. With a limited but significant range of trading offerings – currency pairs, precious metals, and indices – it’s primarily regulated by the Australian Securities and Investments Commission (ASIC). Despite certain drawbacks, the firm’s mission remains to offer high-tech platforms, favorable trading conditions, and superior client support.
Advantages and disadvantages of Rakuten Securities
As per the insights from the Traders Union experts, Rakuten Securities exhibits a unique set of advantages and disadvantages. Here’s a detailed look:
Advantages of Rakuten Securities:
- Low Minimum Deposit: Rakuten Securities stands out for its minimal deposit requirement of just $50. This low barrier to entry makes it an attractive platform for beginners and low-budget traders wanting to dip their toes into the financial markets without committing a significant amount of capital upfront.
- Narrow Fixed Spreads: Traders on Rakuten Securities can enjoy narrow fixed spreads starting from just 0.5 pips. These tight spreads can significantly enhance trading efficiency by reducing transaction costs, thus improving trading outcomes.
- ASIC Licensing: One of the critical strengths of Rakuten Securities lies in its regulatory status. It holds a license from the Australian Securities and Investments Commission (ASIC), one of the world’s most reputable financial regulators. This regulation attests to the platform’s reliability and provides traders with a layer of protection against potential unfair practices.
Disadvantages of Rakuten Securities:
- Absence of Cent Accounts: Rakuten Securities does not offer cent (micro) accounts. Such accounts, denominating the balance in cents instead of dollars, are often preferred by beginners who wish to gain practical trading experience without exposing themselves to significant risk. The lack of this feature could limit the platform’s appeal among novice traders.
- Limited Platform Access: Traders on Rakuten Securities do not have access to the MetaTrader 5 (MT5) platform or MetaTrader 4 (MT4) web version. Given the widespread popularity of these platforms among traders for their advanced functionalities and user-friendly interfaces, this restricted access is a disadvantage.
- Limited Range of Trading Instruments: Rakuten Securities offers a rather limited range of trading instruments. For instance, traders cannot trade on this platform in cryptocurrencies, stocks, binary options, futures, or bonds. This restriction may not sit well with traders seeking a diverse portfolio.
- Geographical Restrictions: The broker does not provide services to traders from Russia and Ukraine. This regional restriction could be a significant disadvantage for potential clients from these regions.
- Lack of Russian Language Support: Another notable drawback is the absence of a Russian version of Rakuten Securities’ website. This lack of language support could pose accessibility issues for Russian-speaking traders.
Evaluation of the most influential parameters of Rakuten Securities
As TU experts indicate, a comprehensive review involves understanding multiple parameters influencing a broker’s operations. Rakuten Securities presents mixed scores in various areas: User Satisfaction (3.64/10), Regulation and Safety (3.93/10), Commissions and Fees (3.57/10), Variety of Instruments (3.35/10), Brand Popularity (3.51/10), Customer Support work (3.87/10), and Education (4.09/10).
Trading conditions for Rakuten Securities users
Trading conditions at Rakuten Securities may not align with every trader’s preferences. The broker offers limited trading instruments, with leverage topping at 1:400 (1:100 for standard accounts). An absence of options like cryptocurrencies, stocks, or futures could be a deterrent for some. However, the provision of multiple account currencies, several replenishment/withdrawal options, and an affiliate program do add to its appeal.
Rakuten Securities commissions & fees
An analysis by Traders Union specialists reveals that Rakuten Securities does not impose charges on deposits or withdrawals. While specific payment system fees exist for withdrawals, deposits remain fee-free, which may appeal to many traders.
In addition to Rakuten Securities, Traders Union has also analyzed and published the review of the Earn2Trade Forex broker. To read a detailed and insightful review, please visit the official website of Traders Union.
Conclusion
In conclusion, Rakuten Securities presents a mixed bag of offerings. While certain aspects like low minimum deposit and a reputable regulatory bodywork in its favor, some limitations in trading instruments and regional exclusions may deter specific traders. Like any trading platform, its suitability largely depends on individual traders’ requirements and preferences. We encourage readers to visit the Traders Union’s official website for a more detailed understanding and comparative reviews.