Editor’s Verdict
FXNovus joins the cohort of South African CFD brokers attempting to gain market share in an ultra-competitive brokerage scene. Traders get a user-friendly web-based trading platform with 20+ analytical tools and a balanced asset selection of 160+ trading instruments spanning six sectors. I reviewed this broker to determine if it follows other South African brokers with its trading environment structure or if it set itself apart. Is FXNovus a broker you should trade at?
Overview
FXNovus is a South African broker featuring a user-friendly trading platform.
- User-friendly trading platform with one-click trading.
- Balanced asset selection, including cryptocurrencies and metals.
- 24/7 customer support
- Manual-only trading
- Affiliate program for passive income seekers
Headquarters | South Africa |
|---|---|
Regulators | FSCA |
Tier 1 Regulator(s)? | |
Owned by Public Company? | |
Year Established | 2020 |
Execution Type(s) | ECN/STP, Market Maker |
Minimum Deposit | $250 |
Negative Balance Protection | |
Trading Platform(s) | Proprietary platform |
Average Trading Cost EUR/USD | 4.1 pips ($41.00) |
Average Trading Cost GBP/USD | 4.7 pips ($47.00) |
Average Trading Cost WTI Crude Oil | $0.17 |
Average Trading Cost Gold | $0.27 |
Average Trading Cost Bitcoin | $393.50 |
Retail Loss Rate | Undisclosed |
Minimum Standard Spreads | 4.0 pips |
Minimum Commission for Forex | Commission-free |
Funding Methods | 4 |
Islamic Account | |
Signals | |
US Persons Accepted? | |
Managed Accounts |
FXNovus Regulation & Security
Trading with a regulated broker will limit the potential for fraud and malpractice. I always recommend traders check for regulation and verify it with the regulator by checking the provided license with their database. FXNovus has one regulated subsidiary with a clean track record.
Country of the Regulator | South Africa |
|---|---|
Name of the Regulator | FSCA |
Regulatory License Number | 50963 |
Regulatory Tier | 2 |
Is FXNovus Legit and Safe?
My review found no misconduct or malpractice by this broker. Therefore, I confidently recommend FXNovus and its clean track record, as it is a legitimate and safe broker.
FXNovus regulation and security components:
- Founded in 2020
- Regulated by the South African FSCA
- Segregated client deposits from corporate funds
- Negative balance protection
What would I like FXNovus to add?
I still need an investor protection fund, available via membership with the Hong Kong-based Financial Commission or a third-party insurance package. Audited financial and trade execution statistics would enhance transparency and increase trust in FXNovus.
Fees
I rank trading costs among the most defining aspects when evaluating a broker, as they directly impact profitability. FXNovus offers commission-free trading, but I urge traders to consider the overall costs.
During my review of the Classic account, the minimum EUR/USD spread was 4.0 pips or $40.00 per 1.0 standard round lot, which was the lowest-priced currency pair.
Other notable FXNovus non-trading fees include:
- A $100 monthly inactivity fee after 30 days of dormancy
- A $250 monthly inactivity fee after 60 days of dormancy
- A $500 monthly inactivity fee after 180 days of dormancy
- A $10 monthly maintenance fee applicable to all accounts irrelevant to the account activity
- A $30 bank wire withdrawal fee
Traders may face third-party processing costs and currency conversion fees. FXNovus lists cheaper spreads for higher account tiers and notes spread discounts.
Average Trading Cost EUR/USD | 4.1 pips ($41.00) |
|---|---|
Average Trading Cost GBP/USD | 4.7 pips ($47.00) |
Average Trading Cost WTI Crude Oil | $0.17 |
Average Trading Cost Gold | $0.27 |
Average Trading Cost Bitcoin | $393.50 |
Minimum Standard Spreads | 4.0 pips |
Minimum Commission for Forex | Commission-free |
Deposit Fee | |
Withdrawal Fee | |
Inactivity Fee | true |
The minimum trading costs for the EUR/USD at FXNovus are:
Minimum Spread | Commission per Round Lot | Cost per 1.0 Standard Lot |
|---|---|---|
4.0 pips | $0.00 | $40.00 |
Here is a snapshot of FXNovus trading fees:
Below is a list of trading cost examples for buying and selling the EUR/USD, holding the trade for one night and seven nights in the commission-free FXNovus Classic account.
Taking a 1.0 standard lot buy/sell position in the EUR/USD, at the average spread and holding it for one night in the FXNovus Classic account will cost the following:
Average Spread | Commission per Round Lot | Swap Long | Swap Short | Total Trading Costs |
|---|---|---|---|---|
4.1 pips | $0.00 | -$47.28 | X | -$88.28 |
4.1 pips | $0.00 | X | -$45.70 | -$86.70 |
Taking a 1.0 standard lot buy/sell position in the EUR/USD, at the average spread and holding it for seven nights in the FXNovus Classic account will cost the following:
Average Spread | Commission per Round Lot | Swap Long | Swap Short | Total Trading Costs |
|---|---|---|---|---|
4.1 pips | $0.00 | -$330.96 | X | -$371.96 |
4.1 pips | $0.00 | X | -$319.90 | -$360.90 |
Noteworthy:
- FXNovus does not forward positive swap rates on qualifying assets.
- The high swap rates and spreads make FXNovus most suitable for short-term intra-day trading.
FXNovus Trading Hours
Asset Class | From | To |
|---|---|---|
Currency Pairs | Sunday 22:05 | Friday 21:50 |
Cryptocurrencies | Sunday 22:05 | Friday 21:50 |
Commodities | Sunday 23:05 | Friday 22:00 |
Crude Oil | Sunday 23:05 | Friday 22:00 |
Gold | Sunday 23:05 | Friday 22:00 |
Metals | Sunday 23:05 | Friday 22:00 |
Stocks | Monday 01:05 | Friday 21:00 |
Range of Assets
FXNovus maintains a small asset selection, but it is diversified. Its equity CFD selection includes blue chips listed in Taiwan, Japan, Malaysia, India, Brazil, Mexico, Colombia, and the UAE. I rate FXNovus among the most diversified brokers with an asset selection below 200 trading instruments.
FXNovus covers the following sectors:
- Forex
- Cryptocurrencies
- Commodities
- Equities
- Indices
- metals
FXNovus includes some exotic pairings.
FXNovus Leverage
Maximum Retail Leverage | 1:400 |
|---|---|
Maximum Pro Leverage | 1:400 |
What should traders know about FXNovus leverage?
- Maximum retail Forex leverage is 1:400.
- Equity traders get 1:5.
- Cryptocurrency leverage maxes out at 1:5.
- Maximum commodity, index, and metals leverage is 1:200.
- Negative balance protection ensures traders cannot lose more than their deposit.
- Traders must always use appropriate risk management with leveraged trading to avoid magnified trading losses.
Currency Pairs | |
|---|---|
Cryptocurrencies | |
Commodities | |
Crude Oil | |
Gold | |
Metals | |
Stocks (non-CFDs) | |
Bonds | |
ETFs | |
Options | |
Futures | |
Synthetics |
Account Types
FXNovus displays five account types. The minimum deposit is $250, and trading conditions are identical across all account types except for lower trading fees. The account base currencies are USD, EUR, GBP, and CHF. A swap-free Islamic account is available. Please note that a monthly maintenance fee of $10 applies.
Swap discounts exist on all account types except for Classic. FXNovus issues an automatic margin call at 100% of equity with a stop-out at 20%. The minimum trade volume is 0.01, with a maximum of 50.00 on every account type. I would prefer it if FXNovus provided one account type given the similarities, and priced it competitively.
FXNovus Demo Account
Demo trading does not grant exposure to trading psychology and can create unrealistic trading expectations. Therefore, I want to caution beginner traders when using demo trading as an educational tool, and they should consider the limitations.
What stands out about the FXNovus demo account?
- The FXNovus demo account has no time limit but an excessive $100,000 balance.
- Traders can easily switch between demo and live trading from within their platform.
Trading Platforms
FXNovus presents its proprietary web-based trading platform, which trades may download as a desktop app. It features a user-friendly interface, 20+ analytical tools, an economic calendar, multi-chart functionality, and one-click trading. The trading platform is available in English, Arabic, French, German, Italian, Malay, Portuguese, Spanish, and Thai.
I like the interface and multi-charts of the FXNovus trading platform, but it only supports manual trading. With copy trading popular across Africa, FXNovus should consider adding it to its services portfolio. As an active trader, I miss MT4 and its algorithmic trading functionality.
Overview of Trading Platforms
MT4 | |
|---|---|
MT5 | |
MT4/MT5 Add-Ons | |
cTrader | |
Proprietary Platform | |
Automated Trading | |
Social/Copy Trading | |
DOM? | |
Guaranteed Stop Loss | |
Scalping | |
Hedging | |
One-Click Trading | |
OCO Orders | |
Interest on Margin |
Unique Features
I rate the equity asset selection at FXNovus as the most impressive feature, as it covers markets many brokers do not provide. Given the sub-200 asset selection, it is a unique advantage in this category.
Research & Education
FXNovus does not publish research, which I do not consider a negative, given the abundance of free and paid-for third-party research available online, plus numerous social trading outlets.
What about education at FXNovus?
FXNovus does not provide education yet. FXNovus notes education via ”a wealth of free educational tools and resources,” but clicking “Learn More” only loaded the trading platform during my review. FXNovus will add this feature, which would be good.
My conclusion:
- I also recommend beginners seek in-depth education from third parties, starting with trading psychology and the relationship between leverage and risk management.
Customer Support
FXNovus offers 24/7 customer support via e-mail, phone, and live chat, but I recommend traders browse the FAQ section before contacting customer support, which answers some questions.
Noteworthy:
Phone support exists, once you call, support directs you to the correct department that you require.
Bonuses and Promotions
FXNovus neither offered bonuses nor promotions during my review.
Customer Support Methods |  |
|---|---|
Support Hours | 24/7 |
Website Languages |          |
Opening an Account
FXNovus has an online account application asking for a name, e-mail address, and desired password. Clicking “Open Account” completes the registration.
What should traders know about the FXNovus account opening process?
- Traders must answer personal questions about their trading experience and income.
- FXNovus complies with global AML/KYC requirements.
- Account verification is mandatory.
- Traders can verify accounts by uploading a copy of a government-issued ID and one proof of residency document.
- FXNovus may ask for additional information on a case-by-case basis.
- Traders must verify their payment method.
Minimum Deposit
The FXNovus minimum deposit is $250.
Payment Methods
FXNovus accepts bank wires, credit/debit cards, Skrill, and STICPAY.
Withdrawal options |      |
|---|---|
Deposit options | |
Accepted Countries
FXNovus accepts clients from many countries, but its website lists the US, Canada, Australia, Iran, North Korea, Myanmar, Israel, Turkey, and “certain EU member states” as ineligible countries of residence. FXNovus also adds it may decline registration from jurisdictions like FATF high-risk or sanctioned countries.
Deposits and Withdrawals
The secure FXNovus back office handles financial transactions for verified clients.
What are the key takeaways from the deposit and withdrawal process at FXNovus?
- No internal deposit fees apply.
- The minimum deposit is $250 or a currency equivalent.
- Deposit currencies are the USD, EUR, GBP, and CHF.
- FXNovus levies an internal bank wire fee of $30.
- The minimum withdrawal amount is 10 EUR/USD/CHF for credit cards and e-wallets and 100 EUR/USD/CHF for wire transfers.
- Third-party payment processing costs may apply.
- Traders should consider potential currency conversion fees.
- FXNovus notes that the withdrawal process takes between eight and ten business days.
- The name on the payment processor and FXNovus trading account must match in compliance with AML regulations.
- Payment processor availability depends on the geographic location of traders.
Is FXNovus a good broker?
I like the trading environment at FXNovus for equity traders seeking diversification via blue chip stocks. The trading platform is user-friendly. The $250 minimum deposit is higher than at many brokers but within a reasonable and affordable range.
FAQs
Does FXNovus offer cryptocurrency trading?
Cryptocurrency trading at FXNovus is available via CFDs.
What is the minimum deposit at FXNovus?
The FXNovus minimum deposit is $250.
Is FXNovus a good broker to work with?
It depends on individual trading requirements. FXNovus is best for short-term intra-day trading using manual trading.
Is FXNovus a scam or a legit broker?
FXNovus is a legit broker with a regulatory license issued by the FSCA in South Africa.