Headway

Editor’s Verdict

Headway is a South African broker offering MT4/MT5 with a $1 minimum deposit requirement. It also features a proprietary copy trading service and stands out with its NOVA entity, offering traders access to tokenized real estate investments globally. I rank Headway as ideal for beginners and advanced traders, as the former has low entry requirements, and the latter can diversify via the pro account and NOVA. I evaluated the Headway trading conditions during my comprehensive Headway broker review. Is Headway the right broker for you?

Overview

Headway is a South African broker providing provides traders with access to over 500+ trading instruments, including currency pairs, metals, energies, cryptocurrencies.

Headway Five Core Takeaways:

• MT4, MT5, and a copy trading service
• Fast order execution from 0.16 seconds
• NOVA tokenized real estate investments
• Cryptocurrency deposits and withdrawals
• Short operating history

Headway Regulation & Security

Trading with a regulated broker will limit the potential for fraud and malpractice. I always recommend that traders check regulations and verify them with the regulator by double-checking the provided license with their database. Headway has one regulated entity with a clean track record.

Is Headway Legit and Safe?

My Headway review found no verifiable misconduct or malpractice by this broker, founded in 2022. Therefore, I cautiously recommend Headway as a legitimate and safe broker, as it has a relatively short operational history.

Headway regulation and security components:

• Regulated by the South African Financial Sector Conduct Authority (FSCS)
• Founded in 2022
• Segregation of client deposits from corporate funds
• Negative balance protection

What would I like Headway to add?

I would like Headway to consider membership with the Hong Kong-based Financial Commission, which provides third-party audits and a €20,000 compensation fund per claim. It may also consider a third-party insurance package to enhance protection. More transparency about its core management team and regulatory details would further increase trust in this broker.

Fees

I rank trading costs among the most defining aspects when evaluating a broker, as they directly impact profitability. Headway offers low minimum spreads in commission-free accounts at 0.3 pips or $3.00 and 0.0 pips for a $3.00 commission in commission-based alternatives, but average trading fees are higher. For example, during my Headway broker review, the EUR/USD spread was 0.8 pips or $8.00 per 1.0 standard round lot.

Headway also offers low swap rates, including positive ones where applicable, making its overall pricing environment cheap and ensuring higher profits for traders.

The average trading costs for the EUR/USD at Headway are:

Here is a snapshot of Headway spreads during the London-New-York crossover session, where traders get the tightest spreads:

Swap rates on leveraged overnight positions are the most ignored trading costs. Depending on the trading strategy, they may become the most significant fee per trade. I always recommend that traders check them before evaluating the total trading costs.

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 Headway 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 Headway account will cost the following:

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 Headway account will cost the following:

Noteworthy:

• Headway sometimes offers positive swap rates on qualifying assets, allowing traders to earn money holding positions open overnight.

Range of Assets

Headway offers 475+ assets featuring Forex, cryptocurrencies, commodities, indices, and equities. I like the overall balance, as it suits most traders, but the absence of ETFs stands out, as they would fit perfectly into the asset mix.

Headway offers the following assets:

• 44 Forex pairs
• 21 cryptocurrencies
• 11 metals and energies
• 34 indices
• 360+ equity CFDs

Headway Leverage

What should traders know about Headway’s leverage?

• Maximum retail Forex leverage is 1:2000, but Headway offers unlimited leverage after traders trade more than 5.0 standard lots.
• Cryptocurrency traders can use 1:400.
• Metals max out at 1:2000, and energies at 1:200.
• Index traders receive 1:400.
• Equity traders get a maximum leverage of 1:20.
• Not all assets within a sector qualify for the maximum leverage.
• Negative balance protection exists, ensuring traders cannot lose more than their deposit.
• Traders should always use appropriate risk management with leveraged trading to avoid magnified trading losses.

Trading Hours

Account Types

Headway offers Cent, Standard, and Pro account types. The first two are commission-free, while the latter is a commission-based alternative. During my Headway broker review, traders could also open a demo and a swap-free Islamic account.

My observations concerning the Headway account type are:

• There is a $1 minimum deposit requirement for the Cent account, $10 for Standard, and $100 for Pro.
• The maximum retail leverage is 1:2000 but increases to 1:unlimited after traders place 5.0 standard lots of trades.
• The account base currencies are USD, EUR, IDR, JPY, THB, NGN, ZAR, BRL, and MYR.
• A margin call at 30% with an automatic stop-pout at 0%.
• Order execution from 0.16 seconds.
• 0.01 minimum lot size in Cent and Standard and 0.10 lots in Pro.
• A maximum lot size of 1,000 in Cent, 500 in Standard, and unlimited in Pro.
• 300 maximum positions in Cent, 1,000 in Standard, and unlimited in Pro.

Headway Demo Account

Demo trading does not grant exposure to the full range of trading psychology and can create unrealistic trading expectations. Therefore, I want to caution beginner traders against using demo trading as a full simulation tool. It is best used to familiarize yourself with the broker and the platform and for limited education.

What stands out about the Headway demo account?

• Headway offers customizable MT4/MT5 demo accounts.
• No expiry on demo accounts
• A demo account requires registration but not account verification.

Trading Platforms

Headway offers the out-of-the-box MT4/MT5, available as powerful desktop clients, lightweight web-based alternatives, and popular mobile apps. I recommend the desktop clients, as they offer all the functions, including algorithmic trading. Traders can upgrade MT4 via 25,000+ custom indicators, templates, and EAs, while MT5 features 10,000+.

Overview of Trading Platforms

Unique Features

During my Headway review, the NOVA tokenized real estate service stood out. Traders can participate in the global real estate market for as little as $38. It separates Headway from most competitors. The proprietary copy trading service also deserves mention. While it remains less broad-based than many competing alternatives, it offers copy traders a choice to diversify.

Research & Education

Headway does not offer research, which is typical for brokers with copy trading services. Traders can find plenty of market-relevant posts in the Headway blog but need actionable research or trading recommendations. Headway also offers an education section and signals via social media.

What about education at Headway?

The FSCA mandates that brokers offer quality education to beginners, and I like the quality of content available at Headway. The breadth of educational content makes Headway one of the leading brokers educating new traders.

My conclusion:

• I advise first-time traders to read the dozens of educational pieces published under the AI Hub section, which offers an excellent introduction to Forex trading.
• Beginners should also seek in-depth education from third parties focusing on trading psychology and the relationship between leverage and risk management.
• Avoid paid-for courses and mentors.

Customer Support

Customer Support Methods
Support Hours	24/7
Website Languages	EN AR FR JP PT MS Other

Headway offers 24/7 customer service via live chat, which is responsive and fast after making it through the chatbot. Headway also launched its help center, where traders get answers to several FAQs. I recommend multi-lingual live chat for any queries.

Bonuses and Promotions

At the time of this Headway review, traders received a $111 no-deposit bonus promotion. Under this promotion, traders can trade for seven days and get all earnings transferred to a live trading account. The bonus is withdrawable at a ratio of 3.0 lots per $1. Terms and conditions apply, and I highly recommend traders read and understand them before accepting the bonus.

A partnership program is also available, but payouts remain limited to only 42%, which Headway improves via its Cash Booster program. However, to qualify, traders must deposit at least $25,000 monthly.

The Giftshop is the latest addition. One lot equals one crown, and traders can purchase gifts from T-shirts to gadgets and a car.

Awards

Headway has received twelve industry awards. Four of the most recent ones include the “Best Broker Africa” and “Best Mobile App” awards by Smart Vision Investment Summit 2024, and “Fastest-Growing Broker – Africa” and “Broker of the Year – Malaysia” by Finance Magnates.

Opening an Account

The online Headway account application only asks for a name, e-mail, desired password, country of residence, and phone number. Traders can also use their Facebook or Google IDs to complete this step. Headway will send an e-mail with a verification link, which concludes the account registration. It automatically opens a live and demo account and will e-mail the account details within minutes after traders click the confirmation link.

What should traders know about the Headway account opening process?

• Headway complies with global AML/KYC requirements.
• Account verification is mandatory.
• Most traders pass verification by uploading a copy of a government-issued ID and one proof of residency document.
• Headway may ask for additional information on a case-by-case basis.

Minimum Deposit

The minimum deposit at Headway is between $1 for the Cent account, $10 for Standard, and $100 for Pro.

Payment Methods

Withdrawal options
Deposit options

Headway supports credit/debit cards and cryptocurrencies for all traders. The geographic location of residence determines the payment processors where PayRetailers, Skrill, and Neteller are available. Customer support will give geographic-specific payment processors, but I wish Headway would list all available ones on their website.

Accepted Countries

Headway accepts traders resident in most countries except the US and countries blacklisted under FATF.

Deposits and Withdrawals

The secure Headway dashboard handles all financial transactions for verified clients.

What are the key takeaways from the deposit and withdrawal process at Headway?

• The minimum deposit depends on the account type and payment processor.
• Headway does not levy internal deposit or withdrawal fees.
• Deposit processing times are between 15 and 30 minutes, except for bank wires.
• External processing times and fees depend on the payment processor.
• Customer support notes that the finance department processes all withdrawal requests immediately.
• In compliance with AML regulations, the name of the trading account and payment processor must be identical.

Is Headway a good broker?

I like the trading environment at Headway for its balanced asset selection, reasonable trading fees, fast order execution, and quality education for beginners. Adding the NOVA tokenized real estate service makes Headway stand out, and I rank it among the best South African brokers. The solid foundation at Headway will allow it to grow into a dominant South African broker with global reach, and it is a broker to monitor.

FAQs

What is the Headway minimum deposit?

The Headway minimum deposit is between $1 and $100, depending upon account type and payment processor.

Is Headway a regulated broker?

Headway is a South Africa-regulated broker with FSCA oversight.

How long does a Headway withdrawal take?

Headway processes withdrawal requests immediately, but the final time depends on the payment processor and the traders' geographic location.

Is Headway legit?

Headway is a legit broker, operational since 2022, and regulated by the FSCA.

By DailyForex.com Team

The DailyForex.com team is comprised of analysts and researchers from around the world who watch the market throughout the day to provide you with unique perspectives and helpful analysis that can help improve your Forex trading.