Best Gold Trading Platforms in UAE

0
387

Regal Wallet Banner

The best gold trading platforms in UAE are eToro, AvaTrade, and Capital.com. In this guide, we will explain to you why these are the best gold trading platforms and compare their features and fees.

Gold is a storage of value and you can trade  SPDR Gold Shares and other gold ETFs through regulated gold trading platforms as United Arab Emirates-based trader.

Best Gold Trading Platforms in UAE in Overview:

01. eToro: Overall Best Gold Trading Platform in UAE

etoro-rating

eToro is the overall best gold trading platform in UAE because you can trade SPDR Gold Shares, SPDR ETFs, and Gold CFDs with them. eToro also offers commission-less stock trading in gold mining companies like Newmont Corporation. You can trade gold CFDs with up to 20:1 leverage on eToro or use their copy trading platform to copy other traders’ gold trading positions. 

Pros Cons
Commission-less gold trading Lacks analysis tools for advanced traders
Leverage up to 20:1
Copy trading platform

02. AvaTrade: Best Multi-Platform Gold Trading in UAE

avatrade-rating

AvaTrade is the best multi-platform gold trading broker in UAE because you can trade gold on 6 different trading platforms with them and automate your gold trading by connecting AvaTrade with ZuluTrade or DupliTrade. 

You can trade gold stocks, gold ETFs, and CFDs on gold via AvaTrade’s web trading platform AvaTradeGo or use MT4 or MT5 in conjunction with AvaTrade. With AvaOptions you can trade options on gold. AvaTrade is FSRA-regulated and listed as official Financial Services Firm on the Abu Dhabi Global Market.

Pros Cons
Multiple gold trading platforms Limited amount of CFDs
Compatible with MT4, MT5, ZuluTrade, and DupliTrade
FSRA-regulated and ADGM-listed

03. Capital.com: Best CFD Gold Trading Platform for UAE Traders

capital-com-rating

Capital.com is the best CFD gold trading platform for UAE traders because you can trade gold shares with leverage up to 5:1 with them. Apart from gold shares, you can trade 3,000+ stock CFDs, over 140 forex pairs, 84 cryptocurrencies, and 21 ETFs on Capital.com. You can integrate TradingView with Capital.com and the broker is compatible with MT4 and MT5. Capital.com is CySEC-regulated and they send out artificial intelligence-based trading signals to their clients. 

Pros Cons
CFD gold trading with up to 5:1 leverage Only CFD trading
Compatible with MT4 and MT5 
AI-based trading signals

Getting Started with Trading on Gold Trading Platforms in UAE

You get started with trading on gold trading platforms in the United Arab Emirates by opening a gold trading account, verifying your identity, depositing funds into your account, and opening your first gold trade. 

best-gold-trading-platform-etoro
  1. Opening an eToro Gold Trading Account
    You open an eToro gold trading account by going to the eToro website, clicking on ‘Sign Up’, and filling in your personal details. 
etoro-account-opening-trading-gold
  1. Verifying Your Identity
    All traders will need to verify their identity before they can trade gold at eToro. You do this by uploading a photo of your passport, national ID card, or driver’s license. 
id-verification-etoro
  1. Depositing Funds to Trade Gold
    You will need to deposit funds into your gold trading account at eToro before you can start trading. eToro has multiple banking options available like credit/debit cards, PayPal, and bank transfers. 
  1. Open a Gold Trade
    Search for ‘SPDR’ or ‘GLD’ in eToro’s asset search bar to find all available gold investment options, select one, click ‘Trade’, and ‘Open Position’ to open a gold trade.  A pop-up will show, where you fill in the amount you want to invest, choose whether you want to go long or short (buy/sell), and set your risk parameters. 

What is Gold?

Gold is a shiny metal made from the chemical Aurum that has been precious to mankind for a long time. It is one of the world’s most expensive metals associated with wealth and beauty. 

Gold Trading Basics in UAE

The gold trading basics in UAE are that you choose how you want to invest in gold, how much you want to invest gold, and for how long you want to trade gold. 

You can invest and trade in gold in four ways: gold bullion, gold futures, gold ETFs, and gold mining ETFs. 

Gold Bullion

You cannot invest in gold bullion via a trading platform, but by buying physical gold bars and coins. You can buy gold in a gold seller’s store or online. The biggest risk of investing in gold bullion is that thieves can steal it from you. 

Gold Futures

Investing in gold futures involves speculating on its price and deciding whether to take physical delivery of gold or not. Leveraged trading is available on gold futures contracts. This is profitable, but risky. 

Gold ETFs

Gold ETFs are exchange-traded funds that track the value of gold. Examples of gold ETFs are SPDR Gold Shares (GLD), iShares Gold Trust (IAU), and Aberdeen Standard Physical Gold Shares ETF (SGOL). Gold prices fluctuate like stock prices and ETFs give you exposure to these price changes. 

Gold Mining ETFs

Gold mining ETFs are exchange-traded funds that track the stock value of gold mining companies like VanEck Vectors Gold Miners ETF (GDX), VanEck Vectors Junior Gold Miners ETF (GDXJ), and iShares MSCI Global Gold Miners ETF (RING). By investing in gold mining ETFs you invest in gold mining performance rather than gold’s price.  

Things You Should Know Before Trading Gold

You should know that gold investments are speculative, have a bad long-term performance, and that you shouldn’t invest in them because they are easy to understand. All assets including gold are volatile. There are assets that out-perform gold. Investing in new technologies like cryptocurrencies can be more profitable than gold. 

Long-Term Gold Investing

You should invest in gold over the long-term as a hedge against inflation and to preserve your wealth. Gold doesn’t out-perform other asset classes but is a storage of value. Unlike currencies that are subject to inflation, gold keeps its value. You can diversify your portfolio by investing in gold along stocks, cryptocurrencies, and other financial instruments. 

Short-Term Gold Investing

You should invest in gold over the short-term to profit from its price movements. Gold doesn’t generate dividend or interest like stocks. 

Risks of Investing in Gold

The risks of investing in gold are security and purity concerns, fees, and not earning passive income. When you invest in physical gold you don’t know its purity and thieves can steal it. Commissions on gold are high, especially when you buy gold end products. Gold doesn’t generate a passive income like investing in dividend stocks, peer-to-peer lending, and other forms of investing do. 

Tax Rules on Gold Investments in the United Arab Emirates

Dubai charges 5% VAT on gold, which is the lowest tax rate on gold worldwide. For this reason, people call Dubai the city of gold. You don’t have to pay any capital gains tax when investing in gold stocks, gold ETF’s, or other forms of ‘paper gold’. 

Best Gold Trading Platforms in UAE – Our Verdict

The best gold trading platforms in UAE are eToro, AvaTrade, and Capital.com because they offer commission-less gold trading, leverage up to 30:1, and convenient trading interfaces. We recommend UAE-based traders to trade gold on eToro

FAQ

How much should I invest in gold?

Most financial advisors tell their clients to invest a maximum of 10% of their net worth into gold.

Can I invest in gold on a UAE trading platform?

Yes, you can invest in gold with AvaTrade, which is regulated by the Abu Dhabi Global Markets (ADGM) and based on AL Maryah Island, Abu Dhabi.

Where can I learn to invest in gold?

On eToro’s website, you can learn to invest in gold by reading and viewing their educational material. 


Methodology
The mission of Business24-7 is to provide comprehensive, unbiased ratings and reviews of the best online brokers. Trading platform, fees, mobile trading, payments, assets, regulation, education, and research are all part of our six-month evaluation of a broker’s trading platform. The rating scale was based on thousands of data points that have been weighted into the scoring system. Brokerages were required to fill out a multi-point survey regarding every aspect of their platform. In-person demonstrations and evaluations were provided by the majority of the online brokers we reviewed. Stefan Grasic, along with our team of industry experts, conducted our reviews and developed this methodology for ranking what form is used in online investing.

Disclaimer
All trading involves risk. More than 80% of investors lose in spread bet and CFD trading. As these complex instruments allow for the use of leverage, there is a high risk of losing more money than you have deposited. Before attempting to participate in spread bets and CFDs, consider how well you understand them and if you can afford to lose your money.