Types of Trading Accounts #
Bluedot supports the two industry-standard types of accounts (for both Demo and Live):
- Hedging
- Netting
Hedging Account #
A hedging account allows traders to:
- To have both long and short (Buy and Sell) positions open for the same symbol at the same time.
- Have multiple positions of the same type (either Buy or Sell) opened for the same symbol at the same time.
Example:
With this account type, when trading successively:
- Buy 1 lot of EURUSD
- Sell 0.5 lot of EURUSD
- Sell 0.5 lot of EURUSD
Eventually, you will have 3 open positions, which you can manage individually.
Netting Account #
A netting account allows traders:
- To have only one open position for the same symbol at the same time.
- Successive orders of opposite directions for the same symbol (Buy or Sell) will sell-off each other according to the traded amount.
Example:
With this account type, when trading successively:
- Buy 1 lot of EURUSD;
- Sell 0.25 lot of EURUSD;
- Sell 0.25 lot of EURUSD.
Eventually, you will have only one long (Buy) position for 0.5 lot, because another half of the lot was canceled out by selling two 0.25 lots.
Note that not all brokers support different types of accounts.
Change Account Type #
To change the type of a Live trading account, contact your broker.
A Demo account type cannot be changed. You can only open a new Demo account of the desired type.
Special Options #
Shariah-Compliant (Swap Free) Account #
A Shariah Compliant account meets all the requirements of Shariah law and the principles of Islamic finance. For such accounts, your broker charges only an administrative fee instead of swap fees.
To make your Demo account compliant with the financial traditions of Islam, when creating a new Demo account, check the Shariah-Compliant (Swap-free) box in the Demo Account menu.
Contact your broker, and request Shariah-Сompliant Live account if your Bluedot version does not allow for creating new Live accounts.
AMF Compliant (French Risk) Account #
An AMF Compliant (French Risk) account has the following unique behavior:
- Guaranteed Stop Loss is always required when opening a position.
- Guaranteed Stop Loss cannot be removed when the position is open.
- QuickTrade is not available.
- The trade side of the GSL cannot be changed.
- Trailing Stop Loss is not available.
- Some symbols might be disabled by the broker for AMF Compliant accounts.
- To create an AMF Compliant trading account, please contact your broker.
Note
The AMF option is available only for the hedging trading accounts.