Saxo Bank launches entry level Essential account with negative balance
Copenhagen based multi asset broker Saxo Bank has announced the launch of a new entry level account, called Saxo Essential, with industry leading pricing and prudent risk limits on margin trading of OTC products.
The introduction of Saxo Essential coincides with recent regulatory initiatives aimed at reducing the amount of leverage available to retail clients trading CFDs, as first raised by the FCA and subsequently (and currently considered) by ESMA. Saxo Bank has been supportive of those initiatives, and stated that it feels its business is prepared for change and as such, will be well-placed to compete in the UK and EU markets as these changes take effect in the coming months.
The new account type formally launched yesterday (January 15) in the UK by Saxo Capital Markets UK Limited, and will be followed by a planned roll-outs in Australia and Singapore. In the selected markets trading accounts for individuals will consist of Essential, Classic, Platinum and VIP allowing Saxo to cater for all size and types of client.
The Essential account will offer access to four asset classes; FX, index CFDs, stocks and bonds. Clients will be able to access Saxo’s full range of stocks and bonds, but only the most popular FX pairs and index CFDs at ultra-competitive pricing.
The Saxo Essential account has a minimum funding level of €1,000. Essential also provides clients with the benefit of trading within a limited risk environment where they cannot lose more than the cash on account – known as negative balance protection.