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They invest just 5% of their income but plan to make trading their job
They invest just 5% of their income but plan to make trading their job

IOL News

time07-08-2025

  • Business
  • IOL News

They invest just 5% of their income but plan to make trading their job

Image: Supplied As South African traders become more strategic and discerning about their choices, what they expect from their broker of choice has also changed significantly. According to recent data from Kantar's Global Brand Health Tracking study¹, trader preferences in South Africa are now shifting increasingly towards trust, transparency, and operational reliability. Fast access to funds is non-negotiable Among the strongest findings of the Kantar study was how important a seamless deposit and withdrawal process is for the South African trader. In fact, 42% of respondents chose a smooth deposit and withdrawal process as one of the top three most important criteria for choosing a broker. Financial security was a close second, with 40% of participants identifying it as a crucial factor. These numbers show a shift in priorities for South African traders, who are now moving away from traditional broker selling points, such as extensive asset selections, welcome bonuses, and other incentives. Although considered a baseline expectation, licensing and regulatory compliance also remain important, reinforcing the importance South Africans place on trustworthiness and financial security. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. 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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Image: Supplied South African traders are cautious, but committed The Kantar study also provided insight into how South African traders approach their investments when trading. Despite their commitment, traders are relatively cautious with their funds. Approximately 49% indicated they invest no more than 5% of their monthly income, and 37% stated they would feel comfortable investing up to 25%. However, caution doesn't always reflect uncertainty. Among experienced traders surveyed, nearly 90% expect their trading will evolve into a sustainable and ongoing source of income over the long term. This suggests that South African traders are becoming more strategic and conscious of the longer term before scaling up their investment. Image: Supplied Platform features that actually matter When asked to rank the most important platform features, fast execution was highlighted as the top priority, with 56% selecting it as an essential feature. High leverage options and consistently low spreads are also important, chosen by 52% and 47% of the respondents, respectively. However, risk management features also ranked highly. 35% considered negative balance protection important, while 38% highlighted swap-free trading accounts. These results indicate that South African traders are increasingly demanding more than raw performance. They place substantial value on managing their risk exposure and expect brokers to support their long-term strategies with robust risk-management tools and safeguards. Brokers who incorporate these features into their offerings are meeting the higher standards South African traders demand. Image: Supplied What brand awareness reveals about reliability Brand awareness data from the study also provided further insights into trader preferences. Among the brokers measured in the Kantar survey, Exness showed the highest brand recognition, with 75% of participants being aware of the brand. Among those aware of the brand, 14% were active clients, and nearly 10% of those chose Exness as their main broker. However, while brand recognition is essential, what's more important is what recognition implies about trader preferences. This recognition and usage suggest that brand awareness and perceptions of reliability and stability are linked. It also underscores a broader market shift—South African traders will choose brokers that consistently meet these basic aspects of the trading experience, including reliable payment processing, stable trading conditions, and quality execution. The ones that do so will enjoy greater loyalty, retention, and less churn.

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