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An ETF (Exchange‑Traded Fund) is an investment instrument that allows you to buy exposure to a basket of shares, bonds, commodities, or other assets through a single security, instead of purchasing each underlying asset individually.
When you invest in an ETF, you are buying a unit in a fund that tracks a particular index or theme. For example, an ETF might track the Top 40 companies on the JSE, global technology companies, the S&P 500, or even commodities like gold.
ETFs trade on an exchange (just like shares), meaning you can buy or sell them throughout the trading day at the current market price.
When you trade on margin, you contribute part of the investment value yourself, and the rest is funded through a margin facility.
For example:
You may want to take a position worth R100 000.
Instead of funding the full amount upfront, you contribute a portion and borrow the balance.
If the value of your investment increases, your returns are amplified.
If the value falls, your losses are amplified too.
This is why margin trading requires careful decision-making, ongoing monitoring and a clear understanding of market risk.
Clarity gives you access to margin trading through a straightforward, self-directed platform designed to help you act with confidence.
With Clarity, you can:
Everything is designed to be clear, accessible and uncomplicated.
No unnecessary jargon. No clutter.
Just the flexibility to trade your way.
Margin trading is not for everyone.
Markets move quickly, and losses can exceed your initial investment if positions are not managed carefully.
Before trading on margin, it is important to:
Starting small and learning as you go is often the smartest place to begin.
Clarity is designed for people who want more control over how they save, trade and invest.
Whether you are exploring margin trading for the first time or actively managing your portfolio, Clarity gives you the tools to take action with transparency and confidence.
Because better decisions start with clarity.
The below illustrates an example of how the spread fees on a trade work, using a maximum of 20 basis points (0.2%):
| Variables | Formula | Amounts |
|---|---|---|
| Trade Price | (A) | R 150.00 |
| Spread applied | (B) | 0.20% |
| Trade Cost | (C = A*(1+B)) | R 150.30 |
| Number of shares being purchased | (D) | 1 000 |
| Total Trade Cost in Full | (C*D) | R 150 300.00 |
| Amount paid to Clarity | ((C-A)*D) | R 300.00 |
The below illustrates an example of how the spread fees on FX works, using 50 basis points (0.5%):
| Variables | Formula | Amounts |
|---|---|---|
| ZAR to exchange | (A) | R 1 000.00 |
| Spot FX Rate (ZAR:USD) (Example) | (B) | 18.90 |
| Spread applied to the FX rate | (C) | 0.50% |
| FX Rate used for conversion (ZAR:USD) | (D = B*(1+C)) | 18.99 |
| USD received by customer | (E=A/D) | $ 52.65 |
| USD at spot FX rate | (F=A/B) | $ 52.91 |
| Amount paid to Clarity | ((F-E)*D) | R 5.00 |