You Should Choose Broker Yourself

In this article, we will talk about the organization of trade on the Forex market and about brokers. Many readers wait from me something like the comparative table, where I will list brokers with their merits and demerits and where I will recommend at whom it is possible to trade with whom it is not necessary to communicate. But remember that the choice should make only you.

Any investments have a whole set of risks. I underline – any. Whether you place money in the Bank, or in a brokerage office, or lend to the neighbor, always there is a risk that you do not receive the promised percent, profits, and in general, can lose a part or all money. It is a fact. Level or probability of risks in the cases stated above, of course, the different. Nevertheless, we know that the class of risk is not advanced by the availability of good repair in office and set of certificates on walls, and even that the financial structure belongs to the state. Everything is good, while everything is good. As soon as begins, problems, first of all, suffer small investors as we are. With what are advanced risks? With many factors.

Among them, in my opinion, the major is the following:

  1. Main purposes of the company.
  2. The organization (a mechanism) of achievement of the purpose.
  3. Company management that advances its successful and long functioning.
  4. Availability of sufficient internal funds of the company for opposition various swaggers to major circumstances.

All the rest, in my opinion (duration of existence, affable staff), are not so essential.

The Forex market stands independently from other markets first of all because it is – off-exchange. Why so happens – I do not know. It is visible because there was it rather recently, about 20 years ago, and banks became its participants. Owing to the development of communication facilities and automation, banks began to trade “directly”, without requiring the special organizations – exchanges. With the further development of progress, such necessity not only has not arisen but also has decreased. Been born, this market became at once global, and in one country, it was not possible to limit “settle” it legislatively. Therefore such dislike neglect for this market from outside many “classical” financiers. Nevertheless, for a variety of the European and North American banks already, it is a lot of years the basic source of income speculative trading on Forex while the manning level, working in other markets, is constantly reduced.

So, the Forex market practically has no legislative regulation in one country, and in the majority of the countries is equated to the organization of games. From this, it follows that Forex broker does not require any licenses and certificates. It is the usual legal person.

Here the second important fact – Forex market is not regulated, despite a set of knotty problems and risks in addition to the risk connected with movements of the price of the market. These problems rotate around trust, the honesty of realization of operations, management of risks, transparency and marketing of Forex-brokers. But we should understand that, unlike highly adjustable exchange markets, Forex brokerage offices couldn’t be carried to any separate exchange on the character of problems and risks.

Before you decide to make a forex investment or start forex trading yourself, better find a nice forex book and learn more about Forex market – this will save you from tons of troubles and traps.

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