How does forex trading work? Singapore has a booming economy and superb business climate so it comes as no surprise to learn that Singapore has become a popular location for those wanting to invest in the Forex market. These started when most retail brokers started offering their services to the average Joe around the world. Profits and risks walk shoulder to shoulder. You may not reproduce, distribute, publish or broadcast any piece of the website without indicating us as a source.
Best Secure MAS Regulated Forex Brokers 2018
One of them is by publishing consumer alerts. One common way is to target consumers, both overseas and in Singapore, and giving a false impression they are operating in Singapore. It can sometimes happen that the unregulated person is using names similar to firms which are MAS regulated.
The alerts also serve to give consumers advice relating to precautions it is possible to take to further protect themselves. MAS also publishes a list from time to time with information relating to unregulated person or entities that are incorrectly claiming to be licensed or authorized by MAS.
In the first instance, you should be contacting the financial institution you are having problems with, as they will be able to access all your records. MAS Forex brokers are expected to deal with any customer complaints in an effective and prompt way.
Either speak to the representative directly or call the customer helpline. Should you be unable to reach a satisfactory conclusion you then have to write to the Quality Service department of the financial institution. This has to be done within 6 months of your last communication with the financial institution. FIDReC is an independent and affordable option for resolving problems you have been unable to resolve. It is also possible to approach the Consumers Association of Singapore or the Singapore Mediation Centre, or you may decide to bring your own case to court.
This last option should be your last resort as it can be very time-consuming and costly. Before we finish, it is only prudent we point out that MAS regulated Forex brokers may soon be forced to limit margin requirements.
In other countries, the suprevision is given to some independent institution that monitors only financial markets. These tend to be more liberal and provide brokers with greater chances to set up their businesses in the country. Loose or strict, brokers will still have to follow a regulatory framework set by regulatory institutions, adhere to the rules of providing services, have sufficient capital, reduce risks for their clients and etc.
Any broker who wants to offer financial services in the country has to be MAS licensed. Those involve supervising all financial, credit and insurance intermediaries offering their services to Singapore residents.
Brokers regulated by MAS have to limit their clients risks by keeping their money in segregated accounts in case brokers go broke. In that instance investors money would still be safe.
Among other things that MAS regulated brokers have to do is to fully disclose all services and products that they offer to their clients. The regulator also has a lot of educatory resources and a special programme for investors MoneySENSE that helps them to make rational and independent decisions regarding investing.
So, if you live in Singapore, be sure to choose a MAS regulated broker. The Profession of a trader is a very independent one. You can be your own boss and set your own working hours. However, as you will be trading online you will need to have a good trading platform. Those who have tried a lot of platforms know that some of them are excellent, some just good and some simply inhibitive to trading.
If you have time and desire you can keep on testing for yourself each trading platform and software, but the best way is to simply choose which is easy to use and has a lot of useful extra features. In terms of simplicity, you need to know which button does what.
This is easy and what it is supposed to be. In terms of extra features, you would want to have a good chart station or possibility to have multitude of different charts with different instruments so that you could compare them and chack their values on different time frames.
You would also want to have multiple indicators, ability to make your own notes, close your entire position with one click, test your strategy, copy function and news feed on the platform. Forex industry probably has the best type of commissions from the rest of financial industry. The fact is that Forex brokers are compensated from spreads which are difference between bid and ask prices. These can be fixed and variable. Fixed spreads will be around pips for major pairs and for currency crosses.
Variable spreads tend to be much smaller under normal market conditions. They can be 0. When markets are affected by some fundamental news and start acting like crazy spreads expand and can be times bigger. But they stay like that just for a few minutes till markets absorb new information and start acting normally again.