Forex Regulators and Licenses

The key issue to take notice of when choosing a forex broker is license or licenses that this company obtains. A license is a document indicating which forex regulators control the broker’s activities and generally the way the business is done.

Generally, onshore regulators, like NFA (regulator of the American futures market) abide by more tight legislation than their offshore colleagues, e.g. regulators based in BVI or Seychelles.

Broker licenses can be issued by various regulation authorities throughout the world; it is critically important for a new broker entering the market what are the differences between different regulators. In fact, not all the licenses are equally recognized and valued. Generally, onshore regulators, like NFA (regulator of the American futures market) abide by more tight legislation than their offshore colleagues, e.g. regulators based in BVI or Seychelles.

The most authoritative forex brokers regulators are:

NFA (National Futures Association)

CFTC (Commodity Futures Trading Committee)

Great Britain. FSA (The Financial Services Authority)

CySEC (Cyprus Securities and Exchange Commission)

FINMA (Swiss Financial Markets Authority)

BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht)

SEC (The United States Securities and Exchange Commission), FINRA (Financial Industry Regulatory Authority)

SIPC (securities Investor Protection Corporation)

FinTRAC (Financial Transactions and Reports Analysis Centre of Canada)

MiFID (The Markets in Financial Instruments Directive)

FSCL (Financial Services Complaints Ltd.)

FSC Mauritius (Financial Services Commission Mauritius)

Trade successfully using stop loss orders

Learn how to use a protective stop loss order and what is a trailing stop to perfect your Forex trading skills and avoid unnecessary losses...

CFDs for beginners. Risk Management

Risk management will play a major role in any successful trading plan. If you use a trading method that allowed you to be successful the majority...

Who's Satoshi Nakamoto?

The identity of Satoshi Nakamoto remains a mystery. Let's investigate and take a look at all possible candidates behind the world's biggest...


The advantages of Forex market

How much money can you really make trading Forex? There are a lot of websites that claim to double or triple their money every month. However...

How to become a successful day trader

Anyone can become a day trader, learn how to do it quickly, how to manage the risk, and what to avoid to succeed in financial markets. Read...

10 trading mistakes pros make

Trading Forex can be easy and profitable but only if you know what trading mistakes to dodge. Find out what are the ten most common trading...


The effects of inflation on the economy

A comprehensive look at what inflation is, how it impacts the economy, why it matters to traders, and how to make trading decisions using inflation data...

How greed might stop you from profit

Overcome the biggest obstacle in Forex trading, greed, and give way to profit making. Understanding the mood of the market is vital, not just for opening...

What pair is the most difficult to trade?

On Forex, a currency pair is the main trading instrument. Traders usually choose major currency pairs, the so-called majors. But there are other currencies available...

  


Share: