dhan_laks
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Cash: $ 0.45
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Joined: 12 Oct 2004
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| Forex regulations |
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Hi!
I would like to have some details regarding the regulatory authorities and governing agencies controlling the operations of an online forex trading firm. As per my observation, forex brokerage firms are not controlled and regulated by any regulatory boards as such. In fact, no special acts govern the activities of a forex firm. However this is not as in the case of a firm executing Futures instruments.
But these firms become the target of regulatory boards sometime or the other. They brand the companies as illegal firms executing unauthorized trading activities. Is is true?
My question is, Is registration mandatory or optional? If so what are the agencies that control the activities of such firms? what are the basic legal steps to be undertaken by these companies.
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Mon Oct 25, 2004 10:44 am |
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Andrew
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Location: Texas
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This may be of interest, text is from the first link...
quote:
When forex became a regulated asset class with the passage of the Commodity Futures Modernization Act of 2000, it was a giant step on the way to legitimizing these exciting but traditionally seedy markets.
Despite that, there are a lot of unscrupulous forex-related companies out there that are more interested in separating you from your money than helping you make money in the markets. Keeping that in mind, the futures industry regulator, the Commodity Futures Trading Commission (CFTC), has issued official consumer advisories regarding the nature of these illegal forex operations.
That said, there are several legitimate forex firms out there, but by reading the CFTC's literature, you can better protect yourself from the ones that aren't so legitimate.
http://www.futuresmag.com/forextrader/sections/warning.html
http://www.futuresmag.com/forextrader/sections/forexfcm.html
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Tue Oct 26, 2004 4:57 pm |
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