Customer Service Home | FOREX Home | FOREX Beginners | Currency Market | Day Trading | FOREX Killer Software | FOREX Software Overview | Global Forex Trading | Forex Brokers | Forex News| About Us | Privacy Policy

Forex Broker Article:

How Do You Evaluate A Money Manager?
By Corbin
Are you considering a career as a regulated broker? brokers work in the ever changing field of foreign currency, making millions for their customers. They also earn quite a bit of money in commissions for themselves, betting on which countries exchange rates are going to rise or fall in the future.

Who Regulates Brokers?

Since brokers work throughout the world in numerous different countries and cities, no single agency regulates all brokers. Instead, brokers are regulated through the local brokerage regulation agency in their respective home countries. Hence, U.S. brokers are regulated by the Securities Exchange Commission (SEC), the Federal Reserve System, the Federal Deposit Insurance Corporation, or the Office of the Comptroller of that currency.

Forex brokers located in Japan are regulated through the Financial Services Agency, while brokers in Iraq are regulated by the Iraq Securities Commission.

What Rules Cover Traders?

Trading on foreign exchanges is very different than trading on the NYSE or the Nasdaq. The rules for trading are made by the National Futures Association. The majority of trades involve the major currencies: The American, Australian, and Canadian dollars; The Euro, British Pound, the Japanese Yen, and so on.

National Futures Association

Regulations such as these are set forth in the National
Futures Association Retail Off Exchange Foreign Currency Rules. Included in these rules is information about assessments as well as dues, requirements for managing a account, obligations of assignees, and an assortment of additional situations that arise throughout the course of trading.

The online website of the National Futures Association carries a wealth of information for the starting broker as well as Investor. There you will learn rules that govern traders; investor alerts; requirements for reporting, notices to members, notice of judgments interpreting the rules, as well as other resources for individuals who wish to learn more about Forex.

The website also furnishes links to resources for electronic filings needed to establish and maintain a brokerage: promotional materials, exemptions, reporting, complaints, and the annual questionnaire.

Be Wary of Unregulated Brokers

An increasingly pervasive problem that investors need to aware of is fraud. The Commodity Futures Trading Commission approximates that customers have lost over $395 million dollars in fraudulent schemes.

For Additional Information

If you are looking to learn more about that can be found on the National Futures Association website, you can find out more trading information by a self study program or by taking a course.

Search for more information about Forex Broker