How to open a foreign exchange account?
- What is account opening for foreign exchange speculation?
Opening an account for foreign exchange speculation refers to the act of establishing a business relationship with banks for savings, credit, etc., and opening a foreign exchange account when the subject of foreign exchange transactions meets the needs of certain economic activities or other activities.
Before opening an account for foreign exchange speculation, you must first look at the foreign exchange dealers and their regulatory agencies, because the country has not yet opened foreign exchange margin trading.
Among the regulatory agencies, the US NFA (National Futures Association) is the first choice. NFA is the most regulated among many regulatory agencies. The leverage of platforms regulated by the US NFA is 50 times.
Secondly, the British FSA (British Financial Services Agency) is the world’s largest foreign exchange regulator. Many platforms are under his supervision. You must first check which country’s regulatory agency supervises the platform you choose. If you have an ID number, you can check it on the government’s regulatory website.
Foreign exchange speculation
Where can I fry foreign exchange?
a. Now you can go to banks such as Industrial and Commercial Bank of China, China Merchants Bank, etc. to open an account and speculate in foreign exchange. The characteristic of bank speculation in foreign exchange is that it is convenient to open an account, but the commission for foreign exchange speculation is relatively high.
b. You can find a professional investment bank or investment company to open a foreign exchange margin account, which is characterized by relatively complicated account opening, but there are many currency comparisons that can be traded, and the handling fee is relatively low. At present, the domestic margin market has not been fully liberalized.
- How to open an account for foreign exchange speculation:
To open an account for foreign exchange speculation, you must first determine whether you plan to operate a real foreign exchange market or foreign exchange margin according to your risk tolerance and capital size. The characteristics of the two methods and the account opening methods are as follows:
1) Speculation of the firm offer:
Generally, open an account at a bank, such as China Merchants Bank or ICBC. I personally currently have accounts at both China Merchants Bank and ICBC. The characteristics of the firm offer are that risks and returns are relatively small, and the transaction fee (spread) is slightly larger, usually 10-30 points. If the operation is good, the annual income is generally 5% to 10%. If the funds are too small, the benefits may be limited.
Account opening steps: go to the bank counter to apply for a foreign exchange account, then purchase foreign exchange and deposit it into the account, sign a foreign exchange transaction agreement with the bank, apply for online banking, and then log in to the bank’s website with a personal computer at home and enter the online banking for transactions. can.
2) Foreign exchange speculation margin:
Generally, you can apply for account opening through domestic foreign exchange introducing brokers or directly to the websites of foreign investment companies. Margin trading varies greatly according to the size of the position to be established, and the risks and returns vary greatly. I currently operate with a relatively stable leverage of 5-10 times. , Generally, there is no problem with 100% annual income. Generally, the spread is between 3 and 10 points. The disadvantage is that it has higher requirements on the operator’s capital management, and generally can’t resist it after making a mistake.
What is the process of opening a foreign exchange account?
Foreign exchange account opening process 1: Choose a formal, strictly regulated foreign exchange dealer or agent
How to open a foreign exchange account process
Generally, you can search on the Internet or log in to its official website to learn about the specific conditions of foreign exchange dealers, such as overall strength, establishment time, trading products, supervisory agencies, agencies, etc., and you can roughly judge whether the dealer is formal or competent from these aspects . The most authoritative foreign regulatory agencies include FCA, NFA, CFTC, and ASIC.
Foreign exchange account opening process 2: Select a dealer
Know the situation again through its designated agent, including the situation of the dealer and the knowledge of foreign exchange speculation.
Foreign exchange account opening process 3: application for account opening
Apply to online customer service to open an account. At this time, the customer service will provide users with some forms that need to be filled in. Generally, they need to fill in identity information, home address, contact information, etc., and a scanned copy of ID card. Submit these information to the online customer service by email, and the online customer service staff will ask the relevant staff to apply to the dealer to open an account.
Foreign exchange account opening process 4: check email
Obtain a trading account, complete the account opening form and submit the certificate. After the information has been reviewed and approved, you will be notified by email that your account opening application has been approved, and the account number and the operation method of injecting funds into the account will be notified.
Foreign exchange account opening process 5: Inject funds for the newly opened account and activate the account
Funds are generally remitted after receiving the trading account. General traders will set minimum deposit limits.