Forex Brokers

Question 1

What sort of jurisdiction do shady forex dealers like?

Answer 1

Offshore

Question 2

In the U.S., a legit forex broker must be registered as a

Answer 2

Retail Foreign Exchange Dealer (RFED)

Question 3

How to “test drive” a broker

Answer 3

1. Make a small deposit
2. Open and close a couple of small trades
3. Request to withdraw your entire account balance
4. Confirm that you’ve received the funds

Question 4

This financial instrument enables traders to speculate on the price movement of assets without purchasing the assets themselves

Answer 4

Derivative

Question 5

CFDs are prohibited in the U.S. What do we have instead?

Answer 5

Rolling FX contracts or rolling spot FX contracts