Recognizing the best forex brokers is not just a matter of identity and basic trading needs. You may need to compare some of them to have more clarity when browsing through some information on forex brokers.
Financial Futures Association (Japan), ASIC, ISA (Israel), FSC (BVI), FSA (Japan), Financial Services Regulatory Authority (Abu Dhabi), Central Bank of Ireland
If you are interested to open an account in one of the brokers in the list above, make sure to try the forex demo account before proceeding to register in the live account.
The foreign exchange transaction activity in the offline market is supported by law. Some of these include the Central Bank of Nigeria Act of 1958, the Foreign Exchange (Monitoring and Miscellaneous Provisions) Act of 1995, the Exchange Control Act of 1962, the Banks and Other Financial Institutions Act of 2007, and the Investments and Securities Act of 2007.
The first official effort to regulate the industry began in 2004 through the establishment of Federal Financial Markets Service (FFMS/FSFR). After the agency's disbandment in 2013, the Central Bank of Russia took over supervising Russian forex brokers.
In 2015, the Central Bank of Russia launched far stricter law enforcement. Forex brokers were given a January 2016 deadline to obtain licenses from CBR, or abstain from carrying out their services in the region. Since then, CBR only granted licenses to a handful of brokers.
The Monetary Authority of Singapore (MAS) is the regulatory authority overseeing forex trading in Singapore. Singapore's regulatory framework allows leverage up to 1:500 and covers a wide range of forex pairs and cryptocurrencies.
The Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) in the United Kingdom
The Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA) in the United States
The Swiss Financial Market Supervisory Authority (FINMA) in Switzerland
The Australian Securities and Investments Commission (ASIC) in Australia
The Financial Services Agency of Japan (JFSA) in Japan
The Cyprus Securities and Exchange Commission (CySEC) in Cyprus
If the broker you use is regulated by one of the regulatory agencies above, you can be confident that it is safe. The reason is that these regulatory agencies have strict requirements that brokers must meet to be licensed.
Only the most reputable and trustworthy brokers can obtain a license.