Australian Owned & Regulated
FXTRADING.com is an Australian foreign exchange trading (FOREX) brokerage firm based in Sydney Australia, regulated by ASIC.
FXTRADING.com has based it’s operation in Australia due to it’s strong financial, economic and political landscape. Due to Australia’s highly regulated financial sector and long term track record, Australia is held in high regard by professional traders and investors around the world.
Why Trade With An Australian Forex Broker ?
Australian financial firms are required by law to hold client funds in segregated trust accounts, adding an extra level of protection to your capital. Firms are permitted to allow trading on CFD’s and OTC products such as GOLD & OIL, as well as offering clients trading leverage up to 500 to 1.
Australia has come through the global financial crisis relatively unscathed which has enhanced the reputation of countries financial services regulator ASIC. The regulator ensures all trading firms hold a Financial Services Licence (AFSL) as well as monitor and enforce some unique operational restrictions including:
1) Segregated Deposit Account
Australian forex brokers must keep deposits in a separate trust account held within Australia. This means the broker cannot use client deposits to trade or maintain it’s own positions. It also acts as as safety buffer in the event the firm reaches financial difficulties, as the client deposits are theoretically seperated from the firms main business.
There are minimum training standards for staff and owners of financial firms set by ASIC. This helps meet compliance requirements and helps ensure clients are educated on the risks and rewards of currency trading.
Australia has strict requirements when it comes to the accounting and auditing of financial firms including forex brokers. Firms must meet strict accounting, auditing and compliance standards ensuring they don’t go rouge with their standards.
4) Risk Management Audits
ASIC regularly audits brokers to stress test them in different operational scenarios. Each firm is required to hold a minimum amount of capital reserves. During the swiss currency shock no Australian broker went into major financial meltdown unlike many brokers overseas or unregulated brokers.