All forex traders in Europe have been given the rare privilege of operating a hassle-free online Forex trading experience since they are free to open accounts and also trade with restrictions. At the time of writing this article, there are tons of forex brokers in the European forex trade market.
All these forex brokers in Europe are regulated in almost any EU territory or more commonly, by a combination of them. No matter how the regulation is carried out, it is important that you remember that regulation isn’t much enforced in Europe like the other regions.
The major reason why Forex Broker in Europe regulate themselves is because they want to differentiate themselves from brokers who operate without any license, thus giving the traders an assurance that they have honest intentions towards them since only regulated brokers can allow you to sign up more payment options for your convenience.
It is always good for traders to take the necessary precautions when it comes to the issue of safeguarding themselves from fraudulent online brokers. Before picking a legitimate forex broker, it is of paramount importance that you do a little background check on the broker to make sure they are who they really claim to be.
In order to save your precious time, we have decided to run the background check on your behalf and have identified some few characteristics of Forex brokers in Europe.
1. REGULATING BODIES
Forex brokers in Europe are regulated based on region. The table below shows the European regions and the regulating bodies at work.
REGION REGULATING BODY
Ireland Central Bank of Ireland
Denmark The Danish FCA
France Banque de France (BdF) and Comite des Etablissements de Credit et des Entreprises D’investissement
Germany Bundesanstalt fur Finanzdienstleistungsaufsicht or BaFin
Spain Comision Nacional Del Mercado de Valores (CNMV).
Sweden Finansinspektionen (FI)
United Kingdom FSA (Financial Services Authority) and Financial Conduct Authority (FCA).
Italy Commissione Nazionale per le Società e la Borsa (CONSOB)
2. MINIMUM AMOUNT OF DEPOSIT
The best Forex broker in Europe offers a minimum amount of deposits from $5 to $250. This amount varies from one forex broker to the other.
The best Forex brokers Europe offers a bonus of 20-100%. Although this may sound disheartening, but there are some forex brokers who don’t even offer a bonus to their clients.
The leverages range from 400:1 to 1000:1 depending on the forex broker.
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.