Forex is an Alternative Investment Tool
Windowofworld.com – Forex (Foreign Exchange Market) has been used by international banks and large investment companies for many years to generate millions of dollars. However, with easy access to the Internet, everyone can now take advantage of this powerful tool and make money in the same way that large institutions do, even with minimal initial funding.
Even experienced investors seem confused about Forex and have little understanding of it. Forex is not very different from the Stock Market, often the same or similar techniques can be used to trade currencies as they are used to trade stocks and commodities. What makes Forex so mysterious is the lack of information and training opportunities available.
I have listed 10 good reasons why I prefer Forex over the Stock Market or other investment options and why any individual, or small investor, should consider getting involved with Forex:
1. Market 24 hours. You don’t have to worry about running out of time because Forex is open 24 hours a day, most of the week.
2. Great liquidity. Have you ever gotten stuck trying to get rid of a few stocks or options? With Forex, there are always buyers, thousands of them!
3. There is no commission for your trades. This is especially important for individuals with little money to invest. When using other investment vehicles, the investment costs are often prohibitive no matter how attractive the investment is. Brokerage and other government fees can easily drain your profits before you even complete the transaction. With Forex, there are no brokers, government fees etc. involved.
4. Low transaction fees. Usually less than 0.1%!
5. There is no intermediary. Investors deal directly with the Market.
6. Transactions are instantaneous. Forex is fully computerized and transactions can be completed in just 2 seconds. Investors don’t have to wait for trade confirmations to come by email, worse, by post. All ‘working papers’ are in electronic format, easy to view, search, analyze.
7. Big leverage but low margins. Both of them increase your profits. In most cases, a leverage of 10: 1 to 100: 1 is the rule, not the exception.
8. Minimum startup requirements. Again very important for individual or small investors. With Forex, you can start trading for as little as $ 300.00 dollars!
9. Easy access to Markets and your accounts, online, 24/7. Because Forex is fully computerized, anyone with Internet access can trade online and easily access their account and trading history. Most trading platforms allow users to export this information to other third party software for storage, charts, analysis, etc.
10. No insider trading. Due to the ‘non-centralized’ way of Forex, it is almost impossible for anyone to cheat the system.
I can go on and on about Forex, it is a great tool for investors and also a very attractive opportunity for individuals. I hope you catch a fever too.