Forex trading in Russia.
Lately, you can find Forex trading ads on almost every website.
Offers to open an account come in a variety of forms, from outright promises to increase your money hundreds of times over to more subtle advertisements for dealing centers and their trading conditions.
Forex trading in Russia is not exactly straightforward, starting with the fact that this activity is not properly regulated in the country. Most brokerage firms operate under gambling licenses.
The government turns a blind eye to these practices, as almost all brokers are registered in offshore zones, making them virtually impossible to track down.
Therefore, you should be especially careful when choosing a DC, preferring to work only with proven dealing centers that have established a reputation over years of stable operation.
In practice, forex trading in Russia is carried out using two main schemes:
Bank-backed – this is the primary model used by most forex brokers. They enter into agreements with large international banks, which then act as liquidity providers, or the other party in traders' transactions.
Unlike trading on the interbank market, this option allows for higher leverage, sometimes reaching 1:500 or more, due to the terms of your broker's agreement with partner banks.
A flexible approach also allows you to start trading with a relatively small deposit of a few hundred dollars, while cent brokers allow you to try your hand with just a few dollars. Furthermore, there are no trading hours, available 24 hours a day, 5 days a week.
Direct access to the interbank exchange would seem like a more reliable option, as you're trading on the real market. However, from personal experience, I can say that, in addition to the emotional satisfaction, you'll also face the following difficulties:
Trading hours coincide with the forex exchange's operating hours, meaning you'll only be able to trade during business hours. And if you're working a full-time job, this option is definitely not for you.
Initial deposit – as a rule, you can open an account only with at least $1,000, but more often $2,000 or $5,000.
Leverage – I have to disappoint scalpers right away: it's a maximum of 1:100, and sometimes as low as 1:50. Stricter terms and conditions for limiting the duration of trades also apply.
Forex trading in Russia also has a number of other advantages. The first is that you can fund your account in Russian rubles. Bank transfers and various payment systems are also available.
Beginners sometimes wonder whether it's worth trading with Russian brokers or whether it's better to start with foreign companies. While it's best to start with our dealing centers, if you decide to deposit more than $100,000, it's advisable to sign a contract with an international brokerage company, which should be done in person and in writing.
