In recent years, foreign investment has been more and more accepted and recognized, but for the novice just entering the currency market, how to control foreign exchange risk is a difficult but important things. Then the face of the natural advantages of foreign investment lure investors how to grasp the risks? ATFX Xiao Bian made the following order, we look at together:
Foreign exchange investment risks include three components, namely a principal, exchange rate and time.
principal
Can pose a risk to principal investors, in addition to the transaction itself, it is a forex broker, forex platforms are usually formal principal banking institution by a third party management investors. It also includes ATFX platform, including many regular investors with brokers repeatedly stressed that we must choose the regulatory authority regulators foreign exchange platform in order to ensure their safety principal fundamentally.
exchange rate
Exchange rate trend is a reaction between the two currencies, but also a country's external payments capacity reflects, no foreign currency and local currency exchange relationship, there is no foreign exchange risk exists.
time
Changes in exchange rates does not necessarily constitute foreign exchange risk, a real risk that the transaction leads to the time difference, within a certain period of time, the conversion ratio between currency pairs may change, ultimately resulting in foreign exchange risk. In the transaction process, do not have "a little longer to make a profit," this mentality. Each transaction risk to be more than one second, you take on the market in the opposite direction you can count on. To understand the rapid appearance, save a profit, is an effective means of risk aversion.
1, information transparency
The foreign exchange market are equal for everyone, fair. As the world's largest market, the foreign exchange market is the message on time unity to the world published by the Governments or authorities, all of the news while receiving messages, false or insider information does not exist, high information transparency, credibility and strong. It can be said foreign investment, the world's most fair investment products.
2, more trading opportunities
Foreign exchange market was undoubtedly the world's most active trading market, high market liquidity is conducive to investors to invest elasticity, can they enter out. The main participants in the foreign exchange market, central banks, commercial banks, large multinational groups and trade as well as retail traders, foreign exchange market turnover of up to nearly $ 6 trillion daily market activity is high, ever-changing market, profit opportunities nowhere It is not.
3, free to control the investment of time
Forex trading is a 24-hour market, trading is the prime time evening Beijing time 8:00 to 24 points, is the most active phase of the European and American markets, foreign exchange frequent price fluctuations, investors will increase trading opportunities. And this period of time, it is the country's break from work, just fit.
4, two-way trade, flexible
Foreign investment can both do more short, as long as a reasonable trading strategies are correct and up down can profit. And investors will be free to set up automatic full stop, help lock the profit, loss of control.
5, foreign investment variety, special high precision.
At present, foreign investment is mainly divided into monetary investment in a diversified commodities index CFD investments and investment in three categories, investment products, but less compared to the stock market, money market and mainstream strong linkage between the various varieties, more conducive to investors focused analysis.
That's all the advantages and risks ATFX finishing small series of foreign investment in contrast, we are aware of it?
