Factors to Consider When Choosing a Silver Broker
XAGUSD Trading Choose a XAGUSD Trading Broker
Factors to look for & consider when selecting a xagusd trading broker
Regulation is one of the guideline of choosing a broker. As a new trader your first challenge is to choose the right one. The best ones are those that are regulated. This should be the type of firm that you should choose: a regulated xagusd trading broker.
It isn't as easy as it sounds to select a good one & the whole searching process might leave you confused due to the huge competition between them, as they all offer different trading softwares, trading services, order execution & capabilities. Best criteria in choosing is to find a regulated one.
Regulated brokers have to submit all their transactions every year to the regulation authority for audit. This means that these companies can't participate in any illegal activity such as money laundering. This is why your silver broker asks for Identification documents & proof of residence from traders when they are registering, so when as a trader you are signing up & are asked for these documents when opening an account, you'll know why they are being asked for.
Some of These XAGUSD Trading Broker Regulatory Authorities are Listed Below:
USA
The NFA regulates all us based financial firms, the official web site for NFA is https://www.nfa.futures.org/ where list of USA silver brokers are listed. NFA doesn't issue license to other international ones, unlike other regulatory authorities, NFA will only license US based firms. NFA just like CFTC have very overbearing regulation rules which are not favorable to the traders themselves. After these two NFA & CFTC introduced these rules many international silver brokers closed down their America based branches, Those that did not have America branches were forced to close and transfer the trading accounts of USA citizens because CFTC threatened to sue any silver trading based firms that is not from USA if they open accounts for USA Citizens. This is why most xagusd brokers will not accept America Clients.
USA
CFTC regulates all America based financial firms, CFTC is Similar to NFA
Cyprus
The CySEC regulates all Cyprus financial firms, the official web-site is https://www.cysec.gov.cy where you can search for the registration & licenses number of those Silver brokers licensed by this regulator. The CySEC regulates brokers operating within the European Union Jurisdiction of Cyprus Member Country.
UK
NOW FSA has changed name FCA, & regulation details can bound from either FSA or FCA.
The FSA regulates all financial firms in UK, the official web site for FSA is https://www.fsa.gov.uk/ this website contains a list of silver brokers licensed in the UK. FSA also registers other international firms and silver trading based firms from other countries that have an operating office within UK. To check whether the financial institution you are trading with is regulated in the UK just navigate to FSA Register.
Germany
BaFIN regulates all German financial institutions, the site for BaFin is https://www.bafin.de and BaFin is the Federal Supervisory Authority in German for Investment brokers and institutions operating within German.
Australia
The ASIC regulates all firms in Australia
Japan
Regulates all Japan based firms
Switzerland
The FDF regulates all Swiss based firms
Canada
The CIPF regulates all Canadian firms
European Union Brokers
MIFID is more of a Regulation Standard for European Union Firms, than a Regulation Authority.
Mauritius
The IFSC regulates all Mauritius firms
The above Regulatory authorities are most trusted and the most famous regulatory authorities, it is best to open an account with a regulated broker that is licensed by one these regulatory authorities which are the most popular regulators.
About USA Based XAGUSD Broker Regulations & America Regulatory Authorities
NOTE: One thing you should know about regulators is that you may not want to chose NFA or CFTC USA Regulators, who have these very strict rules:
- Max Silver Trading Leverage 50:1
- First In First Out FIFO Trading (open trades in 123 trading order, must close then in 123 order, not 321, not 312, not 213 order)
- No Stop Loss Silver Trading Order Setting
It is for the above rule that most traders will not open an account with America brokers, most traders who traded with America silver brokers closed their trading accounts & transferred them overseas with the introduction of these rules, around year 2010.
In addition these regulators, will take to court any silver trading financial firm that opens an account for America citizens, this is why no xagusd broker will open an account for an American, Only those trading brokers which are based in America can open an Account For An American Citizen. Only ones silver brokers accepting America clients are only those brokers based in USA.
