FOREX
VS. OTHER MARKETS
| Forex
vs. Equities and Futures
In our opinion, the trading of foreign exchange
provides significant advantages over equities
trading and futures trading. In addition to
these advantages, the seamless 24 hour nature
of the Forex market gives the trader a unique
advantages of reacting to news and worldwide
developments instantaneously, participating
in real-time, in the largest trading market
in the world. |
|
Comparsion
Between Markets
| |
Forex
Trading |
Equities
Trading |
Futures
Trading |
| Leverage
* |
Upto
400:1* |
2:1 |
15:1 |
| Liquidity |
Volume:
$1.5 Trillion Aprox. |
Limited
Liquidity |
Limited
Liquidity |
| Commissions |
Lowest
Commissions |
Commissions
and Exchange Fees |
Commissions
and Exchange Fees |
| Trading
Hours |
24
Hour Market |
7
Hours with
Limited After Hours |
7 Hours with
Limited After Hours
|
Ability
to Trade in Rising or Declining Markets
Unlike equity and fixed income managers, a Forex trader
is able to trade under any market conditions by either
buying or selling a particular currency in relationship
to another. In the Forex market there will always
be one currency strengthening against another, unlike
stock shares that move only up or down.
Global
Diversification
The performance of equity and fixed income investments
in one country is quite often, highly correlated with
the performance of equity and fixed income investments
in other countries. Global portfolios composed solely
of equity and fixed income investments lack full diversification,
even if they are geographically dispersed. Investing
in currencies gives investors access to markets beyond
equity and fixed income investments, providing more
diversification and increased portfolio risk management.
*
Without proper risk management, this high degree of leverage
can lead to large losses as well as gains |
