While trading conditions are certainly a vital part of the Forex trading experience, we believe that the most important parts of the trading experience are related to the reliability, professionalism and security of each Canadian Forex broker. This controlling agency is entirely self-funded, which makes it very popular among the traders, who prefer to enforce their signals to more independent regulation agencies. However, the lack of a national regulatory framework to regulate offshore forex brokers also means that the Canadian authorities have no way of controlling the influx of scam brokers into the Canadian financial services industry. Deal Cancellation Within an Hour. After all, you're lucky to live in a country with so many options and possibilities — why not take advantage of all that online trading in Canada has to offer?
Recommended Canadian Forex Brokers for Canadian Traders. This guarantees that we can promote and showcase the best Forex brokers, safe in the knowledge that you, as a Canadian citizen, are going to get a completely hassle .
Getting Started with Forex Trading in Canada
Some international regulatory agencies do have an excellent reputation, which ensures that their member firms adhere to all statutory guidelines of FX trading, irrespective of the geographic location of an investor.
Therefore, overseas brokers only need to set up a Canadian presence either through a website or through seasonal presentations and conferences to attract retail traders from that region.
Forex brokers in Canada do not follow the same rules as adopted by American brokers. US Forex trading rules are considered to be highly restrictive, as the US regulatory authorities act as policy makers to prevent their citizens from losing money. Although some regulatory changes of the US help in reducing risk, some are outright against the freedom of retail trading markets.
On the contrary, Canadian Forex brokers do not enforce any trading restrictions; however, the country may change its policies from time to time to ensure that fraudulent financial practices are kept to a bare minimum. Canada is also pretty lenient towards sending and receiving money from international brokers, provided that both the trader as well as the company adheres to all existing anti-money laundering laws.
In the US and several other countries, it is illegal to send funds to overseas FX brokers. The US also enforces strict regulations on international payments due to threats to national security; hence, US citizens have very limited freedom while moving their funds around.
On the other hand, Canada does not have any such strict regulations, and traders are free to move their capital to any broker, provided that both the trader, as well as the broker, keeps accurate statements and records of transactions for future verification. Disregarding the fact that Canadian citizens have the option of choosing any Forex broker of their choice, choosing FX brokers and other related companies in Canada provides unprecedented levels of security of client funds.
The one thing that worries all investors worldwide is the security of funds, as there is a significant chance of a broker going bankrupt due to any unexpected market volatility. Modern regulators factor in market eventualities while developing their regulatory guidelines, which help in preventing cases of broker insolvency, but no broker is completely safe against liquidation or bankruptcy. Under such circumstances, it makes sense for a trader to choose some of the best Canadian Forex brokers if they wish to trade with large sums of money.
Due to the multiple regulatory agencies in Canada and the lack of laws that do not force brokers into setting up an office in Canada, it is indeed difficult to get a large number of choices for Forex brokers from Canada. Nevertheless, there are a few FX brokers that have set up their offices in Canada to cater to Canadian investors, and some of these branches are from established mainstream companies. There are hundreds of brokers that offer the chance for traders to test the market using a small initial capital and a higher margin requirement.
The maximum leverage has not limit for Canadian traders, as traders can take advantage of even 1: Although it is possible to use a higher leverage, traders are recommended to exercise caution while trading the markets with higher leverage. It is highly recommended to start with a slightly higher initial deposit and a lower leverage.
Canadian regulatory authorities have a highly descriptive set of guidelines that determine broker regulation, which is amended according to new findings and market conditions. Canada takes inspiration from other regulatory agencies from around the world to create a set of fair trading conditions that are suitable for both brokers as well as traders.
Although Canada does not have a centralized regulatory authority for financial entities, the numerous smaller organizations are more than capable of dealing with financial irregularities, and financial malpractice can attract strict sanctions and substantial penalties. Of course, international and overseas brokers cannot be supervised or controlled, but the Canadian Government is proactive in ensuring that its citizens are made aware of potential scams that may lead to consumer abuse of theft.
Therefore, Canadian regulators regularly seek out all instances of financial malpractices by keeping their investors informed about such occurrences from time to time. The Government also encourages investors to come forward with recommendations or concerns, so that the appropriate authority can take action if possible.
Brokers that are regulated by Canadian regulators are required by law to be a member of the CIPF, which renders a further safety net to investors while trading with large sums of money.
Therefore, when it comes to investor protection, Forex Brokers Canada do not disappoint. If you are already trading with a reliable broker, it does not make any significant impact by moving to a broker based in Canada, as the CIPF compensation is only available for Canadian citizens. On the other hand, if you are from Canada, switching your investments to a Canadian-based broker will let you enjoy several benefits and make you are part of the CIPF program.
So what Canadians can do then? Are they entirely restricted from the Forex market? Canadians traders are allowed to trade, but at particular Forex brokers Canada — e. Still, if you are a trader based in Canada, you are free to join any Canada Forex broker. The Canadian brokers are specific for their own regulation body, which provides the safety for each trading website, as well as the safety for the customers, themselves. Canada is famous for its high level of security, when it comes to make any kind of financial transactions in the web in general.
Meanwhile, this country is very precise as to the personal data safety. All of these lead to the conclusion that Forex brokers Canada are actually the top regulated websites. See which agencies are in charge for this:.
The main responsibilities this agency has are to collect and analyze facts and problems as the Canadian market, as well as to prevent money laundering, to provide and deprive the Canadian Forex brokers with licenses and etc.
While it is working, reacting to the different requirements and signals, the Financial Transactions and Reports Analysis Centre of Canada is allowed to react as to all the suspicious transactions, suspected terrorist property, large cash transactions, electronic funds transfers and etc.
Ontario Securities Commission — known by the abbreviation OSC — is not a government, but an independent Forex regulator agency, which covers Ontario legislation territory. The Ontario Securities Commission administers and enforces securities law in the province of Ontario.
The mandate of the OSC is to provide protection to investors from unfair, improper and fraudulent practices, as well as to foster fair and efficient capital markets and confidence in capital markets. Currently, this commission has 10 commissioners, who are in charge to protect the personal data, the finances and the brokers from different cases of scams or frauds.
This controlling agency is entirely self-funded, which makes it very popular among the traders, who prefer to enforce their signals to more independent regulation agencies. Do not hesitate to test a Canada Forex broker, guys! They are safe and quite profitable — especially if you already have a good established strategy for amazing outcomes! Good luck with the search for the most suitable for you broker!
Best Forex Brokers From Out Of Canada in 2018
Firstly, trading forex is a form of investment, unlike many ways of earning money online, which have more to do with being lucky, than with being skilled and able to predict the future events. Moreover, FX trading gives every . Top Forex Brokers in Canada Unlike in the US where traders are permitted to deposit money with nationally-licensed brokers only (NFA regulated brokers), Canadian traders are able to trade with nearly any brokerage of their choosing. FX Empire has reviewed the key Canadian Forex brokers according to strict criteria. So which are the best Forex brokers in Canada?