Whether the domestic firm ChaoHui, or foreign exchange trading on margin, in some specific time (such as the United States major data published, or market prices fluctuated violently) unable to connect to broker the trading system to trade the phenomenon is more widespread, investors should be aware this risk.
Trading in the most important problem is the safety of fund. NFA to retail customers in ChaoHui OTC official propaganda materials explicitly pointed out that, OTC ChaoHui no and clearing institutions guarantee, used to buying and selling of foreign exchange and customers into the gold is not affected by regulators protection, and in bankruptcy without being preferred; Even if the customer by brokers in the capital have FDIC insurance bank account, in brokers of bankruptcy client money also can't get protection.
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Alert exchange loss is more than investment income
Even if RefcoFX like in the NFA and CFTC to register and under the supervision, the domestic client money also lose the protection, and even the "customer" is not. According to the U.S. the regulation of the law, stock customers or goods the customer have the priority of the liquidation adjustments, so when the 彵 when his broker bankruptcy all the possibility of money very high. But, as the spot neither belongs to the stock will not belong to commodity, so customer is neither stock exchange spot clients are also not a commodity customers. It is because of the lack of legal status, makes the domestic foreign exchange account in RCM investor cannot enjoy the bankruptcy liquidation "customer" treatment, can with unsecured creditors of eligible for bankruptcy liquidation procedures, this may lead to lose everything.
The foreign exchange market 24 hours running and no price limit, the wild fluctuations in one day may walk the usual months to reach the moving range. The trend of the foreign exchange by many factors, no one can exactly judgment on the movements of the exchange rate. In holding the position, any unexpected exchange rate fluctuations have could lead to huge amounts of money loss even completely loss.
Each investment include risk, but because forex trading used high capital stem rod mode, magnifies the amount of loss. Especially in the use of high leverage, even if the appearance and your position opposite changes of small, can bring huge losses, and even includes all of the money to open an account. So, used for this ChaoHui speculative capital must be Risk of Risk capital; That is, the money even if the loss is not all for your life and cause significant financial impact.
The network business risk
Although most brokers have a backup phone trading system, but forex trading is main or through the Internet transactions. Due to the Internet itself characteristics, so there may be unable to connect to broker the phenomenon of the trading system, in this case, the customer may not be able to order, or not to damage the existing position, and this will lead to the emergence of unexpected losses. Brokers are the grounds of, even the trading system appear when broker 彵 machine will not bear the responsibility. Also, the domestic Banks offer to such Risk Risk is also trade exemption, open an account in the trade of the terms of the agreement book written out neatly.
In addition, the front have mentioned, whether domestic firm ChaoHui, or foreign exchange trading on margin, in some specific time (such as the United States major data published, or market prices fluctuated violently) unable to connect to broker the trading system to trade the phenomenon is more widespread, investors should be aware this risk.
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