Foreign Exchange is the simultaneous buying of one currency and selling of another. The foreign exchange market (FOREX) is the largest financial market in the world, with a volume of over $1.5 trillion daily; more than three times the aggregate amount of the US Equity and Treasury markets combined. Unlike other financial markets, the Forex market has no physical location, no central exchange. It operates through an electronic network of banks, corporations and individuals trading one currency for another. The lack of a physical exchange enables the Forex market to operate on a 24-hour basis, spanning from one zone to another across the major financial centers.
Traditionally, investors’ only means of gaining access to the foreign exchange market was through banks that transacted large amounts of currencies for commercial and investment purposes. Trading volume has increased rapidly over time, especially after exchange rates were allowed to float freely in 1971.
Why Forex Market
In today’s marketplace, the dollar constantly fluctuates against the other currencies of the world. Several factors, such as the decline of global equity markets and declining world interest rates, have forced investors to pursue new opportunities. The global increase in trade and foreign investments has lead to many national economies becoming interconnected with one another. This interconnection, and the resulting fluctuations in exchange rates, has created a huge international market, the Foreign Currency Exchange Market (FOREX). For many investors, this has created exciting opportunities and new profit potentials.
Currently, Certificate of Deposit (CD) and preferred money market returns are not bringing significant figures to individual account balances.
By investing with Forex Funds, investors will see themselves transformed from a slave to their income to having their money work for them.
There is a clear advantage to investing currencies rather than stocks, in that the unique characteristics that make up the Foreign Exchange Market shield and protect the market from being controlled or corrupted. The Currency FOREX Market offers unmatched potential for profitable trading in any market condition or any stage of the business cycle. This eliminates any “creative” accounting practices or insider trading. Also, due of the lack of a headquarters, trading in the currency market is not shut down due to any kind of catastrophe. An investment in Forex Funds is clearly the best choice for your money.