Sat, December 03, 2022

Israel is planning to restrict the forex trading regulations

Israel plans to restrict the forex trading regulations

The forex market is very volatile and unpredictable. Some even compare its trading to the gamble. Everything happens in the span of a few minutes. People gain or lose exorbitant amounts of money. While its hard to predict what will happen on the forex trade market, some governments still try to set on such rules. They hope to help to protect investors’ interests. Israel is one of those countries.

The Israeli Securities Authority has issued a draft suggesting to require from Forex trading companies to publish client losses publicly. The draft is open for public comment. The government’s desire to help people better evaluate the risks before committing the companies propelled the proposition.

ISA wants the companies to disclose to the future clients the actual risk of their potential transactions. They made this decision on the base of widespread speculation about most traders losing money during Forex deals. ISA hopes that if the information about the company’s losses and gains become public, it will allow traders to better understand the implications of their trade before following through.

Furthermore, the government hopes to provide potential investors with facts. It will allow them to make decisions about their investments based on full data. This initiative is also aimed at highlighting the risks that exist in trader activities.

Will Israel’s new requirement hinder the country’s forex trading? 

Some analysts and officials think that the ISA’s actions are an attempt to eliminate the Forex trading, but Israel refuses such a claim. David Malits, Founder & CEO of DM Communications, said that these restrictions are meant to help the investors as well as companies.

According to Malits, regulators’ focus on transparency, competition, and fairness is prevalent. ISA’s move may reduce concentration in the capital market and increase competition in banking. But the main driver behind this decision is likely part of an overall approach rather than an attempt to eliminate the industry.

YOU MAY ALSO LIKE

dollar

The Dollar Remained Stable The dollar held steady but was pinned near

The Optimism of Slowing Interest Rate Only Goes So Far

The all-important jobs report caused a lot of volatility near a key

Oil refinery

Oil Futures Prices Were Mixed Oil futures were mixed on Friday, buoyed

COMMENTS

Leave a Comment

Your email address will not be published.

User Review
  • Support
    Sending
  • Platform
    Sending
  • Spreads
    Sending
  • Trading Instument
    Sending

BROKER NEWS

Consob Blocks 4 More Illegal Trading Platforms

Italy’s financial market watchdog, Consob, has blocklisted four more websites for operating illegally in the country. The number of fraudulent blocklisted platforms reduced to 805 is the ongoing effort by authorities to reduce

BROKER NEWS

Broker News

Consob Blocks 4 More Illegal Trading Platforms

Italy’s financial market watchdog, Consob, has blocklisted four more websites for operating illegally in the country. The number of fraudulent blocklisted platforms reduced to 805 is the ongoing effort by authorities to reduce illegal