Whether forex trading is perfectly legal in India and there has been a series of debates on this subject. Primarily, there is a feeling that India has long been a closed economy and many sectors open elsewhere in the world were closed as far as India was concerned. But with the reforms in place and the opening up of the economy to foreign investors in many sectors, there has been a never before opportunity to trade in the currency markets at the click of a mouse.
Online from home at the click of a mouse
Forex trading is done from home these days using the internet with an online forex broker. You can trade in the currency markets from the comfort of your home at the click of a mouse. Ever since the global forex trading office Many Forex brokers have opened its offices in India, the country has been reckoned as a favored destination for forex traders and on the same lines one can open a forex account free of cost with these brokers at very low commissions and fees.
And if you are a foreigner and want to stay on in India on business or work, you can play the currency markets as you are used to in your home country.
Compared to other nations where forex trading was perfectly legal years ago, India is now among the many nations where forex currency trading can be done from home at the click of a mouse. Forex trading is also nothing new to India as currency trading has been taking place for many years.
Forex trading has been going on in India for the last ten years and it was couched under transactions of capital accounts. But things are fast changing as India is poised to enter the big world as she steps up the race to keep up with China.
The premier bank of India, the Reserve Bank of India or the RBI had earlier banned remittances for currency trading. Remittances for margin money to facilitate forex trading were not allowed by the RBI in India. Many Indian multinational companies made way for this lucrative trade to take place in India.
Reliance Money started off by introducing Indians to their partners offshore in currency trading and also allowed the intrepid Indian investors used to commodities and stocks for speculation to participate in the global scenario.
CFD or contracts for differences
They were the ones that really kick started forex trading among Indians and brought in retail traders to the circuit. Earlier, the Indian investors could only look forward to stocks and commodities. CFD or contracts for differences was a new concept introduced by them so that investors could check out forex markets and also trade on different exchanges like indices, commodities, stocks, treasuries and forex.
Things are fast chancing in India and the country is racing to keep pace with China as the emerging Asian tiger. The main reason for India as a choice destination for westerners is that the country has a history of colonialism and there is a large pool of English speakers in India. Many of the business systems are at par with those in the UK and the US and the people are not averse to western influences as was the case with China some decades ago.
Forex offers great opportunities online with the launch of operations by Alpari in June 2009 opened the floodgates. The company has also invested loads in training brokers and investors to take advantage of the growing popularity in forex trading. Compared to the ever popular stock market trading in India, many investors are logging in to trade in forex.
As the market is open 24/7 and the volume is unmatched at trillions of dollars each day, forex is fast gaining popularity in India.