You have found the huge hype of forex trading, online. But, you can get overwhelmed by the steps you need to do when you want to open a forex account. The first thing you need to do is choosing a broker. You can find the right brokers after trying various forex demo account. Once you have decided the broke, here is the requirement to open a forex account.
The Typical Requirement for Forex Account
Firstly, you need to set up an account with your chosen forex broker. To do it, you need to provide several pieces of personal information. That includes name, address, email, phone number, date of birth, country of citizenship, account currency type, the password for a trading account, employment status, and tax ID.
Besides that information, you will also need to answer several financial questions. The questions usually about your annual income, trading experience, net worth, and trading objectives.
Why They Need Those Data?
Forex brokers need to access that information to comply with the law. The forex market has been a wild west industry since it went retail. Consequently, there is a need for client protection.
It is impossible for you to find a broker who will not ask those documents and ask those questions when their client is about to open an account,
Forex Trading Risks
After you submit the documents and answer the questions, you will see the risk disclosures. You have to take it seriously, it can be a complicated business, especially for beginners.
In forex markets, there are a number of people lose than those who win on average.
After they verify your information, you can fund your account and start trading. But, keep in mind, you should never put all of your capital on in the account which you cannot afford to lose.
