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Singapore is one of the largest Forex trading hubs in the world.
Singapore takes up 7.6% of the global forex trading volume, and the daily trading volume of the country exceeds 630 billion USD.
It is, therefore, unsurprising that the scale of the Singaporean Forex market translates into the efficiency of the regulatory mechanisms in place. Overall, both the profitability and the safety of the FX market in Singapore are way higher than those of the “average” markets in the region or across the world.
In this article, we will provide you with a breakdown of the key things you need to know about trading Forex in Singapore. You will learn more about how the market and the local brokers are regulated and whether you should trade the Singaporean national currency.
Best forex brokers in Singapore
Here is a list of the top rated forex brokers in Singapore :
- Pepperstone
- XM
- CMC Markets
- Saxo Markets
- IG
- City Index
Almost any regulated forex broker will accept Singapore residents. You should stay away of unregulated forex brokers though.
MAS Monetary Authority of Singapore
The smooth functioning of the Forex market in Singapore is ensured by the local regulatory body called the Monetary Authority of Singapore (MAS). Established back in 1970, this entity is also the country’s central bank, as well as being responsible for monitoring Singapore’s financial sector.
MAS has proven to be extremely efficient, and the results of its hard work are well displayed in the successful growth of the local FX market. This body performs its functions by issuing official licenses to the local brokers, carrying out regular audits, and constantly revising and improving the existing regulatory measures.
The MAS’ dedication to customer protection, transparency, safety, and accountability of the Singaporean Forex market can easily be listed as the single most important factor behind its rapid growth.
The National Currency of Singapore
The national currency of Singapore is the Singaporean dollar, coded as SGD. This currency is often traded in a pair with the USD, however, it is not very popular with the traders based outside of Singapore.
Since the SGD is considered an exotic currency, it is often recommended that it is best to be avoided if the trader is new to Forex trading. Luckily, Singapore is regarded as one of the world’s largest financial hubs, which means that you will be able to access a variety of currency pairs to trade with, including the popular ones, such as the USD/EUR, or GBP/USD.
Moreover, the popularity of Forex trading in Singapore means that most of the local brokers will offer a variety of payment methods to choose from. Thus, should you choose to trade SGD, you will easily be able to find a broker that accepts deposits and withdrawals in this currency with low commissions.
Is the Singaporean Forex Market Worth Joining?
Put simply, it most definitely is. Forex market in Singapore is one of the largest in the world, and the opportunities for profit that it has to offer are plentiful. By joining it, a trader will be able to access a variety of trading tools and instruments that are bound to elevate one’s overall trading experience.
Moreover, the Forex market in Singapore is one of the best-regulated ones in the world, which means that your funds will be safe at all times and your interests will always be put first.
