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Forex (FX)

Forex (FX) is the market in which currencies are traded.

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Trading

Stocks

Forex (FX)

By right, you do NOT need to declare and pay taxes. However, if you are full time trader you need to consider these. 1. Do you want to buy a house and in this case take up a housing loan? If you do want to BTO or buy condo, and take up a housing loan, you will need to show proof of income to the banks. No bank is going to loan someone without an official income document. Unless you decide to pay the house in full cash..... 1. Same thing goes for a car loan or any other loan like renovation loans.

Investments

Trading

Forex (FX)

Kyle Lim
Kyle Lim
Level 1. Freshie
Answered 4w ago
Forex Broker Finex Had Moved Without Updating Address Forex broker: Finex (Indonesia) Date visited: July 8th, 2019 Conclusion: the broker had moved The field survey According to the regulatory information of Finex, WikiFX team visited its licensed office, an Indonesia forex broker, located at The Plaza Tower Lantai. 38 JL. M.H Thamrin Kav. 28-30 Jakarta. WikiFX team arrived at The Plaza Tower Lantai, and found Finex’s office closed. Staff from the neighboring company told us that Finex had moved away, but the broker didn’t update its regulatory information about new address. !(file:///C:UsersAdministratorAppDataLocalTempksohtml6152wps1.png) !(file:///C:UsersAdministratorAppDataLocalTempksohtml6152wps2.png) Analysis Forex trading has been thriving in Southeast Asia in recent years, and Indonesia’s large population and growth potential enable it to stand out on the region’s booming forex market. Meanwhile, the increasing forex brokers in the country are witnessing the competence of Indonesian regulatory authorities, who have yet been fully prepared. Finex is an Indonesian forex broker established in 2012 that focuses on retail forex brokerage business. Though its website claims Finex performs well in processing customers’ orders and offers clients fair and reliable trading experience, Finex is in relatively slack regulation of Indonesian Commodity Futures Trading Controlling Board(BAPPIBTI), with a forex license issued within a year. In addition, customer feedback also indicates the company’s business strength and risk control are less satisfactory. Meanwhile, WikiFX didn’t find Finex’s office as the regulatory information suggested, which further confirms the company’s low credibility and Indonesia’s weak forex regulation. WikiFX reminder According to the WikiFX App, Finex, with a WikiFX rating of 2.92, holds retail forex brokerage license issued by BAPPIBTI within a year. The company’s credibility remains in question due to the problems in license, business strength and other aspects, such as possibility of operating in overrun business. WikiFX reminds investors to be cautious in choosing Finex for the safety of your assets. !(file:///C:UsersAdministratorAppDataLocalTempksohtml6152wps3.png) Per investigation, Finex’s website has updated its new office location at SOHO PANCORAN TOWER SPLENDOR FL.30 UNIT 3005 Jl Letjen MT Haryono Kav 2 - 3 Tebet, South Jakarta. WikiFX team will visit Finex again at this new address and present a detail visit report.
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Securities

ETF

Forex (FX)

Investments

Hello! ! TL;DR Taking up a position in a foreign ETF that is not in your base currency will subject you to foreign exchange risk. Exchange rate fluctuations have the potential to erode your returns from the ETF. Therefore, it is best to manage your foreign exchange risk exposure that aligns with your long-term investment goals. What are Exchange Traded Funds (ETFs)? ! I’m sure many of us know what ETFs are so I’m not going to go into the details. In the broad spectrum of investing, ETFs is considered a “passive” approach to investing in an equity portfolio for long-term investment. However, it is not exactly passive as you would still have to monitor the index the ETF is tracking from time to time to see if it is performing. Why is there Exchange Rate Fluctuation? In the short-run, currency volatility is due to news like economic data release or political events which are unpredictable. In the long-run, forces of demand and supply of the currencies determine their price in the foreign exchange market. This depends on investors’ confidence in the assets of that country and forex traders’ confidence in the country’s currency. The central bank’s monetary policy will also have an effect on the national currency. For Singapore, we adopt an exchange-rate-centered monetary policy due to the small and open nature of our economy & our dependence on trade. What is Currency Risk/Foreign Exchange Risk? ! Source: MBA Mondays If you have been reading various ETF prospectuses, you would have came across these words: ‘currency risk’ and ‘foreign exchange risk’. With all foreign investments, there is bound to be currency risk. Currency risk is the impact of exchange rate movements on your foreign investments. For the scenarios below, I am going to assume that your base currency is SGD. If you would like to buy the SPDR S&P 500 ETF (NYSE Arca:SPY), you will be subjected to currency risk as the ETF is invested in instruments denominated in USD. If the USD appreciates against the SGD (or SGD depreciates against the USD), you will gain. On the contrary, if the USD depreciates against the SGD (or SGD appreciates against the USD), you will lose money. You may think that these exchange rate fluctuations do not affect your foreign investments significantly, but think again! If the US ETF fell 5% while the USD depreciated by 5% against the SGD, then you would see a total loss of 10%. Your Returns in SGD (Home Currency) = Change in Price of Security in USD (Foreign Currency) + Exchange Rate Change from USD to SGD (Foreign Currency to Home Currency) However, if you are buying the SPDR Straits Times Index ETF (SGX:ES3), you will not be subjected to currency risk as the ETF is invested in instruments denominated in SGD. Foreign exchange rates can be very volatile, change quickly and unpredictably, so please take this into account when making an investment! Difference in Currency Risk Exposure Your vulnerability to exchange rate volatility depends on the time horizon you hold the ETFs. With a shorter time horizon, you are at a higher currency risk as you are unable to ride the rough patches out. With a longer time horizon, there is lower currency risk and you may even benefit from it. Managing Currency Risk Exposure If you are worried about your currency risk exposure, fret not! Here are various methods to manage it: - Longer Investment Time Horizon: By staying invested for the long-term, you are able to ride out short-term market fluctuations and gain value. - Avoid Foreign ETFs: By investing in ETFs with your own base currency, you avoid foreign exchange exposure all together. However, the downside is that you will be less diversified. - Buying Currency-Hedged ETFs: Currency-hedged ETFs use financial contracts to offset the impacts of exchange rates on returns. This cancels out any losses from a depreciating foreign currency and wins from an appreciating foreign currency, so you get the same returns as a local investor. I guess we can’t always have the best of both worlds! - Diversify Your Portfolio Hope this helps!
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Investments

REITs

Forex (FX)

Hi, For my overseas investment i use Saxo Capital Markets to invest. Their rates are one of the best in Singapore with a 0.5% above the Google Exchange rate you find. Others usually have about 1%.

Fixed Deposits

Interest Rates

Forex (FX)

Cedric Jamie Soh
Cedric Jamie Soh, Director at Seniorcare.com.sg
Level 4. Prodigy
Answered on 07 Jun 2019
The risk is miniminal for all deposits made in banks operating in Singapore due to stringent criteria by MAS. MAS is very strict on allowing banks for retail license . Another advantage is ICBC is one huge bank from China . This is not a small bank. As long as it is Singapore dollar deposits (and not structural products), you can check whether it is under SDIC deposit scheme where up to $75,000 SGD is covered if there is a bank run (bank failure). https://www.sdic.org.sg/smlist/dischememembers ICBC is a member, as all local banks are. Higher interest rate for USD is offered by all banks, and ICBC may be just offering it higher than the other banks, as they are not as recognised as UOB / DBS or OCBC. Heck, it is not even as recognised as other foreign banks such as Maybank, SCB, Citibank or HSBC. Hence they have no choice but to offer a higher USD interest rate. The risks for USD deposits = exchange rate risk - u get higher returns, but may be later your USD is worth less SGD, then its bad. thats the biggest risk i feel. Another risk is ICBC folds up? I can't comment since I am not a bank expert. Of course Singaporeans will always feel not as secured with ICBC or other foreign banks than local banks. That is why local banks always offer less. Because they can.

Savings

Forex (FX)

Fixed Deposits

Investments

Coversion rates between currencies will fluctuate. If your risk profile is not comfortable with it, you may want to consider keeping it in SGD instead. FX investment tend to have more volatility as either currencies can rise or fall. I myself, to not do fx investment due to this nature. You may want to consider your desired outcome and put it against the risks to determine if you want to stay invested or not.

Investments

Forex (FX)

At today current market rate, the USD is considered in a favorable position, definitely a good time to consider converting. However, the next question is after you converted USD back to SGD, what are you going to do with it? If the investment in SGD will yield better than your current USD FD, than why not? Unless you got other reasons to hold USD

Arcc Event

Investments

Forex (FX)

Dividends

Gabriel Tham
Gabriel Tham, Kenichi Tag Team Member at Tag Team
Level 8. Wizard
Answered on 09 May 2019
Forex is trading with currency pairs. Currency (like SGD) do not pay out dividends because these are not companies generating revenue to payout. However, trading in forex will involve swap rates. You will notice that sometimes you get credited or debited some from your account balance. This is because holding currencies overnight incur interest.

Arcc Event

Forex (FX)

Gabriel Tham
Gabriel Tham, Kenichi Tag Team Member at Tag Team
Level 8. Wizard
Answered on 09 May 2019
First misconception about forex is people think you can become millionaire overnight by taking some forex course or following a guru. Second misconception is that forex trading is gambling.

Investments

Forex (FX)

HC Tang
HC Tang, Financial Enthusiast, Budgeting at The Society
Level 8. Wizard
Answered on 21 Apr 2019
This should answer your question: https://think.ing.com/articles/malaysia-whats-happening-to-the-ringgit/
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