The lure of a market where over USD$3 trillion is exchanged every working day of the year is proving irresistible for hundreds of thousands of new traders. Most of these newbies are unaffiliated with any professional institution or brokerage house but, equipped with just a computer and an internet connection, they can access all the same tools, techniques and opportunities that the larger players have at their disposal.
Created by the collapse of the Bretton Woods system of international monetary management as recently as 1971, the foreign exchange market was originally seen as a mechanism by which central banks could protect national currencies and businesses could reduce the risks of international trade. It was high profile profiteers like George Soros who demonstrated the potential for an individual to make huge fortunes by betting on the movements of certain currencies.
There have been other high profile examples of exactly the opposite. In 1995, rogue trader Nick Leeson drove his employer to bankruptcy when he speculated on movements in the price of the Japanese Yen – and lost. In fact, statistics show that as many as 90 to 95 percent of all individual traders active in the foreign exchange markets today actually lose money.
That means that between five and ten percent do make money and everyone believes that they will be in that lucky minority. Providing services to the thousands of hopefuls wanting to get involved is a lucrative business, and there are literally hundreds of online forex brokers setting up around the world.
What makes this possible is the high speed internet and a range of sophisticated electronic trading and analysis tools. Companies like MetaQuotes Software have developed cutting edge online trading platforms that provide both front and back office functions to serve customers in Forex, CFD and Futures markets. Their new product, MetaTrader 5, will include equity markets, enabling customers to execute trades in several financial markets and stock exchanges through a single account.
Seychelles-based Straighthold Investments Group Inc., through its brand, LiteForex, offers an online brokerage service based on the MetaTrader platform. “Lite Forex was launched in 2005,” says General Director Yuriy Voloshin. “Since its foundation the company’s number one priority has been the maintenance of the highest standards of services and facilities. Our mission is to harness the power of the internet to provide the opportunity for individuals around the world to trade on financial markets under conditions that equal those enjoyed by major traders operating in traditionally closed markets.”
The first challenge for novices is to master the language and rhythms of a global market that never stops. There are no fixed exchanges, and when trading closes at the end of the working day in one major city, it is just beginning halfway round the world. To understand the best ways to work in this fluid environment and to interpret a jargon with words like pips, ticks, euribor, finex, yards, whipsaw, and lookback, newbies need some hardcore education.
With new clients signing on at the rate of 300 per week, LiteForex offers a comprehensive online training program to ensure they all have the best possible chance of joining the exclusive club of successful traders. Demo accounts can be set up absolutely free where the client can develop and test a trading strategy and, more importantly, learn to control the inevitable emotional responses to currency movements before risking real capital in the markets.
To ease clients into the real market, LiteForex offers two levels of account – LiteForex and Real Forex. For the early stage accounts, the company has pioneered technology that enables beginners to practice trading without risking large sums of capital. “LiteForex Cents Account technology was developed by our technical specialists to enable us to reduce the size of the initial deposit to $1, giving beginners a chance to gain trading experience in a real market environment before they start trading with serious money,” says Yuriy Voloshin.
Once the new trader has acquired sufficient confidence to begin trading in earnest, LiteForex offers a margin trading mechanism for those who wish to increase the return on their invested equity. Clients can chose the size of leverage account that suits their individual financial needs and capabilities, from 1:50 to 1:200 and more.
All traders have access to round the clock technical support, with trained specialists offering professional online support. A team of analysts share their own views of the current market situation, and this is backed up with a comprehensive suite of real time charts and analyses. Underlining the company’s commitment to international growth, all information about the market is presented in eleven different languages.
Clients include not just individuals trading on their own account, but businesses looking to maximise their cash and receivables management. For these traders, the security of separate bank accounts and the possibility of earning interest on non-active deposits makes the LiteForex offering particularly appealing. “Client funds held by LiteForex are maintained in separate forex accounts at world recognised financial institutions for the sole purpose of the clients’ trading activity and are never combined with the operating capital of the company,” says Yuriy Voloshin.
“This is just one of the features of our dedication to customer service that earned us the Most Stable Broker in Asia award at ShowFX 2009.”
For people looking to build a more substantial career in forex trading, LiteForex offers the opportunity to become an affiliate or partner as part of its global growth strategy. The three levels in the affiliate program, ‘Bring a Friend’, ‘Internet Partner’, and ‘White Label’, were developed for clients who wish to start their own business in the online trading arena. At each level, affiliates receive bonuses and percentages for introducing new clients to LiteForex trading. The programme earned the Best Affiliate Program of 2010 award from European CEO’s sister publication, World Finance.
“We were delighted to win this award,” comments Yuriy Voloshin. “It demonstrates that the high standards of cooperation between LiteForex and its partners provides them with new opportunities to gain a steady income from this exciting and fast-paced financial market.”