Online trading has been a huge growth and India is not behind. Forex trading has been so popular among Indian traders since it started. But many Indian traders are still not aware of Forex trading legality. And the most important question Indian traders have is "Is Forex trading legal in India?
In other countries, forex trading comes with enhanced flexibility however in India, each aspect should be carefully thought about. And unfortunately, despite Forex trading’s popularity, it is still recognized illegal in India. Per directives laid down by the Reserve Bank of India, any form of online trading or foreign exchange is not legal in India. There are two regulatory bodies assigned regulating these types of investments, such as the Reserve Bank of India and the Securities and Exchange Board of India regulate the financial sector of the country, which does not encourage any investment related to Binary Options or Forex trading.
Forex Brokers in India
Forex trading has been so popular over the past few years and lots of forex brokers have entered the market. As a trader in India, it is important to take your time in choosing the right broker for you. Check broker’s reviews online and take your time to find a reliable Forex broker in India that is worthy of your trust, before investing your money in them.
Forex brokers active in India are subject to the regulations and oversight of the Securities and Exchanges Board of India (SEBI), which is an independent body tasked with ensuring the smooth functioning of the country`s stock markets and brokers. Commodities trading is also regulated by the Forward Markets Commission, which is the regulatory structure for the management of non-exchange traded financial instruments. The Reserve Bank of India is responsible for managing the Indian rupee but is not involved in the oversight of the forex broker.
It is the responsibility of each account holder to secure all activity associated with their account complies with both the terms and conditions of their chosen broker, as well as with local financial law supervising the movement of currency and financial activity. Therefore, the wise Indian investor will aim to lessen any risk and search for a binary options broker who is regulated under international financial authority.
Forex trading is a relatively new investment concept in India and it is also currently one of the most challenging markets to succeed in. But despite this, there is still a high volume of active traders within the country. And for many Indian traders, forex trading is still an appealing form of investment. It allows traders to earn quickly and requires a low initial deposit for entry.
Trading forex in India can be challenging at times, and choosing among the many trading platforms that cater to forex traders can make the task even harder for the new trader.