In the world of financial markets, Foreign Exchange (Forex, FX) Trading is undoubtedly the largest of all. It represents the market whereby the world’s currencies are exchanged. Each country’s currency is valued relative to another e.g. UK Sterling versus US Dollar, Euro vs Yen, etc, and therefore, there are numerous combinations of currency ‘pairs’ that are traded every day in incredible amounts. An example of this may include PIA firstcapital deciding (within their risk managed approach), that the Euro is likely to appreciate against the US Dollar. In this instance we would buy Euro and sell dollars in a traded pair.

The global foreign exchange market sees FX trading of $3.2 trillion average daily turnover (source: BOE JCSC) which is 3 times the average daily turnover of the major global bond markets and 10 times that of the world’s stock markets combined.

Because of the ‘liquidity’ associated with FX Trading it has been referred to in some corners as the market closest to the ideal of perfect competition, notwithstanding currency intervention by central banks which happens from time to time.

Due to the level of FX Trading executed throughout the world, it offers the perfect medium for PIA firstcapital to offer a highly structured managed account service, whilst allowing easy entry & exit in large volumes traded by our experienced market professionals.

The main benefits of investing in the Foreign Exchange markets include:

• Huge FX Trading volumes give exceptional liquidity allowing investors to enter and exit the market place at will.
• Due to its geographical dispersion, the market can be traded 24 hours a day, 5 days a week from anywhere in the world.
• The use of leverage to enhance profit margins allows market professionals to tailor risk levels to different client profiles; however, leverage also increases losses so one needs to be careful about how it is used.