Work and earn in FOREX can be any person who expressed such a wish. In addition to private investors participating FOREX are central banks, market makers, banks, company exporters/importers, investment companies and hedge funds, insurance companies, corporate investors and intermediary companies providing market access to individuals and companies.
Central banks - the largest market participants that do not set any formal restrictions on the movement of prices. However, they perform the regulatory role, determining the level of fixed interest rates. Banks conduct open market operations to buy or sell securities, expressing his wishes to the participants of the market and evaluating the situation. Also, in special cases, they reserve the right to direct foreign exchange intervention (buying or selling currency to prevent its further reduction in price or price increase).Market makers (literally - those who make the market) - it's banks, on their own quote currency to other market participants. Right to determine the quotes they have received under the agreement to adhere to a set of international standards.
The stability of the services provided by market makers market, as well as a set of laws and rules developed by regulatory agencies (eg, FSA in the UK, whose activities, in turn, is regulated by the Bank of England), plus a conditional "code of honor", created by the same market makers provide uninterrupted operation of the market FOREX.
Company exporters/importers conducting foreign exchange transactions in the market, do not aim to directly profit from these transactions. They use international mechanisms to exchange in order to fulfill its core business activities.
Insurance companies are hedging (insurance deals on the way of market risk) risk profile of transactions. For example, a company importing products from Germany, bears the risks associated with the possible rise of European currencies, and can compensate for these risks by buying euros in pre-calculated volume in relation to any other currency.
Investment funds, corporate and private investors seek to earn an income directly from transactions on foreign currency exchange, due to price differences at different times, and intermediary companies that provide them with access (ish) market, thus obtaining market quotations from market makers.
On the FOREX exchange operations are performed primarily by these major players. FOREX feature is that it is not a trading platform in the traditional sense. He does not have a specific location, such as stock exchange or an ordinary market. All trading is done through Internet terminals simultaneously in hundreds of banks around the world.
Central banks - the largest market participants that do not set any formal restrictions on the movement of prices. However, they perform the regulatory role, determining the level of fixed interest rates. Banks conduct open market operations to buy or sell securities, expressing his wishes to the participants of the market and evaluating the situation. Also, in special cases, they reserve the right to direct foreign exchange intervention (buying or selling currency to prevent its further reduction in price or price increase).Market makers (literally - those who make the market) - it's banks, on their own quote currency to other market participants. Right to determine the quotes they have received under the agreement to adhere to a set of international standards.
The stability of the services provided by market makers market, as well as a set of laws and rules developed by regulatory agencies (eg, FSA in the UK, whose activities, in turn, is regulated by the Bank of England), plus a conditional "code of honor", created by the same market makers provide uninterrupted operation of the market FOREX.
Company exporters/importers conducting foreign exchange transactions in the market, do not aim to directly profit from these transactions. They use international mechanisms to exchange in order to fulfill its core business activities.
Insurance companies are hedging (insurance deals on the way of market risk) risk profile of transactions. For example, a company importing products from Germany, bears the risks associated with the possible rise of European currencies, and can compensate for these risks by buying euros in pre-calculated volume in relation to any other currency.
Investment funds, corporate and private investors seek to earn an income directly from transactions on foreign currency exchange, due to price differences at different times, and intermediary companies that provide them with access (ish) market, thus obtaining market quotations from market makers.
On the FOREX exchange operations are performed primarily by these major players. FOREX feature is that it is not a trading platform in the traditional sense. He does not have a specific location, such as stock exchange or an ordinary market. All trading is done through Internet terminals simultaneously in hundreds of banks around the world.
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