Hi there
I am in Australia, and I had IG (Australia) call me today about opening a pro account so that I can be treated as a 'wholesaler investor'. The crux of the offer is that they said recently in Europe CFD leverage for various things got slammed and it went down to 30:1 or 20:1 or whatever - whereas IG in Australia have 200:1 for forex for example (for major pairs). Anyway, they said they are assuming the same is going to happen here down under soon, and as a wholesale investor I won't be subject to the same limitations, etc.
This is no good for me of course, I wouldn't qualify to be a pro trader income wise, as one needs to have made over 250k pa for the last 2 years.
So I want to ask more experienced traders here - what happens if the regulators here do crack down on this? What are our options? Trading on 30:1 or 20:1 is pointless I think, but I see many brokers who claim to be regulated in Europe, etc do like 500:1 or even 1000:1. How can they do this?
Would it be possible for me as an Australian to get an account with a broker overseas and enjoy these high leverage ratios, regardless of what regulators decide to screw up here? I don't really care where they are regulated or if at all, so long as they have a good reputation.
How does one generally withdraw money from foreign brokers and what sorts of charges are involved?
PS. If anyone can make any recommendations of brokers who they've found good (that meet this criteria), let me know !
Thanks
I am in Australia, and I had IG (Australia) call me today about opening a pro account so that I can be treated as a 'wholesaler investor'. The crux of the offer is that they said recently in Europe CFD leverage for various things got slammed and it went down to 30:1 or 20:1 or whatever - whereas IG in Australia have 200:1 for forex for example (for major pairs). Anyway, they said they are assuming the same is going to happen here down under soon, and as a wholesale investor I won't be subject to the same limitations, etc.
This is no good for me of course, I wouldn't qualify to be a pro trader income wise, as one needs to have made over 250k pa for the last 2 years.
So I want to ask more experienced traders here - what happens if the regulators here do crack down on this? What are our options? Trading on 30:1 or 20:1 is pointless I think, but I see many brokers who claim to be regulated in Europe, etc do like 500:1 or even 1000:1. How can they do this?
Would it be possible for me as an Australian to get an account with a broker overseas and enjoy these high leverage ratios, regardless of what regulators decide to screw up here? I don't really care where they are regulated or if at all, so long as they have a good reputation.
How does one generally withdraw money from foreign brokers and what sorts of charges are involved?
PS. If anyone can make any recommendations of brokers who they've found good (that meet this criteria), let me know !
Thanks