Expatriates Forums in Russia

Financial Analyst

GOWJULIEN — Wed Sep 16, 2009 11:07 am

Author: GOWJULIEN

Posted: Wed Sep 16, 2009 11:07 am

G.O.W is a financial company based in Thailand which is specialize in futures markets. We provides services on international trade as well as advice for our clients; both in Thailand and oversea. Due to business expansion in year 2009, we are looking for the qualified candidates to join our team.

Responsibilities :
. Working with well defined Commodity Proprietary trading strategies,
. Maintaining relastionship with clients,
. Being Forex orientated,
. Ensuring gainful profit and loss tactics.

Qualifications :
. Male or Female, Age over 22 years, Any Nationality
. Bachelor's Degree or higher in any related fields
. Able to work indepently, highly enthusiastics
. Ability in Anlytical Skill
. Good command both English and Chinese will be of advantage
. Hard working , good interpersonal skill

looking for funds raising

4xman — Tue Mar 31, 2009 7:45 am

Author: 4xman

Posted: Tue Mar 31, 2009 7:45 am

Hello

this is my webportfolio eforex.co.nr profit of month +7.07%. (03/2009)

I am ready to offer to your attention a business facilities on investments in foreign exchange market Forex, I`m glad to offer for you to consideration and candidacy as a private money manager, with more than seven years in online trading industry i developed several trading models and have done successful work in this business field, amongst my client to highcodear companies as well as quotient investors. I am ready to offer You full package of information concerning conduct of my business to your consideration for analysis of my work and I also ready to offer you performance of my work even in mode of the realtime when trading large contracts currency pairs by thereby I want to represent openness of my business for each potential investor or group of investors. You will be able to see real my work rather then simply broker extracts my count though I can represent and them. As to result of my work that I can say as a professional and certified trader in this area that capable to realize the different projects investion specially designed for you, at the average profit from my work forms 1-5% from embedded facilities of the investor at week in long term period expected Return on Investments ROI can exceed +50-150% in year, when trading large contracts. Also I work and with other investment programs on investion facilities, when trading contract shares of some companies for instance, basically oil sector of the russian companies MICEX, asian markets HSI, Nikkey, and asian fx currencies, commodities Gold&Silver, or highcoliquid shares of other foreign companies. So I want to represent my candidacy as a private money manager and offer you partnership in this sphere of the business in case of mutual interest. I am ready to go on negotiations with you as a sole investor or your company in the event of mutual interest and ready to represent any investment programs in online trading industry upon your request.

Respectfully yours,

FX Money Manager

Phone 08442564556 (UK)
eforex.co.nr

join our unique investment club

dutchjobs — Sun Nov 30, 2008 7:49 pm

Author: dutchjobs

Posted: Sun Nov 30, 2008 7:49 pm

Dear reader,

In these times of economic and financial crisis, there are alway great opportunities for making a very good return on investment capital.

We are looking for serious members to expand our investment community within Eastern Europe and the rest of the world.

Want to know more?

Just send us an email if you would like to have more information or give us a call if you wish to make an appointment.
0032 497 545587

Kind regards,
Bodhi
independent Bridge member

TEFL Teachers needed - Saudi, China and Moscow

Aly — Wed Oct 22, 2008 3:32 pm

Author: Aly

Posted: Wed Oct 22, 2008 3:32 pm

Hello, We are looking for qualified TEFL Teachers to Teach in Saudi Arabia, China and Moscow.

SAUDI ARABIA

• 4 – 5000 USD per month
• One year contracts
• 12 days holiday every 4 months
• Accommodation t.b.a.
• Visa and legal documents will be prepared by the Company.

China

TEFL Teachers are needed to Teach English in: Pingyang, Wuxi and Dalian

Salary and package:

• Approx. 1,000 USD monthly
• 22 days holidays
• One week intensive Training in Shanghai
• Visa and all documents to legally work in China will be prepared for you during the Training week.

Date to start work: 26th October

MOSCOW

Vacancies:

Kindergarten & younger learners classes
General English Teachers
Business English Teacher
Director of Studies

• 1,200 – 2,000 USA per month – neg. - (depending on experience)
• Accommodation Free (sharing an apartment)
• 50 – 100 US calculated per month to be paid at the end of the contract
• Paid Visa and all legal documents
• 10 – 20 days Holidays

All positions are for Qualified TEFL/CELTA Teachers.

If you are interested, or you know someone that might be interested - please email:

• Teaching Resume (clearly highlighting your TEFL Teaching/Training experience)
• Cover letter (stating your Nationality, DOB, your current location and preferred location of work)
• Passport photo (a recent one.. of course!!)
• Reference from a previous employer (Teaching employer – if applicable).

For further details, please check out our website: www.creativeenglish.websitewizard.com

or email:

Alison Morgan, Director, creative_english@hotmail.com

Please note that We DO NOT recruit Teachers without relevant TEFL Qualifications.

Thank you.......

Write for NileGuide as the St. Petersburg Local Expert

VictoriaLG — Mon Oct 20, 2008 6:44 pm

Author: VictoriaLG

Posted: Mon Oct 20, 2008 6:44 pm

Are you a smart, web-savvy writer interested in sharing local insights about St. Petersburg? Would you like to see your travel recommendations on the web? Can you commit 10-15 hours every month to six weeks? Do you know how to use Excel well?

If you answered yes to these questions, we'd like to talk to you.

NileGuide is looking for a local expert to audit current travel content for accuracy, evaluate points of interest, and contribute additional editorial content for our site.

Candidates must:

• Have excellent command of written English (English as a first language preferred).

• Be proficient in Microsoft Excel. This is a firm requirement so please do not apply if you do not have strong Excel skills.

• Live in the destination, and plan to be there for at least one to two years.

• Have a College or University degree.

• Be extremely knowledgeable about the ins and outs of the destination.

• Be reliable, responsive, and detail-oriented.

Compensation:

These are work-for-hire assignments, and compensation will be fixed for each assignment.

How to Apply:

Respond to this post, and I will contact you via email with all of the necessary application information!

Mystery Shoppers Wanted

leadsnz — Wed Sep 24, 2008 8:29 am

Author: leadsnz

Posted: Wed Sep 24, 2008 8:29 am

We are looking for mystery shoppers throughout Russia to shop various cell phone stores. Immediate start and no experience is required. Earn up to $50USD per shop. no joining fee. Contact me for details

"Eliminates your financial problems"

irpullwan — Wed Oct 10, 2007 11:49 am

Author: irpullwan

Posted: Wed Oct 10, 2007 11:49 am

“Eliminate your financial worries... Afford yourself the luxury of more time with your family, the freedom to be your own boss, make your own business decisions, create your own hours and best of all make all the money you’re capable of! But the best part of all; fire your boss and get out of the rat race! ...”

Dear friends,

I began building my future in mind. I thought of involving myself in an internet business. When I became frustrated and under appreciated at my job. I was fed up with the nonsense and political battles fought each day and knew there had to be a better way.

I could see that an internet home based business held huge potential, so I began researching and reading everything I could. In 2006 my research paid off, I quit my job and haven’t look back. Knowing that it would be short journey with hardship and that’s the price has to pay for my financial independence.

Before getting started, it’s important that you realize one thing. Anyone can make money with e-commerce but having a convince mindset and the belief in you, will help you make more than just money, you’ll have the ability to create a substantial income forever.

There’s a difference.

Those who realize the difference and aspire to become powerful C2C (customers to customers) business owners. There are no get rich quick schemes here and starting a C2C business for free simply won’t happen. Spending $25 might get you a sale or two but having invest a fewer hundred dollars to put into your business will get you there faster, help you avoid a lot of the frustrations and you’ll be on your way to create a lifelong income.

My goal is to offer only legitimate powerful business concept and share with you how to become successful.

If you really WANT to become successful, you're COMMITTED, PERSISTENT and willing to devote TIME, EFFORT and modest RESOURCES to get there, you WILL be successful.

Program Director Wanted

247films — Fri Jul 20, 2007 11:24 am

Author: 247films

Posted: Fri Jul 20, 2007 11:24 am

Kidlinks International, a not for profit organization, is looking for a Program Director for its Moscow operations. The candidate needs to be very passionate surrounding the issues of children living in orphanages. The candidate will be responsible for managing daily operations, expanding current programs, creating new programs, promoting our program to the community, raising funds and forming corporate relationships.

The candidate must be very motivated and creative and have a strong desire to grow the organization over a long period of time. In addition, the applicant must be fluent in English. We are interested in candidates looking for a career within our organization. If you feel that you are a self starter and are ready to take on a very exciting and challenging position with a very progressive organization, please email me your resume and salary requirements.

Don Horwitz
Executive Director
Kidlinks International

Key Account Manager

hrdxb — Sat Jun 30, 2007 6:36 am

Author: hrdxb

Posted: Sat Jun 30, 2007 6:36 am

One of the world leading firms headquartered in Tokyo seeking candidates for the following poitions:

Key Account Managers with at least 1 year experiance in similer field
Sales Executive with at least 1 year experiance in similer field
Sales Coordinator with at least 1 year experiance in similer field
*Russian or German speaking is a plus for the above positions

Marketing & PR Manager with at least 1 year experiance in similer field

Cash Flow

bridg — Fri Jun 29, 2007 12:04 am

Author: bridg

Posted: Fri Jun 29, 2007 12:04 am

Want to learn how to trade Forex and get paid for helping other.
Join the Calls @
(212) 812-2800 Pin code: 33207435#
FOREX Q&A THURSDAY
6:00pm PST / 9:00pm EST

or join the Live Guest Presentation (30 min. aprox)
MONDAY & WEDNESDAY
6:00pm PST / 9:00pm EST

Project funding/Europe Stock mrkt listing etc

Toronto — Wed Jun 06, 2007 6:05 am

Author: Toronto

Posted: Wed Jun 06, 2007 6:05 am

We provide expertise in project finance,Due dilidgence, Offshore Banking & Trust services,Stock market listing in Europe to raise funds for corporate expansion and development, raising funds for new biz start ups in any industry as long as its feasible, MBI's, LBO's, M&A's, LBO's, Corporate restructuring, Asset Management...etc, if you are ineterested in raising project funds for feasible projects anywhere,we will help you assess the alternatives available and also get listings on leading European bourses to raise capital through, private placement, IPO's and various other alternatives
pm me for details and appointment, we are currently based in Malaysia

WORK IN RUSSIA / RUSSIA EMPLOYMENT GUIDE

Russia Info — Wed May 30, 2007 7:55 am

Author: Russia Info

Posted: Wed May 30, 2007 7:55 am

WORK IN RUSSIA

The Russian economy has grown strongly in recent years, with 2005 being its seventh consecutive year of growth - an impressive average rate of 6.4% since 1998. Strong oil exports have helped Russia to achieve all-time highs in annual levels of imports, exports and the trade surplus. An expanding middle class is noticeable following average increases in real personal incomes between 2000 - 2005 of 12%.

Some western companies and non-governmental organisations (NGOs) have an involvement in Russia within a wide range of activities including:

* construction;
* consumer goods production;
* economic development;
* finance;
* retail;
* teaching.

The majority of expatriates who wish to work in Russia must obtain a work permit via the employer offering them a post there, although it is possible to apply as an individual for an entry visa in order to seek employment in Russia. The procedure for obtaining visas and work permits can be difficult and time-consuming, typically taking up several months from start to finish. Most expatriates working in Russia are employed by diplomatic missions or foreign companies based there, or are teachers employed by English language schools. There are relatively few jobs available for foreign workers on the local economy, and it will be necessary to speak Russian if you wish to work for a local employer.

English is in great demand here, and there are always jobs for qualified English teachers with the many language schools. Many just offer part-time jobs, and they don't pay particularly well, so teachers often work for several different schools at the same time. Some come to work at these schools initially and then set up in business themselves.

English teaching jobs are advertised online, and in the Moscow Times, an English language newspaper. If accepting a job in Russia it is important to note that all contracts must be in both Russian and English to be enforceable in a Russian court.

DOING BUSINESS IN RUSSIA / RUSSIA BUSINESS GUIDE

Russia Info — Wed May 30, 2007 6:02 am

Author: Russia Info

Posted: Wed May 30, 2007 6:02 am

DOING BUSINESS IN RUSSIA

STARTING A BUSINESS

STANDARDIZED COMPANY
Legal Form: Private Limited Liability Company (OOO)
Minimum Capital Requirement: 10,000
City: Moscow

Registration Requirements:

Procedure 1. Deposit capital in the bank and get a proof of the transaction.

Time to complete: 1 day

Cost to complete: no charge

Comment: At least 50 per cent of the charter capital shall be paid before company incorporation. The balance must be paid in the first year of operation.

Procedure 2. Pay registration fee.

Time to complete: 1 day

Cost to complete: no charge

Comment: The registration fee must be paid for the registration of the legal entity with the State Tax Inspectorate, on a local level, for obtaining a single state registration number. The amount of the registration fee is RUR 2,000, which includes fees for registration with the State Pension Fund, the State Fund of Social Insurance and the State Fund of Compulsory Medical Insurance, shall be transferred to the account of the State Tax Inspectorate, on a local level, in the Savings Bank (Sberbank).

Procedure 3. Register with the unified register at the Ministry of Taxation of the Russian Federation on the local level, for obtaining the single number of state registration and the number of tax registration (identification number of taxpayer (INN)).

Time to complete: 18 days

Cost to complete: RUR 2000

Comment: From the 1st of January 2004 as it follows the provisions for the law "On State Registration of Legal Entities and Individual Entrepreneurs" (the "Law"), the registration of all legal entities with the State Pension Fund, the State Fund of Social Insurance and the State Fund of Compulsory Medical insurance is executed by the Ministry of Taxation of the Russian Federation . The applicant can file all documents in one without making extra visit to the office. The tax authorities should inform the applicant about the details of its registration with the insurance authorities. However, as the unified register is in the process of transiting to the new practice, companies usually prefer to do the registration with insurance funds themselves to save time.

Registration with the State Pension Fund, the State Fund of Social Insurance and the State Fund of Compulsory Medical Insurance is obligatory for all legal entities and must be completed within 30 days of registration with the State Tax Inspectorate.

Time to complete registration:
Tax authorities (INN) - 5 days;
State Pension Fund - 1-2 days;
State Fund of Social Insurance - 14 days

The procedure takes from 5 days minimum, up to 30 days.

Tax authorities now accept the documents for state registration only when filed personally by one of the founders of the company otherwise require them to be delivered by mail. If the documents are filed by mail, the registration certificates are sent back by the Tax Inspectorate by regular mail as well. Given the low speed of mail delivery, this approach adds significant time to registration process.

Procedure 4. Notarise bank signature card.

Time to complete: 1 day

Cost to complete: RUR 2,000 (Notarising of one signature costs approx. RUR 200, assuming 10 signatures)

Comment: Due to the amendments to the Tax Code of the Russian Federation, new notary tariffs came into force. On the other hand, the fee for notarisation of copies foundation documents increased.

Procedure 5. Open the company bank account.

Time to complete: 1 day

Cost to complete: nominal

Procedure 6. Inform Ministry of Taxation of the Russian Federation of the company bank account number and obtain a special letter of confirmation.

Time to complete: 5 days

Cost to complete: no charge

Comment: The procedure takes from 3 to 7 days and needs to be completed 10 days from date of opening of bank account.

Procedure 7. Register the company with Moscow Centre of Quotation of Work Places.

Time to complete: 1 day

Cost to complete: no charge

Comment: The notification needs to be made within 30 days after the state registration of the company if the founder's net assets exceed 200,000 minimum monthly wages. Registration of companies with Moscow Center of Quotation of Work Places was introduced by the Resolution of the Moscow Government No. 125-PP of March 4, 2003 "On Approval of Regulation on Quotation of Work Places in the City of Moscow".

FORMS OF BUSINESS ORGANISATION

1. Limited liability company
2. Joint stock company (open and closed))
3. Joint activity agreement or simple partnership
4. Branch and representative office

Limited liability companies are the simplest form of conducting business and investors often use them for wholly owned subsidiaries.

The registration procedure for legal entities includes state registration, tax registration, registration with the State Social Funds and registration with the State Statistical Board.

Representative offices and branches are not considered legal entities under Russian law. The registration process for both types includes accreditation, inclusion in the State Register of Accredited Foreign Representative Offices or branches (State Registration Chamber), registration with the State Statistical Board, registration with the tax authorities (regardless of whether the activities are of a taxable nature) and registration with the State Statistical Board. Representative offices should perform non-commercial activities only.

The financial sector is concentrated in the capital, Moscow, and, to a lesser extent, in St Petersburg.

The government controls capital transfers via currency-control regulations. There is a requirement to use special types of bank accounts and a requirement to deposit a certain percentage of the transaction value in a special deposit account in the cases of certain transactions between residents and non-residents. The Central Bank of Russia may also require registration before a resident entity or individual opens a bank account abroad.

TAXATION

Corporate profits tax
Main rate: 24%

Russian companies are taxed on worldwide income with a credit for foreign tax. Foreign companies that do not conduct business activities in Russia through a permanent establishment are taxed only on Russian-source income. The main profits tax rate is 24%. The rate may be reduced by the regional legislative bodies of the Russian Federation to 20% for certain categories of taxpayers.

Dividends paid by Russian companies to other Russian companies are subject to a final withholding tax of 9%. Dividends paid by/received from Russian companies to/from foreign companies are subject to a withholding tax of 15%, unless otherwise provided by an applicable double-tax treaty.

Interest is generally included in taxable income, but interest received on state and municipal securities is subject to a final withholding tax of 15%. Interest on mortgage bonds and municipal bonds issued before January 1st 2007 for a period of not less than three years is subject to a final 9% withholding tax.

Personal income tax
Flat rate of 13% for residents (30% for non-residents)

The personal tax rate in Russia is 13% for residents. The tax rate for non-residents, who are taxed on Russian-source income only, is 30%. Residents are defined as individuals actually present in Russia for 183 days or more in a calendar year. Domestic and foreign dividends are subject to tax at 9%, which in the case of domestic dividends is withheld by the paying company. Interest on bank deposits is exempt provided it does not exceed the refinancing rate of the Central Bank of Russia for rouble deposits or 9% for foreign-currency deposits. The excess is subject to tax at 35%.

Capital gains
Taxed as income; some long-term gains of individuals are exempt

Capital gains of companies on immovable property are taxed as ordinary income. Gains from the sale of securities are treated as a separate category of income and cannot be reduced by deduction of regular expenses. Capital losses on securities cannot be set off against general income. Certain long-term gains of individuals (residents) are tax-exempt, including gains on immovable and movable property if owned for more than three years. Gains that are not exempt are subject to income tax at normal rates.

Indirect tax
VAT standard rate: 18% ; Other rates: 10%, 0%

Value-added tax (VAT) applies to most transactions at the standard rate of 18%. Companies and individual entrepreneurs can apply for exemption from VAT if their taxable revenue for three consecutive months is below RUR 1m (from January 1st 2006—below RUR 2m). The lower rate of 10% applies to certain foodstuffs, books and medicine. Exports are zero-rated. Major VAT-exempt activities include medical services and sales of medical equipment, passenger transport services, education and banking services. Business entities must initially register for all taxes, including VAT.

Tax administration and compliance
Tax year: Corporations and Individuals: calendar year

Companies must submit a profits tax return every quarter, but may elect to report on a monthly basis. Companies are required to make monthly advance payments of tax. However, a permanent establishment of a foreign company may make quarterly rather than monthly payments. An annual tax return must be submitted by March 28th following the reporting year. Employment income of individuals is subject to deduction of tax at source. Individuals receiving income not subject to deduction of tax at source must submit a tax return by April 30th following the end of the tax year.

Additional tax information

Withholding taxes: Dividends 15%, Income from international freight 10%, Interest 20%, Royalties 20%. Rates may be reduced by an applicable tax treaty.

Tax treaties: Russia has more than 70 tax treaties.

Dividends: Subject to withholding tax of 9% when paid in Russia by a Russian company to a Russian company or Russian individual.

Revenue protection: There is transfer-pricing and thin-capitalisation legislation.

Groups: No provision for group taxation.

Incentives: Regional authorities may reduce the regional component of the corporate tax by up to 4%.

Other taxes: Excise duties, Import duties, Enterprise property tax, Individual property tax, Land tax, Water tax, Unified social tax, State duty, Mineral extraction tax, Export duties, Transportation tax.

Financial Advisors services, Offshore Fund - Know More

admin — Mon Feb 05, 2007 4:42 am

Author: admin

Posted: Mon Feb 05, 2007 4:42 am

Financial Advisors services, Offshore Fund - Know More

Dear members & guests

Due to the continuous marketing approach of our expatriate community by multiple financial planners services company, Allo' Expat has decided to provided you with some usefull imformation on the Expat Offshore Banking issue. Hope you'll invest wisely..... in the future

Financial Advisors - who are they?

Q1 - How do I get the best offshore financial advice?

The best offshore financial advice is probably given by Independent Financial Advisors. Independent financial advisors (or IFA's, as they are sometimes called) advise their clients on savings, investments and pensions. They may also provide Savings Plans for offshore investing to their clients.

When counselling a client, the best offshore financial advisors should complete the following steps:

* Step 1 - collect detailed information about a client's financial circumstances and requirements ? be they for retirement planning, retirement income, expat investment, or another purpose.

* Step 2 - check all the offshore tax havens for the best offshore plans.

* Step 3 - provide impartial advice as to which plan(s) best meet their client's needs (in the form of a written report).

* Step 4 - arrange for a client to buy the chosen offshore plan(s) on the best terms available.

You may want to complete your own research to ensure you know the right questions to ask your advisor.

When all these stages are completed, you can be confident you have received the best offshore financial advice.

Q2 - What is a Certified Financial Advisor?

Financial advisors may need a license to practice, issued by the Financial Services Regulator in their Country. Only these advisors may be called 'Certified Financial Advisors'.

It may be a condition that prospective certified financial advisors show their Regulator that they are:

* competent to advise

* impartial in their advice

* independent of Providers

* covered by professional indemnity insurance.

So it is important to check that your financial advisor is listed under:

* Certified Financial Advisors, licensed to advise in the Country where you live and

* Independent Financial Advisors - advising on a wide range of offshore plans from a full list of providers.

Now you should feel confident you are receiving the best offshore financial advice.

Q3 - How are offshore financial advisors paid?

Independent financial advisors (IFA's) earn their living from commissions they receive from plan providers. This is their income for the offshore financial advice they give.

The commission that advisors (IFAs) receive from offshore financial advice cases may range from hundreds to thousands of dollars.

Good offshore financial advisors should not be influenced by the amount of commission they receive.

Some clients prefer to pay fees to their financial advisors for advice to ensure impartiality. When this occurs offshore financial advisors refund commission received from a plan provider either in cash or as an increased allocation of contributions invested.

Q4 -How do I find a list of Independent Financial Advisors (IFAs)?

Search the web! Try searching using the search words independent financial advisors or certified financial advisors PLUS the name of the Country in which you live.

Personal recommendations are always helpful - ask your friends if they would recommend their offshore financial advisors. Always check that a recommended advisor is both certified and independent.

Offshore Investing - What do that mean

Q1 - What is Offshore Investing or Offshore Investment?

When we talk about Offshore investing plan opportunities it is like the savings plans available in many countries, except these plans:

* Are registered in tax havens and are regulated by their Financial Services Authorities.

* Can be used for investing by non-residents of the tax havens.

* Are sometimes more tax efficient than or have other advantages over domestic savings plans.

Q2 - Why would expatriates choose offshore investing?

Expatriate investment in the savings plans catalogued here and offering offshore investing opprotunities might be appropriate when:

* No local or Home Country tax free regular savings plans are available.

* No local or Home Country tax free lump sum investment plans are available.

* An expatriate is planning to retire to a third country.

If you fit any of these categories of expatriates you should investigate the offshore plans researched by Offshore Boffin and consult your Financial Advisor.

Q3 - Are there other people who might benefit from Offshore Invesment?

Yes. People who are not living abroad might find offshore investment attractive in the following circumstances:

* They have more cash available for savings than can be invested tax free in their resident countries' investment plans (perhaps because the amount they can invest each year is capped).

* They may live in countries which do not have domestic tax free savings plans.

* They live in countries which are not suitable long-term investment environments for political or economic reasons.

* They wish to limit the effects of inheritance tac on their estates.

Q4 - Is there safe offshore investing?

The answer is that All investors should remember that the value of ALL their investments can go down as well as up!

Safe offshore investing is more likely by choosing plans:

* From politically stable tax havens - the quality of tax havens varies.

* From well-regulated tax havens - the tax havens whose savings plans are catalogued here all regulate their financial services companies to avoid 'fly-by-night' companies.

* From reputable investment management and life assurance companies - whilst past performance is not always a guide to the future, the companies whose savings plans are listed here are all well-known names.

* Investing in 'mutual' or 'collective' funds. these funds are based on a simple idea. If a large number of investors pool their savings in - for example - an equity fund, the larger fund can be invested in shares in many companies, spreading each individual's risk.

For expat investment - and others - to be successful the best offshore investment opportunities must be found. For that you'll need a good Financial Advisors.

FX Currency Trading / FX Forex Trading Online - Know More

admin — Mon Feb 05, 2007 4:40 am

Author: admin

Posted: Mon Feb 05, 2007 4:40 am

Forex Trading / FX Trading

Foreign Exchange
This short introduction explains the basics of trading Forex online, a brief explanation of the markets and the major benefits of trading Forex online. There are also two scenarios describing the implications of trading in a bear as well as bull market to better acquaint you with some of the risks and opportunities in the largest and most liquid market in the world.

As an additional aid for those who are new to Forex, there is also a glossary at the bottom of this text which explains some of the terms used in connection with currency trading.

Overview
Foreign exchange , forex or just Forex are all terms used to describe the trading of the world's many currencies. The forex market is the largest market in the world, with trades amounting to more than $1.5 trillion every day. This is more than one hundred times the daily trading on the NYSE (New York Stock Exchange) . Most forex trading is speculative , with only a few percent of market activity representing governments' and companies' fundamental currency conversion needs.

Unlike trading on the stock market, the forex market is not carried out by a central exchange, but on the "interbank" market , which is thought of as an OTC (over the counter ) market. Trading takes place directly between the two counterparts necessary to make a trade, whether over the telephone or on electronic networks all over the world. The main centres for trading are Sydney, Tokyo, London, Frankfurt and New York. This worldwide distribution of trading centres means that the forex market is a 24-hour market.

Trading Forex
A currency trade is the simultaneous buying of one currency and selling of another one. The currency combination used in the trade is called a cross (for example, the Euro/US Dollar, or the GB Pound/Japanese Yen.). The most commonly traded currencies are the so-called "majors" - EURUSD, USDJPY, USDCHF and GBPUSD.

The most important forex market is the spot market as it has the largest volume. The market is called the spot market because trades are settled "immediately" or on the spot. In practice this means within two banking days.

Trading on Margin
Trading on margin means that you can buy and sell assets that represent more value than the capital in your account. Forex trading is usually done with relatively little margin since currency exchange rate fluctuations tend to be less than one or two percent on any given day. To take an example, a margin of 2.0% means you can trade up to $500,000 even though you only have $10,000 in your account. In terms of leverage this corresponds to 50:1, because 50 times $10,000 is $500,000, or put another way, $10,000 is 2.0% of $500.000. Using this much leverage gives you the possibility to make profits very quickly, but there is also a greater risk of incurring large losses and even being completely wiped out. Therefore, it is inadvisable to maximise your leveraging as the risks can be very high. For more information on the trading conditions at Saxo Bank, go to the Account Summary on your Client Station and open the section entitled "Trading Conditions" found in the top right-hand corner of the Account Summary.

Why trade Forex?

24 hour trading
One of the major advantages of trading forex is the opportunity to trade 24 hours a day from Sunday evening (20:00 GMT) to Friday evening (22:00 GMT). This gives you a unique opportunity to react instantly to breaking news that is affecting the markets.
Superior liquidity
The forex market is so liquid that there are always buyers and sellers to trade with. The liquidity of this market, especially that of the major currencies, helps ensure price stability and low spreads . The liquidity comes mainly from large and smaller banks that provide liquidity to investors, companies, institutions and other currency market players.
No commissions
The fact that forex is often traded without commissions makes it very attractive as an investment opportunity for investors who want to deal on a frequent basis. Trading the "majors" is also cheaper than trading other crosss because of the high level of liquidity. For more information on the trading conditions at Saxo Bank, go to the Account Summary on your Client Station and open the section entitled "Trading Conditions" found in the top right-hand corner of the Account Summary.
50:1 Leverage
With a minimum account of USD 10,000, for example, you can trade up to USD 500,000. The USD 10,000 is posted on margin as a guarantee for the future performance of your position.
Profit potential in falling markets
Since the market is constantly moving, there are always trading opportunities, whether a currency is strengthening or weakening in relation to another currency. When you trade currencies, they literally work against each other. If the EURUSD declines, for example, it is because the U.S. dollar gets stronger against the Euro and vice versa. So, if you think the EURUSD will decline (that is, that the Euro will weaken versus the dollar), you would sell EUR now and then later you buy Euro back at a lower price and take your profits. The opposite trading scenario would occur if the EURUSD appreciates .

Important Forex Trading Terms

Spread
The spread is the difference between the price that you can sell currency at ( Bid ) and the price you can buy currency at ( Ask ). The spread on majors is usually 5 pips under normal market conditions. For more information on the trading conditions at Saxo Bank, go to the Account Summary on your Client Station and open the section entitled "Trading Conditions" found in the top right-hand corner of the Account Summary.
Pips
A pip is the smallest unit by which a cross price quote changes. When trading forex you will often hear that there is a 5-pip spread when you trade the majors. This spread is revealed when you compare the bid and the ask price, for example EURUSD is quoted at a bid price of 0.9875 and an ask price of 0.9880. The difference is USD 0.0005, which is equal to 5 "pips". On a contract or position, the value of a pip can easily be calculated. You know that the EURUSD is quoted with four decimals, so all you have to do is the cancel-out the four zeros on the amount you trade and you will have one pip. Thus, on a EURUSD 100,000 contract, one pip is USD 10. On a USDJPY 100,000 contract, one pip is equal to 1000 yen, because USDJPY is quoted with only two decimals.

Trading Scenario - Trading Rising Prices
If you believe that the Euro will strengthen against the dollar you'll want to buy Euro now and sell it back later at a higher price.

You buy Euro	We quote EURUSD at Bid 0.9875 and Ask 0.9880, which means that you can sell 1 Euro for 0.9875 USD or buy 1 Euro for 0.9880 USD. In this example you buy Euro 100,000, at the quote price of 0.9880 (ask price) per Euro.
The market turns	Later the market turns in favour of the Euro and the EURUSD is now quoted at Bid 0.9894 and Ask 0.9899.
Now you want to sell your Euro and get the profit	You sell Euro at a Bid price of 0.9894.
The profit is calculated as follows:	Sell price-buy price x size of trade (0.9894 minus 0.9880) multiplied by 100.000 = $140 Profit (Note that the profit or loss is always expressed in the secondary currency )

Trading Scenario - Trading Falling Prices
If, on the other hand, you believe that the Euro will weaken against the dollar, you'll want to sell EURUSD.

You sell Euro	We quote EURUSD at a Bid price of 0.9875 and Ask price of 0.9880 and you decide to sellEuro 100,000 at a Bid price of 0.9875.
The market moves in your favour	The Euro weakens against the dollar and the EURUSD is now quoted at bid 0.9744 and ask 0.9749.
Now you buy back your Euro	You buy EUR at an ask price of 0.9749.
Your Profit/loss is then	Sell price-buy price x size of trade (0.9875 minus 0.9749) multiplied by 100.000 = $ 1260 Profit

Remember that trading EUR 100,000 as we have done in our examples, does not mean that you have to put up Euro 100,000 yourself. It means that you have to deposit 2.0% of Euro 100,000, which is Euro 2,000 on margin as a guarantee for the future performance of your position.

Further Reading
To see how you can trade the forex market and benefit from our toolbox of information and live quotes, please proceed to our Forex Quick Start found under the Trading menu on the toolbar, under Forex.

Glossary

Appreciation	Anincrease in the value of a currency.
Ask	Theprice at which you can buy. Traders also speak of an ask price,the price requested. This usually indicates the lowest price aseller will accept.
Basecurrency	Thecurrency that the investor buys or sells (i.e. EUR in EURUSD).
Bear	Someonewho believes prices are heading down. A bear market is one inwhich there is a sustained fall in prices and which does not looklike it will recover quickly.
Bid	Theprice at which you can sell. Traders also speak of a bid price,the price offered. This usually indicates the top price apurchaser will pay.
Bid/Ask	TheBid rate is the rate at which you sell. The Ask (or offer) rate isthe rate at which you can buy.
Bull	Someonewho is optimistic about the market. A bull market is characterisedby enthusiastic and sustained buying.
cross	Whentrading currencies, the investor buys one currency againstanother. These two currencies form the cross: for example, EURUSD.
Crossrate	Anexchange rate that is calculated from two other exchange rates.
Depreciation/decline	Afall in the value of a currency.
Exchangerate	Whatone currency is worth in terms of another, for example the $Amight be worth 58 US cents or 70 yen. Currencies traded freely onforeign-exchange markets have a spot rate (applying to tradessettled 'spot', ie, two working days hence) and a forward rate.Countries can determine their exchange rates in a variety of ways:a floating exchange rate system where the currency finds its ownlevel in the market; a crawling or flexible peg system which is acombination of an officially fixed rate and frequent smalladjustments which in theory work against a build-up of speculationabout a revaluation or devaluation; a fixed exchange-rate systemwhere the value of the currency is set by the government and/orthe central bank.
EURUSD	Meansthat you trade EUR against dollars. If you buy Euro you pay indollars and if you sell Euro you receive dollars.
FX,Forex, Foreign Exchange	Allnames for the transaction of one currency for another, e.g. youbuy �100.00 with $150.25 or sell $150.25 for �100.00.
Interbank	Short-term(often overnight) borrowing and lending between banks, as distinctfrom banks' business with their corporate clients or otherfinancial institutions.
Interestrate differential	Theyield spread between two otherwise comparable debt instrumentsdenominated in different currencies.
Leverage(gearing)	Inthis case leverage means that the investor only funds part of theamount traded.
Long	Tobuy.
Longposition	Aposition that increases its value if market prices increase.
Liquid(-ity)	Thecapacity to be converted easily and with minimum loss into cash.Ultra-short-dated treasury notes are an example of a liquidinvestment. A liquid market is one in which there is enoughactivity to satisfy both buyers and sellers.
Margin	Theinitial amount or deposit required when entering into a position.Margin is a guarantee for future performance.
NYSE	Acomputerised system providing brokers with the prices of sharesand securities traded on the New York stock exchange and over thecounter. The quotes are published in real-time.
Openposition	Aposition in a currency that has not yet been offset. For example,if you have bought 100,000 USDJPY, you have an open position inUSDJPY until you offset it by selling 100,000 USDJPY.
"Overthe counter"	Whentrading takes place directly between two parties, rather than onan exchange.
Pips	Apip is the smallest unit by which a cross price quote changes. Soif EURUSD bid is now quoted at 0.9767 and it moves up 2 pips, itwill now be quoted at 0.9769.
Position	Money-market,futures, foreign-exchange and sharemarket traders talk of 'takinga position' which simply means buying or selling one currencycross. 'Position' can also refer to a trader'scash/securities/currencies balance, whether he or she is short ofcash, has money to lend, is overbought or oversold in a currency,etc.
Risk	Tryingto control outcomes to a known or predictable range of gains orlosses. Risk management involves a set of steps which begin with asound understanding of one's business and the exposures or risksthat have to be covered to protect the value of that business.Then an assessment should be made of the types of variables thatcan affect the business and how best to protect against unwelcomeoutcomes. Consideration must also be given to the preferred riskprofile - whether one is risk- averse or fairly aggressive inapproach. This also involves deciding which instruments to use tomanage risk, and whether a natural hedge exists that can be used.Once undertaken, a risk-management strategy should be continuallyassessed for effectiveness and cost.
Secondarycurrency (variable currency or counter currency)	Thecurrency that the investor trades the base currency against (i.e.USD in EURUSD).
Shortposition	Aposition that benefits from a decline in market prices.
Short	Tosell.
Speculative	Buyingand selling in the hope of making a profit, rather than doing sofor some fundamental business-related need.
Spot	ASpot rate is the current market price of an asset.
Spotmarket	Thepart of the market calling for spot settlement of transactions.The precise meaning of 'spot' will depend on local custom for acommodity, security or currency. In the UK, US and Australianforeign-exchange markets, 'spot' means delivery two working dayshence.
Spread	Thedifference between the bid and the ask rate.

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