The emergence of the retail Foreign Exchange market and its subsequent regulation brings a new opportunity for traders, introducing brokers, and various other financial institutions. Recent turbulence on the stock market, changes in the Federal Reserve interest rate, and the downturn of other finical instruments is prompting investors to look to Foreign Exchange. FX can be an additional revenue stream for existing investors and institutions, or can present a new revenue opportunity for other FX participants.

Volatility

During the 24-hour active global trading day the EUR/USD exchange rate may change its value 18,000 times. This dynamic trading environment makes FX especially attractive for retail trading by presenting an exciting opportunity for immediate results.

Regulations

Newly enacted regulation of FX trading by the CFTC has organized and streamlined the market, removing some inherent legal risks. As a result, many more investors are taking advantage of the revenue generating opportunities available in retail FX trading.

New Internet-based trading technologies are creating a more transparent, open, and liquid market, which guarantees equitable prices, spreads, and liquidity to all FX investors, large and small. As a result, hundreds of retail investors are joining this marketplace every day.

According to a survey conducted by Greenwich Associates, online Foreign Exchange trading is predicted to grow to about 55% of total FX trading by 2005.