Reason for this visit

Australia has a deep trading culture as well as a world-recognized regulatory environment. Currency markets are very popular in Australia. According to reports, the daily trading volume of top currency brokers in Australia is larger than the cash trading volume of Australian stocks.

Typically, forex trading is divided into three trading sessions, Asia Pacific, Europe and the United States. Australia is located in the Asia Pacific region and is the first country to start trading forex and commodities during the day. The trading volume is relatively small at first and becomes larger due to the time difference, with the addition of Japanese traders a few hours later. Europe has the largest trading volume in the global Forex market.

At the same time, Australia is a major natural resource country, rich in oil and coal, base and precious metals and grains. The physical trading of these products in the global market has led to the creation of a strong derivatives market in which both retail and institutional investors are active. Many exploration and production companies are publicly traded on the stock market, making Australian equities highly liquid and risky.

With many commodities priced in dollars, euros and yen, this has naturally led to a highly liquid currency trading environment. And the physical delivery nature of Australia's thriving export market supports both spot and forward currency markets.

Furthermore, China is one of Australia's largest trading partners. As the world's second largest economy, China brings a significant amount of Australia's natural resources into the country. China's influence as a consumer country provides a natural trading partner for investors in the currency market. The demand for resources may provide a potential exchange rate base for its currency.

In order to help investors or practitioners get a more comprehensive understanding of foreign exchange dealers in Australia, the survey team is going to the country for field visits.

On-site visit

This time the survey team visited the dealer HFGFX in Australia, with the specific address at 709 365 Little Collins St Melbourne VIC 3000.

Based on the above address, the survey team came to the destination of this survey, which was located at Collins Street. The section between Elizabeth Street and King Street was the financial center of Melbourne with many banks and insurance companies. Collins Street was the main commercial street of Melbourne with many flagship stores of retailers along the street. Entering the building, the surveyors failed to find the name of the dealer HFGFX on the directory. Thereafter, they decided to go straight upstairs to look for it.

The surveyors found that the unit disclosed by HFGFX was a shared office. There was also no one on duty in the office because of the epidemic. Also, there was no logo about the dealer in the room. After checking with the receptionist, the surveyors confirmed that HFGFX did not have an office in the building.

Conclusion

The survey team went to Australia to visit the dealer HFGFX as planned and found no office at its regulatory address. In other words, the dealer had false regulatory information. Please be prudent when trading with this broker.

Disclaimer

The content is for informational purpose only, and shall not be taken as final order for making choice.