Forex platform selection guide: How to check whether a foreign exchange broker has effective ASIC supervision

In the foreign exchange market, there are many black platforms that cheat under the banner of ASIC supervision. They claim to be regulated by ASIC and can provide the corresponding supervision number, but in fact, they may be registered by ordinary Australian companies, or they may be under the supervision of licenses; Possibly regulation has expired. Today I will teach you how to check whether a foreign exchange broker is effectively supervised by ASIC.

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Let's take trademax as an example to demonstrate the actual operation.

First open the official website of Asic (https://asic.gov.au), click on the option on the right (Professional registers),

Then enter the name of the broker or the regulatory number, than I will enter tradmax or its regulatory number 436416 here,

Then select the second one in the Select Register column, which is the full name of ASIC. Finally click on the search box in the lower right corner.

Next, we can see the information of the broker. We first need to check whether the information on the broker’s official website is consistent with the regulatory website, such as company name, regulatory number, business address, etc.

If the supervision status is current (current), it means that it is currently under supervision, and if the supervision status is stopped (ceased), it means that the supervision has expired. The ABN code is the commercial code of an Australian company, with a total of 11 digits. All companies have an ABN code. The AFSL financial service license code is usually 6 digits, and only those with an AFSL financial license can engage in financial derivatives business. If the broker tells you that his supervision number is 11 digits, then it is this business code, and he is not qualified to do foreign exchange.

Then we have to see if EDR is added to the regulatory website, that is, the external dispute resolution plan in the above picture. According to the Australian ASIC regulations, if a dealer wants to provide financial products and services to retail customers, it must join an external dispute resolution agency. Protect the rights and interests of retail customers. Then there will be EDR on the regulatory website. If an Australian foreign exchange broker does not have EDR, then it cannot accept retail customers.

Finally, we check whether the platform is authorized by ASIC to have the retail qualification of foreign exchange contracts (foreign exchange cortracts). The red box in the picture means that the platform can do foreign exchange consulting and retail business. If there is no relevant license, it is impossible to do foreign exchange related business.

If there is no problem with the above information, we can confirm that the broker is under the effective supervision of ASIC. Generally speaking, it is not complicated to check whether the broker has ASIC supervision, which is basically the above content.