If we look at the past, forex trading was legal and popular in only a few trading hubs like New York, London, or Tokyo. But now, with more and more countries legalizing forex trading, it has become a household name. Every small and large country saw the benefits it could bring to the economy and the citizens of their countries. The ever-growing demand is another reason that compelled even smaller economies to make forex trading legal in their respective exchanges.

One such example is Singapore. The forex trading in Singapore is regulated by its central bank Monetary Authority of Singapore, also known as MAS. Founded in 1971, MAS is the sole body responsible for all monetary actions, whether it is trading, insurance, or investments, in the country. The MAS must authorize all the brokers before they could accept traders for forex trading. The MAS has made many laws and regulations for trading, and it makes sure that these laws and regulations are followed at every step. 

How to Start Forex Trading in Singapore?

To start forex trading in Singapore, you need to register to a regulated forex broker, download a trading app (MetaTrader 4 or 5), and start trading. To learn more about the best-regulated forex broker that we recommend, please learn more about Hotforex broker.

Singapore Forex Market

Singapore’s forex market is booming with evident growth. It has surpassed the big market players like Hong Kong to take their places as top players in the market. This growth is the regulatory body that makes the global trading platform available in the country by imposing liberal trading laws. Another reason is the popularity of Singapore as one of a kind in terms of infrastructure and technology that attracts many non-residents to be a part of its global network.

Although the MAS allows the foreign brokers to be a part of its financial market, traders must always make sure that the broker is authorized or licensed by the authorities of its origin to stay away from trouble. 

What is the best forex trading platform in Singapore?

The best forex trading platform in Singapore is MetaTrader because it is a well-designed and easy-to-use application and the most popular CFD trading platform globally. More than 95% of all CFD brokers offer this platform.

Singapore Forex Broker

Although it is advisable to choose a Singapore-regulated forex broker while trading forex in  Singapore, the MAS does not make it compulsory for the residents and non-residents to only choose MAS licensed brokers. Traders are free to choose from a wide range of local and international brokers, stating that the authorities regulate them based on their origin. As a result, traders have a wide range of top forex brokers in Singapore to choose from.

The best forex regulated brokers in Singapore are:

Forex broker Review	Visit	Min. trading lot size	Max. leverage	Min. deposit	Pip rebate	Rating	Promotions
Hotforex	Hotforex	0.01	1:1000	$1	0.4	98
Instaforex	Instaforex	0.0001	1:1000	$10	1.6	90
FxPro	FxPro	0.01	1:500	$100	0.3	88
Avatrade	Avatrade	0.01	1:400	$1	0.9	85
Dukascopy	Dukascopy	0.01	1:100	$500	0.55	83
Exness Reivew	Exness	0.01	1:2000	$10	0.1-2	80	Exness
XM.com	XM.com	0.01	1:888	$5	1	78
Octafx review	Octafx register	0.01	1:400	$50	1	70

These are just a few names. The list becomes even bigger when you count the global brokers available to choose from. 

How to open a forex account in Singapore?

To open a forex account in Singapore, you need to visit the broker’s website, make registration, validate the account and then make a request to open a demo or a live account on the website members page.

Please read a guide on how to open a Hotforex account.

Is MetaTrader 4 platform banned in Singapore?

No, the Metatrader platform is not banned in Singapore. However, in 2008. there was a security problem with MT4, and in a short time (a few weeks), platforms were banned for security reasons. However, the MT4 platform works perfectly well now, and almost all brokers use this platform for trading.

Conclusion

It is not false to say that Singapore is a beautiful country. Whether it is the infrastructure and quality of living or the growth of its financial market, traders would never deny being a part of it. The MAS welcomes brokers all over the world without imposing many restrictions. It also allows its residents to be able to trade in the global network. Therefore, becoming a part of the financial market of this country could be beneficial, stating that traders must always be aware of all the laws and regulations and stay away from any fraudulent activities that may cost them more than what they have. 

Forex trading has been popular among traders who wish to make profits from short trades and those who want to make long-term investments. Even the geographical barriers do not cause any downfall in its popularity. And so is this case in the southeastern Asian country, Malaysia. The country’s residents are well aware of forex trading and are actively trading forex in the capital market. 

The financial regulatory body of Malaysia is the Securities Commission of Malaysia (SCM). It was instituted in 1993 and ever since has issued many guidelines that have made trading in Malaysia more convenient and safe for traders and brokers. For example, the SCM advises its brokers to acquire the CMSL (Capital Markets Services License) to give them more advantages in the market. It has also published some guidelines on trading CFDs (Contracts for Difference), which came into effect in 2018.  

Note: Even with the protective guidelines, one must be aware that the high level of leverage involved in trading CFDs becomes security with higher risks involved. Therefore, the trader must be well aware of the risks involved and be confident enough before trading CFDs.  

The Best Forex Broker in Malaysia

Forex trading is legal in Malaysia and requires the brokers to be registered under a regulated institution. Therefore, being a registered broker having a CMSL is an additional benefit for trading in Malaysia. Considering all the facts, the following is the list of all the forex brokers regulated internationally and can help the traders in forex trading in Malaysia.

List of regulated trading forex brokers in Malaysia:

• Hotforex
• Instaforex
• Saxo Bank
• XTB
• IG
• Interactive Brokers
• FOREX.com
• XM Group
• AvaTrade

Registered forex brokers in Malaysia can be compared on many grounds, such as the regulatory body, customer support, and the resources they can provide a trader with. Based on these factors, a trader can choose a broker that will suit their portfolio. 

How to do forex trading in Malaysia?

To start forex trading in Malaysia you need to find a regulated forex broker, install a free trading app and learn basic trading rules using a demo virtual account. It is important to start reading books related to technical and fundamental analysis.

Like a forex exchange in any other country, foreign exchange in Malaysia is also regulated by specific laws and rules. These laws automatically apply to those who trade forex in Malaysia. Therefore, every trader should ask their broker about these laws and comply with these regulations. 

Three of the primary laws that look after the forex trading in Malaysia are:

• The Securities Commission Act, 1993: Originally introduced in 1993, this Act was amended in 2017. Under this Act, the SCM obtained the power to give licenses to the institutions and businesses dealing in securities and work as a regulatory body for trading in the country. 

• The Exchange Control Act, 1953: One of the oldest acts introduced in Malaysia is the Exchange Control Act. It was proposed in 1953 to regulate forex trading by both residents and non-residents of Malaysia. The Act states that non-residents are free to invest in the assets of the country. Moreover, there are no limitations to transfer the profits or any other proceeds to another country.  
• The Money Exchange Act, 1998: As the name suggests, this Act is associated with the laws and regulations related to any business involved in the exchange of currency. The Money Exchange Act states that any company, institution, or individual who, under the ECA (Exchange Control Act, 1953), is licensed to exchange forex, must also be licensed under the MCA (Money Exchange Act, 1998.

It is not superficial to say that a regulated broker can be trusted more easily than unregulated brokers. This is because the Securities Commission of Malaysia is the body that regulates these brokers, and an easy way to make sure if the broker is regulated by the SCM or not is to check for the registered number that can be easily checked from the disclosure text that can be seen at the end of the homepage of Malaysia brokers.

It can also be confirmed from the official website of the SCM, where one can verify the status of regulated forex brokers in Malaysia. 

Apart from the SCM, the Central bank of Malaysia, Bank Negara Malaysia, is also responsible for regulating the country’s forex dealers and other monetary services. It has also introduced some guidelines that regulate the trade and ownership of cryptocurrency in the country and states that the companies dealing with digital currency must comply with these guidelines. 

Conclusion

The SCM and the Central Bank of Malaysia are two bodies regulating the country’s financial market and the brokers. The Bank Negara Malaysia made it compulsory that forex can only be traded through regulated banks. With the growing popularity of Forex trading in Malaysia, more and more brokers are advised to acquire the CMSL to provide traders with a trustworthy platform. Looking at the regulations controlling the market and growing demand for forex among the residents of Malaysia, the Malaysian securities market has a flourishing future.