Forex Brokers in Thailand

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Forex trading in Thailand is popular amongst residents who are looking to buy and sell currencies to speculate on the fluctuating currency market prices. Whilst international forex brokers can accept traders in Thailand as clients, forex brokers in Thailand are required to become authorised by the Securities and Exchange Commission of Thailand (SEC). Blurb about regulator. The SEC was founded under the promulgation of the Securities and Exchange Act B.E. 2535, with a mission to: “Develop and Supervise the Thai Capital Market to Ensure Efficiency, Fairness, Transparency, and Integrity”.

Best forex brokers Thailand

To find the best forex brokers in Thailand, we created a list of all the forex brokers that accept clients in Thailand and then ranked them based on our overall rating. You can see our list of our top forex brokers for Thailand below.

Broker

Rating

Regulated

Min. Deposit

Founded

Max. Leverage

1.

ADGM FRSA, ASIC, BVIFSC, CBI, FFAJ, FSCA, IIROC, JFSA

$100

2006

1:400

Review Trade Trade

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

2.

ASIC, BaFin, CFTC, DFSA, FCA, FINMA, FMA, FSA, FSCA, JFSA, MAFF, MAS, METI, NFA

$250

1974

1:200

Review Trade Trade

70% of retail investor accounts lose money when trading spread bets and CFDs with this provider.

3.

ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB

$200

2010

1:400

Review Trade Trade

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

4.

ASIC, CySEC, DFSA, IFSC

$5

2009

1:888

Review Trade Trade

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

5.

ASIC, CySEC, FSA, SCB

$200

2007

1:500

Review Trade Trade

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

SEC forex brokers in Thailand

Thailand is among the biggest economies in the Southeast Asian region, with a very high gross domestic product, the country boasts a growing economy, which makes it an attractive destination for international foreign exchange brokerages.

Forex trading is legal in Thailand where it falls under the regulatory scope of the Bank of Thailand and the Securities and Exchange Commission of Thailand, otherwise known as SEC.

The Securities and Exchange Commission (SEC) or the Commission is the national government regulatory agency charged with supervision over the corporate sector, the capital market participants, and the securities and investment instruments market, and the protection of the investing public.

The Securities and Exchange Commission (SEC) and the Bank of Thailand (BOT) are responsible for regulating forex trading in Thailand. Interesting, Thai residents are not allowed to trade with pairs involving the baht. There is no formal requirement that the broker is regulated by the SEC or BOT, therefore it is acceptable to use a broker based outside Thailand. As a trader, it is wise to use a broker that has some sort of formal regulator than to use an unregulated broker.

How to verify SEC regulated brokers in Thailand

Forex trading was legalized in Thailand in 2017, with local authorities forging more relaxing regulations for investments in financial instruments like securities and derivatives. These regulatory relaxations aimed at facilitating the flow of capital in and out of the country as well as dealing with the strengthening of the local currency, the Thai baht (THB).

You can find an authorised broker’s license number from the disclosure text at the bottom of their homepage. You can then look up the authorisation number on the SEC website to confirm if the forex broker is regulated in Thailand to provide online forex trading products and services.

Some Thailand forex brokers are regulated in more than one jurisdiction so that they can offer a different range of trading accounts and conditions depending on the location of the trader and regulated entity that they choose to open a forex trading account with.

In Thailand, forex trading is a legal endeavour. The Bank of Thailand (BOT) is the main entity governing online forex trading activities. The BOT doesn’t enforce strict regulations for retail traders seeking to invest directly in financial securities and derivatives.

Is forex trading legal in Thailand?

In 2017, Thailand legalized forex trading and crafted more lenient rules for investing in financial assets like equities and derivatives. These regulatory easings sought to deal with the strengthening of the local currency, the Thai baht, as well as the flow of capital into and out of the nation (THB).

The country’s primary financial institution, the Bank of Thailand, introduced the modifications, which became law in November 2019. (BOT). Thai retail investors now have the option to send money abroad to transact directly in a variety of financial instruments.

Prior to the implementation of the new regulatory framework, only a select group of people were permitted to directly invest in foreign instruments. Some of them were institutional investors, high net worth investors, and qualified investors, which are companies or people with investments of at least $50 million.

Over-the-counter derivatives are now included in the list of instruments that Thai nationals are permitted to invest in under the new regime. Additionally, it removed the limitations on the nations in which qualified investors may make investments.

The modifications also had an impact on regular investors. They could only previously trade foreign exchange and other instruments through Thai middlemen. They now have the opportunity to trade financial instruments directly, but they must adhere to a $200,000 annual trading cap.

They have access to similar financial instruments that accredited investors do. Retail merchants must first complete a one-time registration form on the Bank of Thailand website. The total cap on investments was also raised by BOT, going from $100 billion to $150 billion.

All traders whose investments are subject to the Securities and Exchange Commission of the nation are collectively subject to this limit. Additionally, Thai investors now have the opportunity to trade precious metals like gold in several currencies.

However, they can only do this with trading firms that the Bank of Thailand has authorized. Such transactions could only be carried out in the local currency, the Thai baht, prior to the changes in regulation. By hedging their currency positions, retail traders can guard themselves against market risks.

Another crucial point to bear in mind is that it is against the law in the Land of Smiles to speculate with Thai baht. The Bank of Thailand has implemented a number of initiatives to reduce currency speculation.

After the baht surged to its highest level in more than six years in June 2019, the central bank declared it would take a stricter stance when monitoring foreign exchange transactions.

BOT contends that more stringent regulation is necessary to stop short-term currency speculating. The BOT may impose formal warnings, fines, and even the closure of the operations of banking institutions that assist companies that violate its regulations against baht speculating.

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