What is the first thing that you imagine when thinking about Monaco? We bet it’s the luxurious vacation spots at the French Riviera, fancy casinos, millionaires sipping champagne, and the most modern cars racing at the annual Grand Prix. You are in no way mistaken, as this city-state has long become the synonym of wealth and relaxed way of living available to the lucky few.
The microstate of Monaco is located on the shore of the Mediterranean sea, in Western Europe, and it borders with France almost on every side. The entire territory of this country only amounts to 2.1 square km, which means that Monaco is the world’s second smallest country in the world, succeeded only by the Vatican. Nevertheless, with a population of just over 38 000 inhabitants, the country displays one of the world’s highest GDP per capita – 0ne reaching 132, 571 USD.
With the densest concentration of the world’s richest and most powerful, what does the country have to offer to those interested in Forex trading? Below, we will explore how one can benefit from its national economy, who are the best Forex brokers in Monaco, what is the body that regulates the local market, and which specific measures does it implement in doing that.
No one will ever say that finding a brokerage is an easy task – and it truly is not. What you should be expecting is spending long hours on research, stressing over making the right choice, as well as carefully analyzing and figuring out what works best for you, and what would be the optimal set of features for trading Forex in the country where you are currently based.
But don’t you worry. Our experts are some of the most knowledgeable people with an extensive background in Forex trading, which means that you can definitely trust us when we say it – in the list that you are about to read you will only find the best of the best Forex brokers in Monaco. What you will also find is a piece of detailed information on the main trading tools that the brokerages provide, the success rates of their respective traders, and the license that they possess. as well as much more.
CySEC, IFSC, ASIC
CySEC, FCA, FSA
100 currency units
CIMA, FCA, NFA
Before going forward with the assessment of the regulations that are imposed upon the Forex trading in Monaco, it is necessary to say this form of financial investment is both not particularly popular, and not accessible easily within the country.
That does not, however, mean that there is no regulatory mechanism in place for the FX market in Monaco. The main regulatory body that oversees the smooth functioning of the countries’ financial sector is the Commission de Contrôle des Activités Financières or the Financial Activities Supervisory Commission (FASC). Established in 2007, this body performs a variety of functions that include overseeing the smooth functioning of various markets in the financial sector, issue of licenses to the applicants, receiving complaints, and implementing relevant administrative sanctions where necessary.
When it comes to trading Forex safely in Monaco, there is one important rule that any trader should follow – when in doubt, always check with the FASC. The body will most certainly be able to answer any of your queries, and the time you spend doing that is bound to pay off with an additional layer of security that every trader needs.
Virtually every trader, whether beginner or an experienced one, will tell you that before going straight into Forex trading, one should take their time to assess the state of the local economy and the opportunities that it can offer to those interested in exploring the FX market.
As mentioned above, Monaco is home to one of the world’s highest GDP per capita, and some of the lowest levels of unemployment. However, this should not come as a surprise, as Monaco has long been a traditional home to the world’s top 1% – if not as a full-time residency, then at least as a holiday vacation. But millionaires club apart, what does make the Monaco economy so so strong?
There are two main sectors of the national economy that have proven the most profitable. The first one is obvious – the tourism industry is quite big in Monaco, and ever-developing to accommodate for growing influx of visitors from all over the world who come flooding to Monaco every year – attracted by its sightseeing, rich history and luxurious way of life.
The second sector of the economy that one should not overlook is gambling. Casinos in Monaco have become legendary long before Las Vegas came to be, and have been the preferred way of pass time for the world’s most influential bunch for a long time now.
Two big sectors apart, Monaco has also succeeded in diversifying its economic output by investing in some environmental-friendly production, such as biothermics and cosmetics. As one can see, although not the largest in the world, the economy of Monaco does have to offer some interesting opportunities that Forex enthusiasts can benefit from. However, the strongest trading asset that some of the top Forex brokers in Monaco cite is the national currency, and below we will tell you exactly why.
The good news is that the national currency of Monaco is the euro, although the country is not officially a part of the European Union (EU). Why is that good news, you might be asking? Well, euro or EUR, as it is commonly indicated in Forex trading, is one of the most popular currency to trade, with some very impressive volumes of transactions behind it.
Euro is commonly traded in a pair with the US Dollar (USD), this particular FX pair is often cited as being perfect for those who are only just getting into trading Forex. Moreover, there is a lot of information and guides available on how to trade this particular pair, which means that you will be able to learn quickly and trade confidently in no time.
The main requirement that the trader will have to meet in order to start trading with the regulated Forex brokers in Monaco is being 18 or older. This particular measure ensures that minors are kept away from what can definitely be described as a risky financial enterprise, with a potential for some devastating losses and a lifetime of debt. On top of this legal standard, you will have to meet the requirements of the brokerage that you end up choosing, however, once that it is off the list, you will be able to start trading freely in no time.
When it comes to the costs of getting into trading Forex in Monaco, it is mostly free. We say mostly because there will be no additional costs associated with you joining the brokerage. Nevertheless, you will be asked to make an initial deposit in order to access the market and begin trading. Ideally, your deposit should not be any bigger than the among that you are prepared to lose, however, you should keep in mind that different brokerages will have different requirements for the initial deposit. We suggest that you do invest some time into finding the brokerage with the minimum deposit that best suits your personal needs.
We know that if you have read our guide this far, what you are probably looking for is a simple answer to whether or not you should start trading Forex in Monaco. However, before giving you our final verdict, let us step back and remember everything that we have learned about this country and the local FX market so far.
The city-state of Monaco is one of Europe’s smallest countries. yet its GDP per capita is way higher than that of the larger, more significant players in the region. The country’s economy is not particularly diverse, with the main drivers being the tourism industry, gambling, banking, and some small-scale and environmentally-friendly manufacture. All of the factors mentioned above and combined with the euro being the national currency, it can easily be said that Forex traders can benefit from the unique features of the national economy of Monaco.
Having said that, we should also mention that trading Forex is not particularly popular in the country, and many local trades find it rather hard to access the best online trading platforms in Monaco. Nevertheless, we have found that the regulatory environment there is sufficient for the small-scale Forex market, such as that of Monaco, and, with just a little time and effort put in, any trader can find the answers to any of their queries directly from the local regulatory body.
To conclude, we can definitely recommend exploring the Monaco FX market, if trading Forex is something that you have been long interested in.