The National Bank of the Ukraine released NBU Board Resolution No. 327 on August 3, which established a legal framework for the provision of services related to the arbitrage transactions conducted under the terms of margin trading to individuals.
The information was released due to the frequent claims filed by citizens concerning problems arising when arbitrage transactions are carried out under the terms of margin trading through forex companies.
The resolution gives authorized banks the exclusive rights to conduct the arbitrage transactions under the terms of margin trading.
Citizens, however, are encouraged to use the services of reliable and authorized banks instead of unreliable companies and forex clubs. Unlike banks, most forex clubs operate as firms rendering consulting services and such companies are not held financially or legally accountable.
Forex companies may look attractive to citizens as they have a simplified procedure of opening accounts and they lack financial monitoring and tax free income. These companies, however, do come with their own risks. Banks offer more transparency and conduct arbitrage transaction under the terms of margin trading.
- TKB Bank ranks in top 10 as listed by Expert RA agency
- TBC Bank named best bank in Georgia by Global Finance magazine
- Amirbekyan of Anelik Bank wins TFP Trade Expert award
- UniCredit sells non-performing mortgage loans
- European Investment Bank lends millions to AccessBank to finance small businesses
- First Ukrainian International Bank among most transparent financial institutions in region, study says
- VTB Bank named best trade-finance bank in Russia by magazine
- AtaBank, Central Bank of Azerbaijan Republic host financial literacy event
- Richard de Keijzer named managing director for ABN AMRO Commercial Finance in the UK
- Galt & Taggart named Best Investment Bank in Georgia by Global Finance magazine