If everybody believed and acted upon that, something tells me the world would be a better place.
I'm not trying to convince anyone. I'm not in the "convincing" business.
Malaysia central bank states Forex is illegal
- #241
- Nov 2, 2010 12:55am Nov 2, 2010 12:55am
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
- #244
- Nov 3, 2010 1:49am Nov 3, 2010 1:49am
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
1. It's pretty ironic: I'm one of those interbank currency speculators that Tun M apparently despises, and yet I'm also his biggest fan! 
I even copied his style of posting.. numbering all my paragraphs.
2. By the way, the ringgit is already floating (by the actual definition of the term. The PM doesn't necessarily know what he's talking about.); it's just not legally traded physically offshore.
3. My opinion: The ringgit does not need to be traded offshore (even though it's my bread and butter) as there is no clear benefit to the nation if that were to happen. I would be happy to hear considered opinions to the contrary. With reasons, of course.
4. The peg was removed in 2005 and to date there has been no disruption in international trade, which is the only trade that matters to this country. By the way, the ringgit does not have to be traded offshore for retail FX activities to continue. If one does not trade the ringgit, why must ringgit be free, right?
5. Having said that, too much regulation can be a bad thing also. Shouldn't compare us to the US. The US imposed ridiculous rules on US retail FX guys (to "protect" them, they say) but strangely enough, not on their onshore futures or stock traders.
6. By the way (again), there is no ban in M'sia on non-ringgit RETAIL FX trading in the statute books, taking into account BNM's ECM 9 allowing private citizens to invest in foreign currency assets. Again, I stand corrected if there is evidence to the contrary.
7. (By "RETAIL" FX trading, I mean the act of depositing a margin account in an offshore broker for the purpose of trading FX on margin)
8. On another point, printing trillions of dollars only has the effect of weakening the dollar so the notion that the dollar will "hold" should be a moot point.. judging by the way the USD is being sold down left, right and center.
9. (On the above point, maybe one should peruse the meaning of "Quantitative easing" which is being mentioned quite a lot in the financial media lately. Something the US Fed is doing and something the UK BOE is on the verge of doing as well.)
10. I agree with the "dinar" suggestion. But the dinar is what software developers call "vaporware", so I would tend to just put this in my KIV file, and focus on what is possible here and now. Maybe the CNY can replace the dollar as the reserve currency of choice?
11. As for trading legally and peacefully, I wholeheartedly agree with the sentiment. I would add to that: Let all the experienced market-savvy investors (like you and me
) trade legally and peacefully, and let the others buy mutual funds, as I suspect God has intended.
I even copied his style of posting.. numbering all my paragraphs. 2. By the way, the ringgit is already floating (by the actual definition of the term. The PM doesn't necessarily know what he's talking about.); it's just not legally traded physically offshore.
3. My opinion: The ringgit does not need to be traded offshore (even though it's my bread and butter
) as there is no clear benefit to the nation if that were to happen. I would be happy to hear considered opinions to the contrary. With reasons, of course.4. The peg was removed in 2005 and to date there has been no disruption in international trade, which is the only trade that matters to this country. By the way, the ringgit does not have to be traded offshore for retail FX activities to continue. If one does not trade the ringgit, why must ringgit be free, right?
5. Having said that, too much regulation can be a bad thing also. Shouldn't compare us to the US. The US imposed ridiculous rules on US retail FX guys (to "protect" them, they say) but strangely enough, not on their onshore futures or stock traders.
6. By the way (again), there is no ban in M'sia on non-ringgit RETAIL FX trading in the statute books, taking into account BNM's ECM 9 allowing private citizens to invest in foreign currency assets. Again, I stand corrected if there is evidence to the contrary.
7. (By "RETAIL" FX trading, I mean the act of depositing a margin account in an offshore broker for the purpose of trading FX on margin)
8. On another point, printing trillions of dollars only has the effect of weakening the dollar so the notion that the dollar will "hold" should be a moot point.. judging by the way the USD is being sold down left, right and center.
9. (On the above point, maybe one should peruse the meaning of "Quantitative easing" which is being mentioned quite a lot in the financial media lately. Something the US Fed is doing and something the UK BOE is on the verge of doing as well.)
10. I agree with the "dinar" suggestion. But the dinar is what software developers call "vaporware", so I would tend to just put this in my KIV file, and focus on what is possible here and now. Maybe the CNY can replace the dollar as the reserve currency of choice?
11. As for trading legally and peacefully, I wholeheartedly agree with the sentiment. I would add to that: Let all the experienced market-savvy investors (like you and me
) trade legally and peacefully, and let the others buy mutual funds, as I suspect God has intended.1. err...The current PM of M'sia has talked about floating back the RM in the open market, but the ex-PM objected to it with his life and suggested DINAR should be the world alternative super-currency, and NOT USD. It's quite unfair for USA to print Trillion of Dollars and yet the currency still hold with little effect. Somehow I agree with the ex-PM as M'sia is a minnow's economy and vulnerable to big economic volatility. Yet to see who won the battle.
.
.
.
I'm not trying to convince anyone. I'm not in the "convincing" business.
- #245
- Nov 3, 2010 11:39pm Nov 3, 2010 11:39pm
Imran, thanks for your inputs, and knowledge sharing as shown int his thread. 
http://www.bnm.gov.my/index.php?ch=8&pg=14&ac=2076
Does the above link from BNM meant trading fx is "ok" now in Malaysia ... but with the approved fx brokers, if any (I am looking for the list of approved fx brokers... any ideas (anyone)?)
Cheers
http://www.bnm.gov.my/index.php?ch=8&pg=14&ac=2076
Does the above link from BNM meant trading fx is "ok" now in Malaysia ... but with the approved fx brokers, if any (I am looking for the list of approved fx brokers... any ideas (anyone)?)
Cheers
- #246
- Nov 4, 2010 1:01am Nov 4, 2010 1:01am
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
1. Please read the BNM statement very carefully.
2. If I'm not wrong, you are obviously not an interbank FX Trader.
3. The statement refers to brokers for the WHOLESALE INTERBANK (not RETAIL) FX market, to which you do not belong.
4. Therefore, the statement does not have any bearing whatsoever on the RETAIL FX trading community in M'sia.
5. i.e. There is no change in the situation.
6. i.e. It doesn't say FX is "ok" or "not ok". There is no good news or bad news.
7. It's only bad news for the local WHOLESALE interbank moneybrokers in Malaysia (such as First Taz, Affin Moneybrokers, Amanah Butler etc etc), because they would now have to compete against foreign moneybrokers with online trading portals in their bread and butter ringgit FX crosses.
8. Don't bother approaching moneybrokers. They are only licensed to service bank traders, not private individuals. They don't operate on margin basis nor do they accept any other kind of deposit. Their sole income is from brokerage fees the banks pay them.
2. If I'm not wrong, you are obviously not an interbank FX Trader.
3. The statement refers to brokers for the WHOLESALE INTERBANK (not RETAIL) FX market, to which you do not belong.
4. Therefore, the statement does not have any bearing whatsoever on the RETAIL FX trading community in M'sia.
5. i.e. There is no change in the situation.
6. i.e. It doesn't say FX is "ok" or "not ok". There is no good news or bad news.
7. It's only bad news for the local WHOLESALE interbank moneybrokers in Malaysia (such as First Taz, Affin Moneybrokers, Amanah Butler etc etc), because they would now have to compete against foreign moneybrokers with online trading portals in their bread and butter ringgit FX crosses.
8. Don't bother approaching moneybrokers. They are only licensed to service bank traders, not private individuals. They don't operate on margin basis nor do they accept any other kind of deposit. Their sole income is from brokerage fees the banks pay them.
Imran, thanks for your inputs, and knowledge sharing as shown int his thread.
http://www.bnm.gov.my/index.php?ch=8&pg=14&ac=2076
Does the above link from BNM meant trading fx is "ok" now in Malaysia ... but with the approved fx brokers, if any (I am looking for the list of approved fx brokers... any ideas (anyone)?)
Cheers
I'm not trying to convince anyone. I'm not in the "convincing" business.
- #247
- Dec 6, 2010 3:53am Dec 6, 2010 3:53am
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
I'm not trying to convince anyone. I'm not in the "convincing" business.
- #249
- Edited 6:56pm Dec 8, 2010 6:44pm | Edited 6:56pm
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
1. Which bank did you go to?
2. Don't you already have a bank account that you have been using for many years as a bank customer in good standing? You could be using this account with minimal hassle instead of opening a new account.
3. If you go around to a new bank specifically to set up an account, did you actually SAY you wanted to use it to transfer money out? Isn't that counter-productive? Why can't you just say you want to open a current account to maintain a chequebook FULL STOP and don't elaborate anything more?
4. In Banks, there is a policy known as KYC (Know Your Customer). If I were the Bank officer handling your account opening, even I would be suspicious. And don't discount the money laundering reason. Money laundering is a very serious threat to security and I am not kidding.
5. You said you spoke to the Bank "manager". Why the manager instead of just the officer? Is it because you mentioned you wanted to transfer an exorbitant amount of money abroad like some newbies I have heard of? How much money did intend to transfer?
6. This is what I mean by KYC. The new bank doesn't KNOW you. Yet.
7. Some (not most) newbies I see don't look like respectable members of society. They come into a bank branch, young and inexperienced, not dressed like a professional, wanting to transfer a large amount of money like some bigshot. A bank officer will look at this newbie up and down and help you fill in forms while signaling his colleague to red-flag you to BNM.
8. Of course, I'm not saying this newbie is like YOU. I'm just SAYING only. In any case, you must reflect back on your words and actions as to why you got that response from the bank "manager".
9. AFAIK, there is no restriction in remitting foreign currency to anyone abroad. Kindly check the remittance forms whether there is any minimum amount in which you have to declare the purpose, and just transfer less than the minimum amount.
10. Why insist on bank transfers? I feel they take too long to clear. If you know how to use credit/debit cards, you should use those. The FX translation costs is not that much greater than bank transfer charges (including exchange rate), depending on some banks.
11. As usual, my points and suggestions above are not an inducement for anyone to find loopholes in the Law. They are meant to explore ways for Malaysians to remit foreign currency abroad for whatever LEGAL reasons they deem fit.
2. Don't you already have a bank account that you have been using for many years as a bank customer in good standing? You could be using this account with minimal hassle instead of opening a new account.
3. If you go around to a new bank specifically to set up an account, did you actually SAY you wanted to use it to transfer money out? Isn't that counter-productive? Why can't you just say you want to open a current account to maintain a chequebook FULL STOP and don't elaborate anything more?
4. In Banks, there is a policy known as KYC (Know Your Customer). If I were the Bank officer handling your account opening, even I would be suspicious. And don't discount the money laundering reason. Money laundering is a very serious threat to security and I am not kidding.
5. You said you spoke to the Bank "manager". Why the manager instead of just the officer? Is it because you mentioned you wanted to transfer an exorbitant amount of money abroad like some newbies I have heard of? How much money did intend to transfer?
6. This is what I mean by KYC. The new bank doesn't KNOW you. Yet.
7. Some (not most) newbies I see don't look like respectable members of society. They come into a bank branch, young and inexperienced, not dressed like a professional, wanting to transfer a large amount of money like some bigshot. A bank officer will look at this newbie up and down and help you fill in forms while signaling his colleague to red-flag you to BNM.
8. Of course, I'm not saying this newbie is like YOU. I'm just SAYING only. In any case, you must reflect back on your words and actions as to why you got that response from the bank "manager".
9. AFAIK, there is no restriction in remitting foreign currency to anyone abroad. Kindly check the remittance forms whether there is any minimum amount in which you have to declare the purpose, and just transfer less than the minimum amount.
10. Why insist on bank transfers? I feel they take too long to clear. If you know how to use credit/debit cards, you should use those. The FX translation costs is not that much greater than bank transfer charges (including exchange rate), depending on some banks.
11. As usual, my points and suggestions above are not an inducement for anyone to find loopholes in the Law.
They are meant to explore ways for Malaysians to remit foreign currency abroad for whatever LEGAL reasons they deem fit.hey just a question here.. so did any of you did redraw money back to malaysia? i went to the bank to set up an acct to transfer money out to overseas and the bank manager ask me to get an approval for transfering money, they said this is to help to minimise money laundry....
so the question is how am i suppose to fund my forex acct and how to withdraw? i know i can use credit card and debit but i was looking at bank transfer.... can anyone help...
im new in forex.. thanks
I'm not trying to convince anyone. I'm not in the "convincing" business.
- #252
- Dec 22, 2010 8:37am Dec 22, 2010 8:37am
- | Membership Revoked | Joined Jun 2010 | 1,246 Posts
Would using TT from local bank to open your new offshore savings bank Account be advisable? Thereafter using a debit card to withdraw from the same account after drawing from the broker's trading account into that account.
Btw, make sure your savings account can send international wire transfers. I know some savings accounts (such as swissquote's savings accounts) can't do that.
- #253
- Dec 22, 2010 8:57am Dec 22, 2010 8:57am
I've addressed this in my answer to your PM.
Btw, make sure your savings account can send international wire transfers. I know some savings accounts (such as swissquote's savings accounts) can't do that.
Please see my reply.
I have seen the enemy, and it is me.
- #257
- Jan 27, 2011 7:07pm Jan 27, 2011 7:07pm
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
1. You should Google "how to get a business license in malaysia".
2. I don't think you need to mention "forex". "Investor education" is better and more broad.
3. I don't even think you need accreditation from any education body to conduct seminars, but that's just my observation. Google is a useful resource.
4. As for declarations to tax authorities, that's between you and Whatever Higher Being you believe in. If your clients just pay you in USD to your Paypal account, you might not even HAVE to declare anything. And again, that's just my observation.
5. If my "observations" above are in any way erroneous or incomplete, I stand corrected.
6. Good luck.
2. I don't think you need to mention "forex". "Investor education" is better and more broad.
3. I don't even think you need accreditation from any education body to conduct seminars, but that's just my observation. Google is a useful resource.
4. As for declarations to tax authorities, that's between you and Whatever Higher Being you believe in. If your clients just pay you in USD to your Paypal account, you might not even HAVE to declare anything. And again, that's just my observation.
5. If my "observations" above are in any way erroneous or incomplete, I stand corrected.
6. Good luck.
Hi guys,
Just found this site yesterday and thank you for the very informative discussion related to the legality and funding issues and implications of engaging in retail forex trading as a Malaysian in Malaysia.
I have a question regarding these forex trading training courses conducted in Malaysia.
Does anyone knows if there's any special licensing or legal requirements that needs to be met before one can offer/conduct a retail forex trading training course in Malaysia?
Thanks!
I'm not trying to convince anyone. I'm not in the "convincing" business.
- #260
- Jan 30, 2011 7:25pm Jan 30, 2011 7:25pm
- Joined Oct 2007 | Status: Former institutional dogsbody | 1,253 Posts
1. I see you've only just joined. Welcome.
2. It appears that you may not be quite savvy with internet forum SOPs (Standard opereating procedure), which may lead to you not understanding how your concerns may have already been answered.
3. Please do read this thread in chronological order from beginning to end before responding to this thread, to avoid any misunderstanding.
4. I recommend you use this same methodology in any forum thread or discussion you find interesting.
5. Good luck.
2. It appears that you may not be quite savvy with internet forum SOPs (Standard opereating procedure), which may lead to you not understanding how your concerns may have already been answered.
3. Please do read this thread in chronological order from beginning to end before responding to this thread, to avoid any misunderstanding.
4. I recommend you use this same methodology in any forum thread or discussion you find interesting.
5. Good luck.
hi all,
if this is true that currency trading is illegal in malaysia... i won't spend my retirement there then as what me and my wife planned
Kam
I'm not trying to convince anyone. I'm not in the "convincing" business.