1, the role of domestic foreign exchange companies is to save you the step of going abroad, but if your funds are not remitted abroad, it is definitely not a legal company, that is to say, it is legal, but these companies must be strictly supervised.
There are two main channels for China investors to invest in the foreign exchange market. One is to make a firm offer for foreign exchange opened by domestic banks, and the other is to directly open an account abroad for foreign exchange margin business through the domestic agent of overseas dealers.
3. Due to the large spread of foreign exchange firm offer (which can be understood as high transaction cost), the general rate of return is difficult to meet except for the large fluctuation of exchange rate. Because of its two-way transaction, foreign exchange margin business can be long or short, and because of its leverage ratio, it can be small or wide.
4. The foreign exchange margin business has not been fully opened in China, but the state does not interfere with citizens' overseas investment. Therefore, foreign mainstream platforms generally have great advantages in finding agents in China to do customer development and service for them.
Legal basis:
Article 225 of the Criminal Law: Whoever, in violation of state regulations, commits one of the following illegal business operations and disrupts the market order, if the circumstances are serious, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also, or shall only, be fined not less than one time but not more than five times the illegal income; If the circumstances are especially serious, he shall be sentenced to fixed-term imprisonment of not less than five years, and shall also be fined not less than one time but not more than five times his illegal income or his property shall be confiscated: (1) dealing in franchise, monopoly goods or other commodities whose business is restricted by laws and administrative regulations without permission;
(2) buying and selling import and export licenses, import and export certificates of origin and other business licenses or approval documents stipulated by laws and administrative regulations;
(three) without the approval of the relevant competent departments of the state, illegally engaged in securities, futures, insurance business, or illegally engaged in fund payment and settlement business; (four) other illegal business activities that seriously disrupt the market order.