1. Legality of domestic transactions
Although there is no formal and legal London gold trading platform in China, it is actually legal to speculate in London gold, mainly because it has a long history of trading methods, is very well-known and has mature market trading rules, so investing in London gold is a very reliable trading method. The London gold market is an international market, and investors from all over the world will invest in this market and become a member of the market fluctuation.
2. What are the risks of speculating in Loco-London gold in China
First of all, we know that although Loco-London gold is a product of precious metals investment, it is also an investment product with relatively high risks.
(1) Investment cost risk
Investing in Loco-London gold doesn't need to be traded in full like investing in stocks, but it implements a margin trading system. The cost risk of Loco-London gold investment is the management of funds. Although margin trading has greatly lowered the threshold for entering the market, if there is no reasonable management of the funds in the account, heavy positions or Man Cang trading will face the risk of sudden positions.
(2) Risk of trading mode
Loco-London gold investment belongs to a two-way trading mode, and it is possible to make a profit by buying up or down. This kind of risk is that if investors predict the wrong market, there will be a risk of loss. Compared with one-way investment products, London gold has less trading risk in this respect. There are certain rules in the London gold market. If you want to reduce this kind of risk, you must "follow the trend" (which is the transaction with the highest chance of winning), and make orders in the general direction, which can at least reduce the risk by half.
To sum up, it is legal to invest in Loco-London gold trading in China, but only in Hong Kong. So what are the advantages of London gold investment?
1. the product is simple and the technology wins.
there is no need to choose stocks, and the operation is simple, and you can invest with or without foundation. As long as investors do a good job in risk management, they can get profit opportunities with extremely low margin.
2, the threshold is extremely low, with small strokes.
The leverage of gold investment can be as high as 1 times, and investors can flexibly use the funds in hand to make big bets with small ones.
3. It's universal, and there is no dealer.
the price of gold is quoted according to the international market, which is globally clear. The trading volume of gold is calculated in trillions of dollars every day, and no consortium or institution can artificially manipulate such a huge market.
4. Both buying and selling are profitable.
Two-way trading leads to a profit opportunity for investors no matter whether the price of gold rises or falls. As long as the direction is judged correctly, any market situation can be profitable.
5. The transaction service time is long.
The gold market is closely connected with the gold markets of all countries in the world. It is an open market that operates continuously and has no fear of stopping. You can buy and sell online in real time from Monday to Friday.
6. The fund settlement time is short.
Cumulative trading can be conducted on the same day to increase the ratio of investment funds and increase the probability of return on investment.
7. Online electronic transactions.
All contract transactions conducted through chinese gold and silver exchange society-recognized electronic dealers are given unique [transaction codes] by the Exchange, which proves that the relevant transactions are conducted through the electronic trading platform of the Exchange.
8. Capital security.
funds are only transferred between banks. Each transaction can be inquired individually.