The term broker capitalisationThe term broker capitalisation denominates the amount of ne... More denominates the amount of net capital an has.
The forex marketWhat are value stocks? A value company is a company that app... More is the largest and brokers will often serve many clients with high at the same time. Thus, brokers must have sufficient capital to be able to handle the substantial volumeWhat is the trading volume? In trading, volume refers to t... More.
As a consequence, yourwill be more secure when dealing with brokers who have adequate capitalisation and , as they are less likely to go bankrupt.
Minimum capitalisation requirements set by regulatory bodies help keep the market more transparent and more secure for the participants such as retail.
Some regulators publish the capitalisation of the brokers registered with them, so the traders can do their own due diligence on any particular brokerWhat is an online broker? In online trading, a broker is a ... More.