TRo ke ?

Hello everyone. I am extremely new to the idea of forex trading but I am confused. Is online forex trading legal or illegal in Malaysia? yeah BN website says its illegal if it's non authorised dealer but is there another way I can trade forex online without making it illegal? all experts please advice me. Very confused here. Thank you in advance.

Yes, it's illegal. Trade other derivatives.
If you however insist on trading forex, migrate or register an offshore company to trade.

Thank you for the reply

I thought it is only illegal if you do the trading with an unapproved Malaysian entity by bnm ?

I decided to do a little bit more research and is it true that we can trade forex provided that we trade in currency pairs which do not involve the myr? Like GBPUSD, EURUSD, everything else without the MYR currency is fine? Does it mean that if we "legally" convert our ringgits through authorized dealers/banks we can trade non myr currencies? I mean its our money right just in a different currency and any risks is on us and it won't jeopardize the country in any form yes?

The only authorised dealers are the banks. Therefore, it is only legal to trade with the banks.

http://www.bnm.gov.my/index.php?ch=li&cat=...=CB&fund=0&cu=0

If you want to exchange money or trade forex IN Malaysia, yes I agree it is only legal with whatever list by bnm

But we are not trading IN malaysia

Under the Exchange Control Act 1953 (ECA), it is an offence for a person in Malaysia to buy or sell foreign currency with any person, other than an authorised dealer. It is also an offence for a person to aid another person to buy or sell foreign currency with any person, unless the person is an authorised dealer.

It doesn't matter if your broker is not in Malaysia, but you are in Malaysia and executing the trades from Malaysia, hence you are bound to the Malaysian laws.

is that the right interpretation? i thought i know but now i don't know

so what is the workaround?

if you open a shell company overseas and 100% own by u, will that be ok?

Frankly speaking, there are no need to do research... why would you...

Statistics said that 90% traders failed and quit trading.. only a few will manage to shine out.. the best thing to do is to put your money you can afford to lose in a regulated broker to start learning to trade...

It'll be a waste of time to do reading on illegality, might as well put that efforts to learn. I was like you few years ago and i found out that you can't be consistently profitable for the first few years.. risk is what making this world interesting.. taking risk in trading and learning forex is the best experience..

This is Malaysia here.... donation can also be OKAY-ed ....
Opssss...

There are broker that offer MYR currency eg. SGDMYR, USDMYR. You can trade those pair, but bear in mind the spread is big.

http://www.forexfactory.com/showthread.php?t=214133

long thread on the legality of forex trading for Malaysian

tldr version

it is somewhat not illegal to trade forex by malaysian if you convert your rm to usd (or any currency) via BNM authorized legal entities (mostly banks)

once the money is in the broker's acc (i assume overeas), you can do whatever you want with the usd

Yes. You can do that.

You should email to the BNM directly to get the real answers.
I did and I got the answer. It is illegal. However, I have never seen/heard anyone being prosecuted, except those managing Other People's Money (OPM).

Bnm customer service (not the ppl making decisions) is not expert in these things

You can read the ff thread

I have read through the thread. The law is there, it is up to an individual to choose to follow or not.
The FF forum members could be the real experts in BNM rules and regulations.

Well, looks like 99% of the folks in here are in trouble with the law then by trading forex.

So you belong to the 99% or the 1%?

How is the forex market so far? Been learning some basics but never invested at it.