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SEC Warns Investors About FX Trading

The U.S. Securities and Exchange Commission has alerted investors about the risks of trading foreign currencies.

    The U.S.Securities and Exchange Commission(SEC) has alerted investors about the risks of trading foreign currencies,The Wall Street Journalreports. The warning comes after commissionerLuis Aguilarsupported SEC’s move to keep current rules in place governing brokerages’ retail foreign-exchange businesses.

    The SEC recently approved new rules that allow brokers to offer retail forex trading to investors until the agency can consider whether to implement more robust rules prescribed by the Dodd-Frank Act, addsReuters. Retail investors account for about 8% of currency-trading markets globally.

    Click here for the story fromThe Wall Street Journal.

    Click here for additional coverage fromReuters.

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