Central Bank of Russia introduces new standards for Forex brokers

In the middle of December 2017, the Central Bank of Russia approved new requirements for financial market participants. It should come into effect in April 2018. According to this document, minimal amount fo capitalization for Forex brokers will be set.

New rules describe a formula that is used to calculate the minimal capitalization. And the formula will be somehow connected to the risks that a market participant makes. The riskier decisions the financial organization takes, the higher is a plank of minimum capitalization for it.

According to the Central Bank, the goal of this measure is to create a healthier environment in the financial market and protect the clients of Forex brokers. In other words, a financial organization should have enough funds to cover any losses appearing because of rapid changes in the market or wrong deal. As a result financial market should get more stable and safe for private investors.

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