Introduction

Retail participation in
off-exchange foreign currency
(forex) markets has
increased dramatically in
the past few years. If you
are a retail investor considering
participating in this
market, you need to fully
understand the market and
some of its unique features.
Like many other investments,
off-exchange foreign currency
trading carries a high level of
risk and may not be suitable for
all investors. In fact, you could
lose all of your initial investment
and may be liable for additional
losses. Therefore, you need to
understand the risks associated
with this product.
You should also understand
the language of the forex markets
before trading in those markets.
The glossary in the back of this
booklet defines some of the most
commonly used terms.