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I've noticed that the best forex brokers are outside the US. Many of them don't have operations in the US and offer better deals internationally.

For example:

  • Higher leverage opportunities with International Brokers
  • For both institutional/retail traders, you can trade more pairs/instruments

What's the best way for US traders to compete globally? Why is the US so strict?

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  • Welcome to the community, however I believe your post is too broad. There could be many reasons around regulations, market supply/demand, retail vs institutional, etc. If you have a specific question to answer, that would better fit this site. This site is not meant to be a general discussion board. For example, are you a individual/retail trader or an institutional trader? What specific roadblocks are you getting that you do not think occur internationally?
    – D Stanley
    Commented Jul 23 at 14:30
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    Some would argue that higher leverage opportunities are a bad thing. If you hate money so much why don't you withdraw a bunch from the bank and light it on fire?
    – Pete B.
    Commented Jul 23 at 14:52
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    Generally US regulations are very strict and most "forex" brokers are some sort of casinos or straight up scams.
    – littleadv
    Commented Jul 23 at 16:00

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There are 2 basic reasons that financial services might be offered differently outside the US, as compared to inside it:

  1. Perhaps the market in another country is more heavily traded than in the US, or a firm that does well originated in another country, and is more competitive than US-based counterparts. Of course, prevalence of online trade should imply that such benefits would quite quickly be available to all global citizens.

  2. The firm is offering services outside the US in an attempt to avoid either US regulation or US law enforcement.

So ask yourself a question: what makes your supposed 'best' forex traders better than what's available in the US? Is it easier to set up an account because fewer 'Know Your Client' documents are required? Are you allowed insanely high leverage amounts that the US government prevents its firms from predating on citizens with?

Be cautious of 'investing' your money with an online-only firm that has no physical presence in your country of residence. If fraud or malfeasance occurs, it would be difficult, prohibitively costly, or perhaps impossible, to pursue that firm for damages.

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