How to Start Forex Trading in Dubai

Forex trading in Dubai is legal and well-regulated. It’s a dynamic business industry where you can garner exponential revenue. The best part is that you can repatriate all of the capital gains and profits in the UAE, thanks to the business-friendly laws maintained by the government. The SCA (Securities Commodities Authority) keeps a check on various forex trading activities in the UAE to maintain a risk-free working ecosystem for all the investors. 

You don’t need to make hefty investments for launching a forex trading firm in Emirates. It’s a business that requires very few resources alongside a forex trading license in Dubai that provides you the legal permit to carry out your business activities. Therefore, you should get in touch with the business experts at Shuraa, and we’ll provide end-to-end assistance to help you establish your forex trading venture. 

What are the steps to start forex trading in Dubai? 

You need to get a forex trading license in Dubai to get started with your business activities. Here’s a stepwise breakdown of the process to make it simpler for you: 

1. Market research 

Forex trading in Dubai is a prosperous venture if you have the right knowledge and necessary guidance. It all starts with in-depth market research, and it’s this phase where you analyze how this industry functions in the UAE. You can leverage the internet to educate yourself about the various trends and norms that you need to know when launching such a business in this region. Moreover, Shuraa’s legal advisors are always available to help you out in case you’ve stuck anywhere or want to understand specific aspects related to forex trading in Dubai. 

2. Know what you want 

You don’t need to make any rash decisions when you’re establishing any business, let alone forex trading. Be precise in what you need, plan accordingly, and create a checklist of the same to make goal-tracking more convenient. Never work on assumptions or rash predictions as they can lead to severe financial losses and other problems. Furthermore, don’t forget to discuss your business plan related to forex trading in Dubai with professional advisors in the UAE. 

3. Connect with a broker 

Once you’re done with the above steps, you need to approach a broker in the UAE. It can be an individual broker or a brokerage firm. However, always ensure that the broker is affiliated with a government agency. This saves you from any potential risks that an unregistered broker might pose in the future. Next, inquire about the leverage and margin policies maintained by the concerned brokerage firm and also ask if they’re market makers or utilize ECN. Lastly, ask for a demo account offered by the firm to get familiar with their forex trading platform. Finalize the brokerage firm only if you find them authentic and reliable. 

4. Apply for the forex trading license 

Now that you have understood the market and also partnered with a reliable broker, you can apply for a forex trading license in Dubai. The applicant needs to get in touch with DFSA (Dubai Financial Service Authority) to obtain their forex trading license in the UAE. Moreover, you need to acquire external approvals in case some of the desired business activities aren’t listed in your license. Ensure that you have all the documents ready alongside the business plan document so that you pass the company fit test carried out by DFSA. This authority is your point of contact for all activities related to commodity trading, exchange, international equities, among several others. 

5. Start trading 

A valid forex trading license in Dubai alongside the additional approvals (if applicable) is all you need to get started with your business activities in Emirates. You can trade in cryptocurrency, capitalization stocks, etc., via this license. It’s recommended to hire local business consultants for starting forex trading in Dubai as they offer valuable insights that’ll help you understand the market, acquire the business license, and set up your forex trading company in the UAE. Always follow your business strategy and make educated decisions to ensure that you don’t risk your hard-earned money. 

Benefits of setting up a forex trading company in Dubai 

New-age investors and entrepreneurs can make sizable profits right from the beginning of their forex trading venture in Dubai, thanks to the favorable business conditions. Here are few such benefits of starting forex trading in Dubai: 

1. The risk involved in forex trading is manageable as it has high liquidity and low transaction cost. Furthermore, it has minimal asset requirements. All you need is good internet connectivity and a decent electronic device like a desktop or smartphone. You’re flexible to do it at your preferred time and still make good profits out of it. 

2. The forex trading framework in the UAE is appropriately regulated by DFSA. The authority monitors all the forex trading activities in the marketplace to ensure that all the legal entities follow the established government protocols. DFSA also works in tandem with various banks and financial bodies to keep a check on the forex trading companies in the country. 

 3. Forex trading in Dubai is a very profitable venture as you don’t need to pay any corporate taxes or surcharges. The process to obtain a forex trading license in Dubai is completely transparent, and you won’t come across any hidden charges or non-discussed costs while setting up your company in the UAE. 

Where to launch a forex trading company in the UAE? 

The UAE has several world-class facilities where you can launch your forex trading company. Business aspirants who want to explore Dubai’s local marketplace can open an LLC (limited liability company) in the mainland region. Moreover, you can also commence your forex trading venture in specialized free trading zones. Some of them include: 

DIFC (Dubai International Financial Center) 

The Dubai International Financial Center is a renowned name in the financial zone circuit. Ventures dealing in finance, fintech startups, financial consultancies, trading firms, etc., find a home for their business in this region. The best part is that it has a common-law framework alongside an independent judiciary system that offers a tailored business ecosystem. Moreover, you can enjoy complete business ownership by partnering with an LSA who’ll help you acquire the forex trading license in Dubai without having any legal role in your company. 

ADGM (Abu Dhabi Global Market) 

The ADGM also ranks among the best financial zones in the world. The FSRA (Financial Services Regulatory Authority) is the governing body in this region that regulates all the financial activities and maintains a business-friendly working environment that helps companies grow leaps and bounds. This free trade zone makes forex trading in Dubai simpler than ever by providing all the amenities and must-have resources all in one place. 

Shuraa – your business companion 

Your decision to start forex trading in Dubai is the right one because it’s a lucrative industry with remunerative investment opportunities up for grabs. Shuraa Business Setup can help you in this journey. Our business consultants are trained professionals who have prolific expiring in this domain. We help you with documentation, consultancy, licensing, etc., needed to get started with forex trading in Dubai. Get in touch with Shuraa today! 

Click here to book a free consultation with our experts and know more about getting a forex trading license in Dubai or call at +971 44081900. You can also send a WhatsApp message at +971 50 777 5554. For email assistance, mail your query at [email protected].