In Vietnam, forex traders primarily engage in currency speculation, aiming to profit from fluctuations in currency values. They take advantage of the market’s high liquidity and round-the-clock operation, allowing them to execute trades at any time during the week. Forex trading in Vietnam is facilitated through licensed forex brokers who provide trading platforms and tools, as well as access to the global forex market. If you are a beginner and want to trade safely in Vietnam, consider choosing the best forex brokers in Vietnam.
Is Forex Trading Legal in Vietnam?
The legal situation regarding Forex trading in Vietnam is a bit more complicated. The State Bank of Vietnam (SBV) is the financial regulator, and it made Forex floor trading illegal. There are no licensed Forex brokers in Vietnam, and the SBV stresses that only authorized entities may provide Forex and derivatives trading. Since the SBV has not granted a license to date, there is no legal entity domestically. Vietnam has no domestic Forex trading infrastructure, as the SBV currently prevents it, to protect the national currency, the Vietnamese dong. On the other hand, there are no restrictions or laws prohibiting Vietnamese Forex traders from trading with international Forex brokers.
Most international brokers accept Forex traders from Vietnam without restrictions, and many maintain a Vietnamese website. Deposit and trading in the Vietnamese dong are generally not available. It would be counterproductive, as traders would face currency conversion costs at most brokers on each trade. Regrettably, Vietnam struggles with many pyramid schemes and multi-level marketing (MLM) scams and frauds. The SBV warned Vietnamese Forex traders against them and confirmed that Vietnamese law does not protect against losses, as it deems the entire sector illegal if operated from inside Vietnam. Forex trading in Vietnam is legal if traders use their capital and international Forex brokers. Our list of the best Forex brokers in Vietnam offers an excellent starting position.
Finding the Best Broker for Vietnamese Forex Trading
Finding the best Forex brokers in Vietnam is challenging, which is why we compiled our list of top choices. They offer a different mix of products and services to accommodate all types of traders and trading strategies. Our review evaluated hundreds of Forex brokers based of dedicated research. We identified the best Forex brokers in Vietnam so you can spend less time searching and more time learning how to trade Forex.
We recommend that Forex traders in Vietnam who wish to conduct their due diligence consider the following seven aspects:
Regulation – Never trade with an unregulated broker, regardless of what type of offer you receive. Always decide on a regulated broker with a clean track record, a minimum of five years of operational experience, and a trustworthy reputation.
Localized payment methods, commissions & fees – While all brokers support bank wires and credit/debit cards, we recommend keeping your Forex account transaction separate from your Vietnamese bank account. The reason is the legal situation concerning Forex trading in Vietnam. It is impossible to gauge developments. It is best to use third-party payment processors, and cryptocurrencies are another viable option. Some Forex brokers offer localized payment methods. Forex traders must also consider commissions and fees, as they will directly impact your profitability. The commission-based trading accounts from our list of the best Forex brokers in Vietnam offer a competitive and trader-friendly cost structure.
Customer support – Trading with a Forex broker that offers 24/5 or 24/7 customer support ensures that clients have swift access in case of unexpected issues. Most traders never require customer support, and the best Forex brokers in Vietnam maintain a Vietnamese website, where they explain all products and services.
Funding and withdrawal methods – We recommend that traders find a broker that supports funding and withdrawal methods suitable to their requirements. The most efficient and low-cost solutions remain online payment processors.
Comprehensive trader resources – The best Forex brokers in Vietnam will offer excellent trading resources to provide a competitive edge to their clients. It also shows that brokers invest in their business to grant traders a platform for success.
Demo account options – They are essential for the testing of automated trading Traders should ask for an unlimited demo account without restrictions to test strategies and debug their automated trading strategies.
Mobile trading – It remains popular among millennial traders, and all brokers offer a mobile trading platform. We recommend that Forex traders only use it to check their portfolio. The computing power on smartphones is more than sufficient, but the screen size is not, which is why professional traders never engage in mobile trading.
COVID-19 impact in Vietnam country on Forex Trading
The COVID-19 pandemic has had a profound impact on global financial markets, and Vietnam’s forex market was not immune to these effects. The initial outbreak led to increased market volatility, creating both opportunities and challenges for forex traders. As the pandemic unfolded, many individuals turned to forex trading as an alternative source of income, leading to a surge in demand for forex trading services. Although the pandemic has caused economic uncertainty, the forex market in Vietnam has demonstrated remarkable resilience and is expected to continue growing in the post-pandemic era.