In a global economy, it’s necessary for individuals and institutions to be able to perform transactions, despite the variety of currencies around the world. Say you’re in another country and need to purchase something, but only have your native country’s currency. What happens then?
Thanks to foreign exchange – also known as “forex” or “FX” – the global economy is a thriving ecosystem that is accessible to everyone.
What Is Forex?
Forex refers to the global foreign exchange market. Also known as FX, this is the largest financial market in the world. More specifically, this global, decentralized market is where money is exchanged in a variety of ways.
Forex exchanges are versatile. They apply to transactions for:
When you travel to a foreign country and need to exchange your native currency for the local currency, you are acting within the forex market.