Opening a Forex/CFD account in Canada (or anywhere outside the US)

[WilliamFornham]

What is the name of your state (only U.S. law)? Illinois, though should be irrelevant.

I'm looking to open a Forex/CFD account in Canada. This is because US regulation means that I cannot trade CFDs on leverage from the US, and does not allow hedging. This is important because I would like to set up a signal for trading, and most (more like all really) of these signals are set up outside the US and do not conform to US regulations, meaning I would not be able to use them. Thus I would like to set up an account registered in Canada. To do this I would need to show residency in Canada, which looks very hard to do, so I was planning on having a Canadian citizen open the account for me.

If there's too many regulatory issues I also know some Chinese people, I might be able to work out an account in China if the regulatory environment is easier than Canada, but I'm guessing it won't be.

First, I wanted to find out if this is possible. For instance, I don't want to have to funnel money through them, can I send money to these brokerage accounts from a US bank account if the account is registered outside the US? I understand that this isn't really a legal question and you guys might not be able to answer.

Second, I just wanted to make sure this is legal. If it's not legal and I have to funnel the money through someone, how can I set this up such that everything is legal and I'm protected?

Thanks,
Will

 

[LdiJ]

What is the name of your state (only U.S. law)? Illinois, though should be irrelevant.

I'm looking to open a Forex/CFD account in Canada. This is because US regulation means that I cannot trade CFDs on leverage from the US, and does not allow hedging. This is important because I would like to set up a signal for trading, and most (more like all really) of these signals are set up outside the US and do not conform to US regulations, meaning I would not be able to use them. Thus I would like to set up an account registered in Canada. To do this I would need to show residency in Canada, which looks very hard to do, so I was planning on having a Canadian citizen open the account for me.

If there's too many regulatory issues I also know some Chinese people, I might be able to work out an account in China if the regulatory environment is easier than Canada, but I'm guessing it won't be.

First, I wanted to find out if this is possible. For instance, I don't want to have to funnel money through them, can I send money to these brokerage accounts from a US bank account if the account is registered outside the US? I understand that this isn't really a legal question and you guys might not be able to answer.

Second, I just wanted to make sure this is legal. If it's not legal and I have to funnel the money through someone, how can I set this up such that everything is legal and I'm protected?

Thanks,
Will

You are going to massively complicate you life, tax-wise, if you do either.