Kenyan forex traders face dream and reality gap, experts say
Business
By
Gerard Nyele
| May 18, 2024
Forex trading in Kenya is evolving from a part-time engagement into a full-fledged profession.
The shift is being fueled by factors such as increased sanitisation, regulation and the availability of trading platforms.
However, for many Kenyans, the dream of making a living from trading still remains elusive.
According to Bernd Skorupinski, CEO of Online Trading Campus, there is a global deficiency in proper training curricula and certification for traders.
"Globally, there is a lack of proper training curricula and certification for traders," he says.
READ MORE
Kenya shines at Zone Individual Chess Championship in Ethiopia
Police-linked brutality victims in court, claim opaque compensation process
Safe but scared...: Tales of Mathare floods survivors
Inside huge cash withdrawals from affordable housing kitty
Prof Mutua should face MPs for grilling on victims payouts
Government should address issues raised by young people without resorting to intimidation
Subaru driver in a dramatic high-speed chase after alleged hit-and-run in Nairobi
Bottled water exempted from excise duty
Skorupinski suggests that the trading profession should develop a form of training and certification program.
This, he observes, would not only increase credibility but also reduce losses for those seeking to join the profession in a world with diminishing job opportunities.
"A trader needs to be able to control their emotions and stick to a trading plan and strategy. This is especially important in managing risk by using stop losses or taking profits at set points," he advises.
He also cautions traders to seek learning materials only from credible and certified trainers to avoid losses.
On the topic of global trades affecting the sector, Skorupinski notes that election cycles are major informers of indices.
"The market is on a predetermined path informed by election cycles, based on data over the last 50 years," he explains.
However, at the local level, he says, the lack of capital is a significant barrier for many young people aspiring to become professional traders.
Skorupinski notes that the lack of financial literacy in society hinders growth, as trading is often perceived as an easy cash-in platform rather than an investment.
Jesse Ogola, a senior accounts manager at FXpesa, says, "As a trader, don't focus on the money, because you can lose it easily."
Common currency by 2031? EAC revives single currency push as central banks turn to gold
East African central bank governors have renewed efforts to launch a single regional currency by 2031 while strengthening economic resilience through reserve diversification.Ruto's fresh headache: Houthi Red Sea blockade sends fuel import costs soaring
Rising Middle East tensions and Houthi threats to Red Sea shipping routes have pushed up global oil prices, creating fresh pressure on President William Ruto’s government.Why Kenya's digital infrastructure is failing to deliver stronger economic growth
A new report says Kenya must complement investment in digital infrastructure with stronger digital platforms, skills and institutions.KMA explains delay in salvaging grounded ship off Nyali beach
The Kenya Maritime Authority has explained why it has taken so long for a ship that ran aground off Nyali beach in Mombasa to be salvaged amid fears it might cause oil pollution or be vandalised.Scrap metal dealers decry police harassment, ask for intervention
Scrap metal dealers in Kenya have accused police of harassment, arbitrary arrests and unlawful seizures, calling for government intervention to protect legitimate businesses.MOST READ
Common currency by 2031? EAC revives single currency push as central banks turn to gold
FINANCIAL STANDARD
By Brian Ngugi
- Ruto's fresh headache: Houthi Red Sea blockade sends fuel import costs soaring
FINANCIAL STANDARD
By Brian Ngugi
- Why Kenya's digital infrastructure is failing to deliver stronger economic growth
FINANCIAL STANDARD
- KMA explains delay in salvaging grounded ship off Nyali beach
SHIPPING & LOGISTICS
By Patrick Beja