E-Financial
Myths of Online Forex Trading

By Abiola Akinyele, General Manager of FXTM Nigeria
Over my decade-long experience of trading the forex market, I have met many individuals with different ideas of what the market is. This includes both people with firsthand knowledge, as well as those with only a limited understanding of how the market works. It is not only beginners who believe in the myths of the market- surprisingly, some experienced traders do too. In this article, I will share and unravel some of these myths.
The myths are all those rumours that you usually read in online forums. Although it is a golden rule not to believe everything you hear, these types of myths can often take root in a trader’s mindset and can generate fear or distrust of the forex market. Some are misconceptions stemming from mistakes made by beginners who have most probably misused the trading platforms and who therefore spread exaggerated stories based on specific cases. For obvious reasons, they are not representative of how the forex market works. So, let’s explore these myths.
Myth #1: Trading is extremely easy
This is the quintessential myth par excellence and one which many new traders tend to believe. The process of downloading and opening the software to start operating is relatively easy since you can start practicing on a demo account using virtual money.All you need is a computer, internet access and a desire to start. However, earning a lot of money quickly is another story. Although there are some lucky traders who succeed as soon as they start trading, this kind of beginner’s luck does not apply to everyone.
Successful forex trading requires practice and a lot of invested time.You cannot expect to be profitable as soon as you start trading, even if you have been practicing for some time. It is one of the reasons why I would strongly recommend that anyone who intends to start trading or has a desire to learn about the forex market should attend forex training seminars, such as the onesheld in our various offices in Nigeria.Another useful source of information is the FXTM website, where you can join any of our webinars and checkout our online educational materials.
Myth #2: Forex trading is gambling
Although it is quite easy to compare gambling and trading because of the risk factor, they are not the same. Forex traders have access to a lot of macroeconomic information to help them make informed trading decisions. This is why education, understanding the markets and having a suitable trading strategy are so key. While there is always risk involved in trading, these factors make it significantly different from gambling.
Myth #3: You need an economics or finance degree to trade
This myth is one of the most wide spread and it is, of course, false. It is not necessary to be a university graduate or have many degrees to be a trader. The only technical barriers to entering the markets are the need for a computer, internet connectivity and a strong desire to succeed – however, the willingness to learn is vital for anyone interested in forex trading. It’s essential to explore well-grounded education courses before beginning to trade, and I strongly recommend visiting the education section of the FXTM website.
Myth #4: The more complex the strategy is, the more profit it produces
Normally traders start with a simple strategy and only see little performance. Therefore, they assume that if they continue to make an adjustment to their system, taking into account some other variables, they will increase their profitability. But what they do not understand is that this is not how trading works. A winning strategy adapts to both your type of trade and your trading personality.In short, it is not something that depends on how complicated the strategy you use is. In fact, if you use a very difficult strategy that you do not know how to manage, it is likely that you will simply lose money.
Myth #5: Forex is a scam
It is true that there have been cases where individuals have had very negative experiences in the forex market, either due to the broker they have chosen to work with, due to lack of education on the forex market, or due to the wrong trading strategy. But this doesn’t mean that forex as a whole is a scam. Forex is a real currency market where anyone can trade for themselves and also be responsible for their own trading decisions and their losses. Individuals also need to be careful of people who are looking to defraud traders, whether that be by including them in pyramid-scheme businesses that seek to take away profits, or due to them being unreliable and disreputable brokers. However, it is necessary to emphasize that the market itself is NOT, by nature, fraudulent.
Myth #6: Following what other traders do leads to success
DO NOT ever follow what other traders do just because they look like they know what they are doing. A trader must develop their own skills and learn from their mistakes.They can listen to other traders, of course, and even follow the strategy of a trader they trust through copy trading, but keep in mind that every individual’s experience of forex trading is different. You should take your own trading style and goals into account and always carry out your own research before committing your capital. Experienced professionals can greatly help new traders; however, this should be part of an informed and educated decision.Do not simply believe in everything people say, no matter how experienced they may look.
Myth #7:You need to watch your computer all the time
It is humanly impossible for a person to focus on one thing all the time, especially to constantly watch their computer screen. Most professional traders monitor the market movements before closing their positions. Traders could also leave standing orders with forex brokers which automatically close the order for them.
So, no;in order to be a forex trader, you do not have to be stuck onyourPC24/7, but you should be able to devote a considerable amount of time to watching the markets.
Myth #8: Money management means placing a stop
The handling of money is one of the most important factors with regards to the success of a trader. In fact, I consider a proper understanding of money and risk management the most important skill for a successful trader to have. However, money management does not mean just placing a stop order on a trade, it also involves the amount of the total account that will be risked by each trader. When focusing on what money management is, the trader must take his operations to the next level.For that reason, it is something that should not be ignored because if it is done, even using the best strategy, it will fail.
Myth #9: The more pairs you exchange, the better
Trading many pairs at the same time may distract you and that could lead to many losses. Trading more pairs does not always mean that you will have more profits;it actually means more work and less time to think rationally.
Therefore, the best option is to be patient and wait for the pairs you are trading to bear fruit— especially if you are a new and inexperienced trader.
Professional traders already have the currency pairs that they are familiar with and they know how to manage their strategy and their time.
Summary
It is important for a forex trader to do their own research to understand what it really means to work with the fast-moving markets. Much of this learning will come from experience since not everything can be taught through courses, articles and guides.
Myths in the foreign exchange market are very dangerous and harmful for traders. Therefore, you should always fact check everything you read or hear and keep an open mind and try things for yourself.
E-Financial
UBA Expands to More African Cities, Stamps Footprint in Saudi Arabia

United Bank for Africa (UBA) has announced strategic expansion into more African countries even as it plans to open a new office in Saudi Arabia, marking a significant milestone in its mission to connect Africa with key global markets.

Oliver Alawuba, GMD/CEO, UBA group,
This emerged during the Group’s Half Year Business Review held at its global headquarters in Lagos, where Oliver Alawuba, group managing director/CEO, UBA group, met with senior executives overseeing UBA’s 24-country footprint.
The meeting reaffirmed the bank’s pan-African strategy while outlining bold new steps into global markets.
Alawuba highlighted UBA’s continued growth outside Nigeria, with more than 51.7% of Group revenues now generated from its ex-Nigerian operations.
He described the Saudi expansion as a move that positions UBA to support cross-border trade, attract investment flows, and better serve the African diaspora.
“UBA’s vision is clear—we are building a truly global institution anchored in Africa, but serving customers across continents. Our entry into Saudi Arabia signals confidence in new opportunities and commitment to supporting economic connectivity between Africa and the Middle East,” he said.
The Saudi expansion adds to UBA’s international presence, which currently includes the United Kingdom, United States, France, and the United Arab Emirates. Alawuba also disclosed that the bank is upgrading its operating licence in France to further strengthen its European operations.
“In Europe, UBA has operations in the United Kingdom and is upgrading its licence in France, expanding its capacity to serve cross-border trade, investment flows, and the African diaspora, complementing our over 40-year presence in New York,” Alawuba noted.
Since launching its pan-African journey with an entry into Ghana in 2004, UBA has expanded rapidly across 20 African countries, establishing itself as a leading driver of financial inclusion, innovation, and regional integration.
E-Financial
Ecobank Plans to Raise $250m Capital Through Private Placement

Ecobank Transnational Incorporated announced its plan to raise up to $250m in Additional Tier 1 capital through a private placement of contingent convertible notes.
In a statement filed on the Nigerian Exchange Limited recently, the capital raise was approved by shareholders at the company’s Extraordinary General Meeting held in Lomé, Togo. The private placement offer was launched on July 9 and will run for ten days.
“Following the approval of the shareholders at its Extraordinary General Meeting held on May 28, 2025, in Lomé, Togo, to raise up to $250m in additional Tier 1 capital qualifying instruments via a private placement of contingent convertible notes, Ecobank Transnational Incorporated announces the launch of the AT1 effective July 9, 2025, for ten days. Renaissance Capital Africa has been appointed as the transaction adviser to ETI.”
The move is an initiative aimed at strengthening Ecobank’s capital adequacy, enhancing financial resilience, and supporting its long-term growth ambitions across its diversified pan-African banking platform.
Additionally, Madibinet Cisse, Ecobank’s Company Secretary, said, “This proposed capital raise represents a critical step in our efforts to fortify the bank’s financial foundation and support sustainable growth across Africa.”
It would be recalled that Ecobank Transnational Incorporated, the parent company of the Ecobank Group, has raised an additional $125m through a Eurobond tap, bringing the total size of its 2029 notes to $525m.
E-Financial
EFCC Recovers Funds Lost to CBEX Fraud

Ola Olukoyede, chairman, Economic and Financial Crimes Commission (EFCC), has announced that the body has recovered lost funds from the CBEX fraud scheme.
Olukoyede did not announce the amount recovered, but he assured Nigerians that the EFCC is taking action against the promoters of the scheme.
The EFCC Chairman emphasised that the suspects found are facing prosecution.
“We have found a lot of people culpable. Those who promoted that scheme are within our jurisdiction and have been arrested. So, at this moment, they are being prosecuted. And we can also say that money has been recovered, even though the process is still ongoing for us to finally forfeit it,” he said.
Olukoyede also urged Nigerians to exercise caution when investing their resources into online platforms.
“Ponzi schemes remain one of the most pervasive threats facing unsuspecting investors. The CBEX case is a clear example. We all remember the outcry that followed the collapse of the scheme, but these unfortunate situations are preventable. Nigerians must begin to conduct due diligence before committing their resources to such platforms,” Olukoyede said.
He also stressed that the body remains committed to fishing out the culprits and recovering the lost funds.
“It was only when the bubble burst that people wanted EFCC to perform magic and recover their money. In the case we investigated in Lagos, which we dubbed Operation Flush, we arrested a large number of foreigners involved in various cybercrimes, including CBEX. I want Nigerians to know that as of today, we have secured close to 150 convictions. Some of them are already serving their jail terms. And when they are through with that, we are going to send them back to where they came from. So we are monitoring them,” he added.
He urged the public to stay vigilant, assuring them that the body will see the case to the end.
“We are no longer the EFCC that drops cases halfway. Whatever we start, we will finish. Nigerians should trust us and believe in our capacity to do justice. Some of these cases are complex and may require cross-border investigations, but we are up to the task,” he said.
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