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Online Forex Trading Brokerage FoX

Online Forex Trading Brokerage FoX

Project Cost: RM 290,000

Amount Invested : RM 25,000

Amount Required : RM 175,000

Knowledge / Experience Required:
strategy
internationalisation

Proposed Investor’s Role:
part-time
as mentor

Industry:
informatics / multimedia
internet
trade
financial services

Company Current Status:

Concept / Business Plan

EXECUTIVE SUMMARY:

Company History:

ABDUL HADI CHE MOHAMED. Holding a Bachelor of Medicine (Hons) from RCSI, Ireland. Hadi Rosol is a Founder of Gadget Site (Gadget shop based in Low Yat and Kota Bharu). Previously managed FortisFX, local brokerage firm as consultant and IT Director . Has 7 years of experience in forex and online trading which includes expertise in risk and legal management,training, digital marketing and general management.

(2) MOHAMAD HASLAN. Holding qualifications of Accountancy from UiTM. As a Co-Founder to Mocaz LLC, Haslan is recognized for his marketing experience that started since 2000 especially in online trading.

Product / Service Description:

1)Fox is a provider of online forex trading, CFD trading and related services. Our mission is to be recognized as trustworthy brand globally by offering the best execution, competitive pricing and excellent liquidity to clients via laptops and apps.
2)Social trading experience with honest dealing and diverse choice of securities. Profitable to clients as well.
3)One-stop centre for artificial intelligence development, training centre for online trading and traders’ shop.

Business Opportunity:

FoX is participating in a $3.8 trillion market daily turnover market that will have a 5% growth rate per year for next decade for retail market. FoX will be targeting the young age 18-50 years old. The major trend in the market is toward regional sales in South East Asia and China. The market has seen a significant surge worldwide primarily fueled by the recent internet boom and online presence in this region.
For the most recent study done on the Foreign Exchange market, please visit the Triennial Central Bank Survey

Revenue Model:

1) Straight Through Processing: The lowest risk and lowest money is made if your brokerage doesn’t take any risk, but just takes trades from customers, sends them to a liquidity provider automatically, and on the way asks for some commission and some spread
2) Closed loop dealing desk: The second business model is to take more of the risk : The customer buys from the broker and sells to the broker. If the customer makes money, trader loses money, and the contrary. Most small retail customers have no experience and 95% of them WILL lose money. In this model, which is more like gambling for the customer, most customers spend 95% of their deposits in 2-3 months.
FoX will use hybrid model- Send some customers to the liquidity providers and keep some in house

Management Team:

Matrix structure

Managing Director
Risk and Legal Management Director
Sales & Marketing Manager-regional officer, trainers and introducers as team
Finance & Account Manager
IT Director-programmer, web designer as part of team

Current Status:

1)Funding – For this project, we are still in the Conceptual Stage where we are aggressively searching Funds, Loan, Grants or any others to give birth this project.
2)Marketing – 12 experienced marketing agents nationwide has been identified and awaiting FoX launch
3)Website development – 2 experience programmers awaiting feedback on funding to start project with template of website has been decided
4)Risk and legal – Mr Haslan has undergone training to monitor software report and trading execution

Funding Milestone:

1st Stage : Registration, Legal, IT aspect RM 125,000
-entity creation at offshore financial centre
-bank account opening and funding
-trading platform evaluation and purchasing
-platform installation
-setup STP vs dealing on the platform
-find STP liquidity provider
-implement STP setup

2nd Stage : Hiring, Marketing and IT RM 20,000
-hiring employees
-IT setup ( website,datacenter, office , internet, dealing desk ..) -Marketing setup ( create docs, gather information, decisions…)

3rd Stage : Testing and Training, Marketing, Financials RM 30,000
-beta demos on platform
-beta live (fake live customers )on platform
-training employees
-risk-control setup testing
-alpha demo testing (small number of real customers ) on platform -alpha live testing (small number of real customers ) on platform -setup company financials ( customer deposit, withdrawal, accounting)
-marketing ramp up

Business Valuation:

20% – 25% based on investment made and role of investor (mentor)
We will discussed until terms and conditions agreed

Expected Return On Investment:

Expected ROI upwards of 50% within the first year
Representative office in all 14 states within 2 years
Further discussion with investors during meeting

Investment Risk and Mitigation:

-To be prepared for unexpected market movements and unexpected events
Solutions:To be connected to news sources at all time
-To be prepared for the situations where you need to act quickly (technology problems in the middle of the night)
Solution :Have backups and a plan for calling on software / hardware providers in those situations
-Forex is relatively new and faces regulations that are changing daily. Solution : Focus on simple securities first, then move into more complex and highly regulated ones
– Minimize your risk with a contingency plan to acquire extra capital (grant)

Exit Strategies: n/a

CONTACT PERSON

Abdul Hadi Che Mohamed ( hadimocaz@gmail.com)
Company Name: FoX Capital
Postal Address : Lot 2631, Kg Galok, Chetok Pasir Mas
State : Kelantan
Post Code : 17060
Country : Malaysia
Telephone : +6097941180
Website : –
Mobile: +60179423469