Risks associated with forex products

Not all foreign exchange products have fixed returns. Many are associated with high risks.

In the financial market, anything that is static won't be very profitable. This principle certainly holds true for fixed return foreign exchange offerings. Other forex related products involve structure and QDII. High risks could have high returns, but many investors do not understand complicated foreign exchange products.

Investor, Forex Products, said, "I admit I don't have a clue about those products. If I just buy them anyway, I may lose a lot."

Experts suggest that investors without foreign currency not buy forex products because the costs and risks can be high.

Zhao Ruikun, Analyst of Bankrate, said, "If you do not have foreign currency, and want to change RMB to foreign currency just to buy a wealth management product, you will bear some exchange risks. If you plan to change the foreign currency back to RMB when the product matures, you will have to bear the exchange risks again. So forex products are only suitable for those forex holders."