Shocking revelation by FCA Enforcement Director that spot FX is not regulated in the UK

Shocking revelation by FCA Enforcement Director that spot FX is not regulated in the UK

From leaprate.com

Tracy McDermott has categorically stated that spot FX does not fall under FCA remit, having come to light after it emerged that some of the traders being investigated for FX rate rigging were not registered yet worked for major financial institutions A great many retail FX firms have invested vast resources in gaining the much-coveted Financial Conduct Authority (FCA) regulatory oversight, and positioning themselves alongside established institutional firms in the world's largest financial center, London. The kudos provided by the FCA license, as well as London's perceived status as a respectable and stable region ... (full story)

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Comment #1
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Apr 29, 2014 3:03pm Apr 29, 2014 3:03pm

Pip Anon
Joined Jan 2013 | Status: Trading defies logic | 1796 Comments

I don't think it's regulated anywhere. I believe it's only the brokers that are.

When the facts change I change my mind, what do you do sir

Comment #2
Quote
Apr 29, 2014 6:52pm Apr 29, 2014 6:52pm

Guest
| IP XX.XXX.11.112

In any case the market is not user friendly so there!

The Crow

Comment #3
Quote
Apr 29, 2014 9:57pm Apr 29, 2014 9:57pm

aresgee
| Joined Mar 2010 | Status: Member | 8 Comments

If HFT are front-running equities in black pools, what stops FX trades from doing the same with their own traders, nothing!

Comment #4
Quote
Apr 30, 2014 1:38am Apr 30, 2014 1:38am

Exodus
Joined May 2012 | Status: CoC'd again ! | 4752 Comments

This is sensationalism. The FCA persuaded FXCM to give me the price of a nice meal out for two, and I closed my account with them years ago.

However this is much more interesting: LeapRate spoke to a senior executive within one of London's long-established institutional FX firms, who explained that "If so many people trading so much volume have been fired it probably explains why volumes and volatility are down so much."

Carbon-Dioxide: the gas of life!

Comment #5
Quote
Apr 30, 2014 3:48am Apr 30, 2014 3:48am

Taffy
| Joined Apr 2014 | Status: Member | 353 Comments

Quoting Pip Anon

Disliked

I don't think it's regulated anywhere. I believe it's only the brokers that are.

Ignored

Yep! This article is a bit of non-news, eh?

Comment #6
Quote
Apr 30, 2014 3:52am Apr 30, 2014 3:52am

Pip Anon
Joined Jan 2013 | Status: Trading defies logic | 1796 Comments

Quoting Taffy

Disliked

Yep! This article is a bit of non-news, eh?

Ignored

So is much in FF. Majority of articles were posted 12-24 hours previous to reaching FF thread. Sad.

When the facts change I change my mind, what do you do sir

Comment #7
Quote
Apr 30, 2014 4:42am Apr 30, 2014 4:42am

Gothamcity
| Joined Sep 2009 | Status: Member | 19 Comments

I read these news caiusei bored

Comment #8
Quote
May 2, 2014 2:50am May 2, 2014 2:50am

wlarimer
| Joined Jun 2010 | Status: Member | 910 Comments

"The revelation by FCA's Director of Enforcement yesterday that "Spot FX is not a regulated activity" alludes to the possibility that the UK does not offer the cast-iron customer protection that is afforded to its transatlantic counterparts."

Ha! The cast-iron protection, like MF Global or PFG? The cornflakes flat out traded and lost their client's accounts, illegally and one committed suicide from the shame while the other is vacationing on some sunny beach somewhere.

Story Stats

Posted: Apr 29, 2014 2:18pm
Submitted by:
Newsstand

Category: Forex Industry News

Comments: 8 / Views: 4,100