DislikedHi FXCM I have accounts with both OANDA and FXCM. Got an email from OANDA saying due to the new ESMA regulations Negative Balance Protection - Negative balance protection on a per account basis, limiting clients’ aggregate liability for all trades connected to an account to the funds available on that account. Margin Closeout Per Account Rule - As per the current arrangements, margin closeout will occur when the sum of funds in your account and the unrealised net profits and losses of all open trades connected to that same account, fall to less...Ignored
Yes, the new ESMA regulations introduce rules on negative balance protections. The FAQ from ESMA on the negative balance protection as well as other changes such as leverage can be found here. We're in the process of updating our terms of business to comply with the new ESMA regulations, and you'll be notified when the terms of business are updated. From what I have heard, we anticipate regulators will set the date for implementation sometime in late summer.
Until then, we currently have a negative balance policy in which we agree to waive up to $50,000 USD of any debit balance except for certain circumstances outlined in 27.3 of our terms of business.