Brokers who have been shut down already... | Forex Factory

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Brokers who have been shut down already...

  • #1
  • First Post: Jan 11, 2008 1:31pm Jan 11, 2008 1:31pm
Not sure if any of you have seen this info yet: http://www.nfa.futures.org/news/news...cleID=2054This looks like just the beginning.
  • #2
  • Jan 11, 2008 1:37pm Jan 11, 2008 1:37pm
I get an error when I try to access that page.
  • #3
  • Jan 11, 2008 2:01pm Jan 11, 2008 2:01pm
Here's the correct link

http://www.nfa.futures.org/news/news...ArticleID=2054
  • #4
  • Jan 11, 2008 2:02pm Jan 11, 2008 2:02pm
http://www.nfa.futures.org/news/news...ArticleID=2054 This should work...
  • #5
  • Jan 11, 2008 2:56pm Jan 11, 2008 2:56pm
Quoting ForexTraderMan
http://www.nfa.futures.org/news/news...ArticleID=2054 This should work...
Any word on the name of the firms?
  • #6
  • Jan 11, 2008 3:22pm Jan 11, 2008 3:22pm
I don\'t know. I find it strange they don\'t name the firms since they are usually very open about naming everyone. I think we could probably piece different bits of info together and come up with a list of the 10 which are no longer open. Anyone else have suggestions? Either way it shows the NFA is serious about this stuff and they want to make the minimum $20 million soon(-ish). If nothing else I feel like anyone with a broker who might be at risk should probably move their funds somewhere else themselves before the NFA decides for you.
  • #7
  • Edited 3:55pm Jan 11, 2008 3:43pm | Edited 3:55pm
Now you’re catching on, it’s been posted plenty of time for those still in FX FCM’s to get the picture, the closures only just begun. You will be hard pressed to find any sol FX FCM permitted to operate here in the USA after next quarter. Of course theirs the nay Sayers out there, “Well our firm is well above the caps, so we are safe” the truth is; it doesn’t mater how much they have in cap any longer, CFTC is cleaning house. If your with a firm who isn’t a bank or well established future firm you better lighten your allocations the big surprises are right around the Conner.
  • #8
  • Jan 12, 2008 12:32am Jan 12, 2008 12:32am
Read the whole thing guys...................


For Immediate Release

For more information contact:
Karen Wuertz (312) 781-1335, [email protected]
Larry Dyekman (312) 781-1372, [email protected]

NFA reports four forex firms have ceased operations in light of increased capital requirements

January 11, Chicago - National Futures Association (NFA) announced today that four of its Forex Dealer Members (FDMs) have ceased operations as a result of NFA's new $5 million capital requirement, which became effective on December 21. In addition, six additional FDMs have ceased operating since September 1, 2007.

"When NFA's Board of Directors adopted the increased capital requirement on August 15, 2007, NFA had 34 registered FDMs," said Regina Thoele, vice-president of Compliance. "As of December 31, 2007, that number has decreased to 24."

The four firms that were unable to meet the new capital requirement and ceased operating transferred their customer accounts to other FDMs.

"We closely monitored each of the firms to ensure that customer funds were transferred to another, fully-capitalized firm," says Thoele.

NFA is the premier independent provider of innovative and efficient regulatory programs that safeguard the integrity of the derivatives markets.
Same Whore .... Different Dress
  • #9
  • Jan 12, 2008 11:29am Jan 12, 2008 11:29am
these are the few retail forex brokers that look strong for the future.

oanda
fxcm
gft
gain/forex.com
interbankfx
fxsol

the brokers you see above have about 90% of retail forex clients.
If I Go Broke Trying Then I Will die happy.
  • #10
  • Jan 12, 2008 5:01pm Jan 12, 2008 5:01pm
Quoting johnedoe
Read the whole thing guys...................

"We closely monitored each of the firms to ensure that customer funds were transferred to another, fully-capitalized firm," says Thoele.

The NFA will not and cannot assure you and me that the next firm to be shut down will transfer funds so smoothly. Nor can anybody else. These four firms' clients are very lucky to have their money safely transferred to a more established broker. Next time, who knows - traders may not get so lucky.
Constant vigilance!


[Not that there's too much to do about this, except make sure your broker meets capital requirements, etc. - but just don't count on NFA to automatically bail you out safely...]
  • #11
  • Jan 12, 2008 5:18pm Jan 12, 2008 5:18pm
Quoting Moe
these are the few retail forex brokers that look strong for the future.

oanda
fxcm
gft
gain/forex.com
interbankfx
fxsol

the brokers you see above have about 90% of retail forex clients.
Are these just the ones above 20 mill? There's a couple more then...
  • #12
  • Jan 13, 2008 4:18am Jan 13, 2008 4:18am
The following are probably some of the brokers referred by the NFA:
http://www.sncfx.com/
http://www.directforex.com/
http://www.sgfs.us/
www.1world-forex.com

Notice they either don't exist any more or "Under Construction". They all have much less than $5 mill in the report.
  • #13
  • Jan 13, 2008 4:24am Jan 13, 2008 4:24am
Quoting Moe
these are the few retail forex brokers that look strong for the future.

oanda
fxcm
gft
gain/forex.com
interbankfx
fxsol

the brokers you see above have about 90% of retail forex clients.
How did you get to 90% of the market??? Maybe in the U.S. only. Don't forget Saxo, Alpari (Russia), Gaitame (Japan) with 130,000 clients... and more.
  • #14
  • Jan 13, 2008 5:16am Jan 13, 2008 5:16am
Quoting forexfun
Are these just the ones above 20 mill? There's a couple more then...
put them on the list
If I Go Broke Trying Then I Will die happy.
  • #15
  • Jan 13, 2008 5:17am Jan 13, 2008 5:17am
Quoting Currencyo
How did you get to 90% of the market??? Maybe in the U.S. only. Don't forget Saxo, Alpari (Russia), Gaitame (Japan) with 130,000 clients... and more.
u.s. market and remember im talking retail traders and brokers.
If I Go Broke Trying Then I Will die happy.
  • #16
  • Jan 13, 2008 6:19am Jan 13, 2008 6:19am
Only 5.000.000,00$ requirement.
I know a dozen of individuals with more money than that.
Always thought a forex broker would have at least 50-100 mio in capital.
  • #17
  • Jan 13, 2008 11:05am Jan 13, 2008 11:05am
Quoting Moe
put them on the list
itradefx is at 23 million, I thought ifx was at 20 mill, but I see they're at 17 mill.
  • #18
  • Jan 13, 2008 11:07am Jan 13, 2008 11:07am
Quoting Currencyo
The following are probably some of the brokers referred by the NFA:
http://www.sncfx.com/
http://www.directforex.com/
http://www.sgfs.us/
www.1world-forex.com

Notice they either don't exist any more or "Under Construction". They all have much less than $5 mill in the report.
One World should be dead, at least as far as the NFA is indicating.. A lot of their clients have been fleeing to other brokerages, from posts that I read.
  • #19
  • Last Post: Jan 13, 2008 3:19pm Jan 13, 2008 3:19pm
http://www.cftc.gov/files/tm/fcm/fcmdata1107.pdf
If I Go Broke Trying Then I Will die happy.
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