Fxcm question and safety of our funds

I've been reading older threads on fxcm(canada) and cipf insurance and wondering if anyone had any information on this and whether our funds would be protected in case of fxcm bankruptcy. Is there anyway for our funds to be completely safe? Also on fxcm, I thought they were based in Canada but when you go to the site it states fxcm (UK). Are there two fxcms?

Hi Nelson7,

The address i can see on www.fxcm.com (Forex Capital Markets) is: Financial Square 32 Old Slip, 10th Floor, New York, NY 10005 USA. But the fact there i think is that they have offices in so many countries including Canada. You may go to their Contact Us page.

What i will like to know is how people from Nigeria succeed in opening a micro account with them because on their site i could see a restriction on nigerian traders.

Do remember that all funds (so claim by all brokers) are placed in separate/segragated bank accounts.

Do rmember that all of us traders are considered as "Investors". In the event of bankruptcy, Investors have the last priority over funds. Creditors have the highest priority, followed by Government, last is Investor. A broker could easily "borrow money from their own bogus lending institution", declare bankrupt, and siphon all the funds out "legally" leaving the investors (aka traders) high and dry!

Bottom Line: Segregated account dont mean nothing to your funds safety.
Trade at your own risk - and risk involves trading on the wrong broker.

FXCM has a large net worth so I would say you are safer then with most other spot forex brokers.

BurgerKing is right - anytime you deposit funds with a USA based spot forex broker you are at risk of losing them should they go into bankruptcy.