QuoteDislikedThe retail FX industry makes a killing on small accounts.
No they don't...50 bucks people are the scum that consumes the most technical support, bandwith etc
QuoteDislikedThis is the primary reason why FXCM created FXCM Micro, why ECNs began accepting mini- and micro-lots, why minimums keep going lower, etc.
Forex brokers have to do it because the competition is fierce. In order to survive if they like or not they have to do stuff like that.
QuoteDislikedSure they're not as profitable individually as larger accounts, but they're able to cater to an entirely new subset of the market. If a broker can add 25k more accounts at $500 each, that adds to the bottom-line quickly.
No it doesn't, they are pushing for this kind of laws so people will trade in pools or some other kind of institutions will emerge and take care of the costs while they pocket the spread in a account that will last longer and cost less