What is with New Zealand FX Brokers?

What is with New Zealand?

Can I ask what is with NZ and why brokers like to go there too?
I am seeing more and more new brokers setting shops in New Zealand.

Is NZ the new Cyprus/Belize - the Scam Haven?

I know at least 2 NZ brokers that are scams: caya & goldex-equities.

If you read the disclosure of this firm, for example:

http://www.divisafx.com/index.php?op...d=66&Itemid=84

"DC is a registered company with the New Zealand Companies office. DC is permitted to conduct the activities of offering clients the ability to trade in the Spot Foreign Exchange market but is not regulated for this activity."

It appears there is no regulation for fx-trading in NZ. Similar to switzerland, before they changed the law.

I see.. So that is the reason why these companies are setting shops there.

"NZ allows them to do business and let them do business as they wish!"

In short, better stay away from NZ brokers.

Although I would not call them scams here are another 2 NZ brokers you may not want to do business with:

LatitudeFX: Trade is disabled in fast markets

WSD Global Markets: They delete news trades at their will

Like you say, brokers do as they wish in NZ.

the biggest problem is ,WSD GLOBAL MARKETS mention that they are fully compliant and regulated by NZX . i hear they have not been paying clients for over a year.

i know of a few instances where clients are owed more than 3 mil USD and they keep going from pillar to post but no one reponds.

someone clients have made a video of the WSD dealing desk and how they CHEAT .

There are only 4 brokers that are regulated and the rest of them are operating SPOT FX with no license, The SEC is taking action against these people and a number of them have shut shot or will be made to register similar to NFA in the the US

Hi all
as long as 2 years i trade with Alpari NZ, and i should to say that they work fairly
yes, they don't regulated by financial authorities, but NZ jurisdiction is good enough for former ussr' clients, because there are no any forex regulating laws in this countries.
and i think they do not have credible rivals in this countries.
you may also ask me any questions about criteria to check this broker in practical point of view, because i am also interested in "check my broker" position...

The answer perhaps is
NZ gives them a good image at perhaps low cost - Western English Speaking, do no harm type of reputation
BUT I doubt if NZ laws protect consumer much

Sorry sir, you seem to be mistaken. NZ has a high degree on regulation and consumer protection.

it seems you are newzelander

and proud of your country

if so be very kind to provide any info possible to belgian trader

about Divisa

demo works great but what about reliability of this firm?

I am after forex scalping

big thanks in advance

Thanks for asking. I am a NZer and have spent the last 11 of the 25 yrs of my financial SVCs experience in NZ.

There are only 4 regulated brokers (regulated by the NZX)

WSD
IKON
OMF
Global

The last one is not active.

Apart from this, there a few brokers that are licensed by the NZ SEC directly but not a member of the NZX. This is not public. I am not aware of DIVISIA if they are regulated or not but you can ask them From looking at their website I would believe that they are not. Pls ask them and they should be able to tell you as I am wrong.

Finally, if they are not regulated DO NOT DEAL with anyone who is not as your client finds will not be protected.

Anything else please let me know

Marissa

This firm might not be regulated but other firms are regulayed so please find out before you put your money with anyone

Marissa

huge thanks!

warm handshake!

and if marissa25 is a lady thousand kisses to you!

my question was not about registration
rather about strenth of nz regulatory body
in other words if traders have leverage of law to apply pressure
if something goes wrong
and if fsp registration means some form of regulation(let it be just general control)
and if there is something more than mail box address
may be solidly looking and long time funcioning branch office
may be some positive local press reviews
and another important point
it is understandable that divisa as broker is just a branch for currency operations of californian financial group
but if its branch is registed in nz it must be known in business circles
how financially strong and reputable parent company is

be very kind make an inquiry for forum members
hope it will not be difficult for you
cos you are very knowlegible

it'll be highly valued no doubt

thanks in advance and lucky trading to you



Divisa Capital LP (“DCFX”) is an investment house incorporated in New Zealand under the Companies Act 1993 and registered with both the Financial Services Providers Register (FSPR) and Financial Services Complaints LTD (FSCL). DCFX offers spot foreign exchange trading to a diversified client base that ranges from financial institutions through to private individuals.

DCFX is headquartered in Auckland, New Zealand with service centers throughout the world. DCFX's strategic location in Auckland coincides with the opening of the first trading session of global financial markets; the seamless 24-hour Forex Market trades six days in a row until the day ends Friday evening New York.

At 5 PM Sunday, New York time, trading begins as markets open in Auckland, New Zealand , then Sydney and Singapore. At 7 PM the Tokyo market opens, followed by London at 2 AM, and finally New York at 8 AM.

Our support services are staffed by experienced, FX-knowledgeable business specialists, skilled in all DCFX products, and as a trusted partner, act as a neutral facilitator if discrepancies arise. All customers have phone and email support as well as access to DCFX’s online-ticketing and tracking system. In the event, a client dispute can not be resolved directly with Divisa, clients and partners can refer to Financial Services Complaints LTD (FSCL) for dispute resolution assistance. FSCL is staffed by experienced and professional dispute resolution experts and operates a modern Case Management System.

For more information about Divisa Capital LP, feel free to search our Financial Services Providers membership registration.

General details
NameIVISA CAPITAL LP
FSP number:FSP15201
Registration date:04/12/2010
FSP status:Registered
Trading names:Business Address:Suite B7, 400 Rosedale Road Albany
Annual confirmation filing Month:September

Divisa Capital Group, LLC (“DCG”) is a multi-line financial services holding company that owns, manages and/or is in the process of acquiring, various private financial services businesses in the brokerage, risk management and trading industries. Headquartered in San Diego, California; DCG and its subsidiaries are managed by a group of leaders in the financial industry.

DCG has designed a unique multi-faceted approach to the marketing and management of financial services products that generates more business and creates tremendous synergies between each of the financial services subsidiaries, allowing each division to grow more aggressively and efficiently than they might be able to by operating independently. This model appreciates the value proposition to the end-client as the group companies provide a one-stop shop for investment brokerage products in all asset classes.

DCG’s global independent affiliated subsidiaries primarily focus in offering turnkey Standalone and Private-label solutions to qualified financial institutions. These institutions include Banks, Securities Brokers, FX Brokers, Hedge Funds, etc. These turnkey solutions allow our clients to offer their customers sophisticated trading platforms covering US Securities, Futures, CFD’s and over 60 FX currency pairs. Our award winning technology can be easily integrated with existing treasury systems, risk management tools and other financial systems.

Dear Sir

Not clear on your query. The NZ regulation is very strong if infact a regulated company. As advised, I wasnt able to get whether DIVISIA is regulated or not and if your a client you should easily be able to ask them whether they have any kind of license etc.

FSP is not regulation, it is simply a dispute resolution mechanism.

However having said that the FMA - financial markets act will take over from May and all firms will be forced to be licensed under that act.

There are a lot of firm right now that operate in NO MAN's land and that could be the case for the firm that you are querying.

Marissa

what a news!!

during may nz brokers will have to lay their cards on the table!!!

extrimely thankful

you are that whom this saying is about

"friend in need....!"

with your permition i 'd like to post this on another forum

where one trader having live account just replied to my questions

with very important info but he barely began trading with divisa

lucky trading to you non stop!

yeah no problem, you can use this, but please dont misquote me as i dont intend to create problems for any specific brokers. However, what i said is true and can be tested and confirmed by the industry experts

Marissa

just copied and pasted

and without your nickname


'be glad to stay in touch

cos interested in divisa very much

((small spreads instante execution and not only on demo

but by the words of that trader live as well)

what is great for scalping

this is what i was lookin for

but it seemed too good to be true

and unease about reliabilyty of company lingered

and i did not know how to get clear answer

imgine how timely and important was your info about month of may


by the way

that trader digged out a surprise!

this broker exists more than decade!

(that is why i asked permition to send him this info

he has live account and his detailed questions to stuff

can not be easily brushed aside

by this i hope to get deeper understanding for myself


i remain always at your servise

and if some questions about upcoming reinforcement

of nz financial legislation to appear allow me to disturb you again


shake your hand and if you are lady kiss it then

and wish luck in trading

ok no problem, anytime

marissa

ever thought English might not be their first language, genius?

scfx

Guys, it was a spelling mistake. Error!!! and I dont need english lessons or geography lessons from you geniuses either.

thanks

Marissa