Saxo changing fill levels for SNB move

http://finanswatch.dk/Finansnyt/article7566686.ece

Saxo do not understand the customers who will sue
By MATHIAS BENCKE the facilitation
Posted 20:03:15 pm. 09:04
Director of Saxo Bank, Kim Fournais not understand the customers that heralds an action against the bank as a result of heavy losses on the Swiss franc.


Numerous customers have announced legal action against Saxo Bank after heavy losses on Swiss franc 15 January. It understands Saxo Bank, writes Berlingske Business.
The Swiss National Bank lifted its ties to the euro on January 15th, and alpine currency rose 30 percent. immediately. It gave great loss to some customers who had invested in the currency. Losses have in many cases triggered the stop / loss function associated with the account.This means that Saxo's systems will automatically close the positions.
But customers settlement rate was subsequently regulated by Saxo, so the losses in many cases greater than the agreed loss limit. Some customers have chosen to try the case in the judicial system to test whether Saxo now also had the right to amend the settlement prices. It understands Saxo Bank.
"It's a little difficult for us to fully understand that people will come and give us an action because they owe us a lot of money. It is clear that we are in any case willing to try to find decent and friendly solutions with customers, and we luckily found with a lot, and we're working on it. So it's hard to say how it's going to go, but we do our best to find decent and friendly solutions with all customers " says Kim Fournais Berlingske Business.

For people who are involved in Saxo Bank manipulating the trade records, please study this released today to find out areas that Saxo Bank misbehave.

This is a page in Bank of England but ECB has it too.

http://www.bankofengland.co.uk/publi.../2015/046.aspx

News Release - Global Preamble: Codes of best market practice and shared global principles
30 March 2015

Available as: http://www.bankofengland.co.uk/_layo...ages/pdf16.gifPDF
​The eight foreign exchange committees in the major financial centres are releasing today a revised Global Preamble: Codes of best market practice and shared global principles document, which was approved and endorsed by the eight committees at the annual global foreign exchange committees meeting, held in Tokyo on 23 March 2015, and which updates the original version published in 2013. This publication reflects our shared commitment to developing and promoting clear, robust, and implementable best practice guidance. Such guidance, accompanied by high standards of ethical behaviour, is critically important to a well-functioning global foreign exchange market.
These eight committees have worked together closely since the 2014 global foreign exchange committee meeting in Sydney to draft this revised document, which features more detailed, globally harmonised guidance. The document covers topics such as personal conduct, confidentiality and market conduct, and policies for execution practices and reflects a number of the Financial Stability Boards Foreign Exchange Benchmark recommendations.
The committees expect foreign exchange market participants to incorporate this guidance into their processes and control frameworks in a timely manner. The committees will continue to build on this global collaboration as they seek to promote adherence to best market practices and to help facilitate implementation of the Financial Stability Boards Foreign Exchange Benchmark recommendations.
The committees listed below collaborated in the drafting of the Global Preamble and in this statement.

Australian Foreign Exchange Committee
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifCanadian Foreign Exchange Committee
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifECBs Foreign Exchange Contact Group
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifHong Kong Treasury Markets Association
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifLondon Foreign Exchange Joint Standing Committee
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifNew York Foreign Exchange Committee
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifSingapore Foreign Exchange Market Committee
http://www.bankofengland.co.uk/_layo...ages/ichtm.gifTokyo Foreign Exchange Market Committee

The link in ECB: https://www.ecb.europa.eu/paym/group...SjsJhEgDDhrXUQ

The ECB link:
https://www.ecb.europa.eu/paym/group...132bc5dd0d13ee

How about FXpro:

http://www.forexfactory.com/showthre...43#post8188843

http://leaprate.com/2015/04/saxo-ban...in-march-2015/

http://uk.reuters.com/article/2015/0...0XB3M120150414

Saxo strengthens capital base with bonds and shares worth 77.5 mln euros
LONDON, APRIL 14

1. (Reuters) - Denmark's Saxo Bank, a global online trading firm, said it was expanding its capital base by issuing Tier-2 capital and fresh equity three months after it was left facing millions in losses when the Swiss National Bank removed its cap on the franc.

Saxo said it had strengthened its capital base by issuing convertible Tier 2 Notes for 46.25 million euros ($49.37 million) and new equity capital for 31.25 million euros.
"CarVal Investors, a leading global investment fund manager with more than $10 billion under management, became note owners when investing in the convertible Tier 2 and minority shareholders when subscribing shares equal to 2.5 percent of the share capital before this issue," Saxo said in a statement.
After the SNB removed the cap on the franc, Saxo had said it was facing potential losses of up to $107 million. That came after many of its customers ended up with insufficient margin collateral to cover their losses on positions in the franc.
A number of its customers have asked a Danish law firm to represent them in a potential class action lawsuit against Saxo.

http://www.reuters.com/article/2015/...0NB13220150420

Came across this link about Saxo during CHF move. Clearly someone is wronged or feeling wronged yet how much is true?

http://sbcug.yolasite.com/

Any updates of clients court suing Saxo? The Danish regulator was tracking Saxo for records about clients positions.

http://news.forexlive.com/!/saxo-ban...osses-20150522

http://www.bloomberg.com/news/articl...rrency-turmoil

As for the case, here is my Saxo Bank story :

Saxo bank is a big scam it will scam all its customers money out be careful traders

all have a nice day

http://fairreporters.net/economy/lar...olume-in-2015/

http://storage.saxobank.com/document...eport-2015.pdf

I have been involved in Forex Trading since 2004. Saxo 'Bank' has ALWAYS been at the forefront of shady practices. Once you open any financial account(any market), you are basically at the mercy of your broker. So why would anyone deposit money with a broker that is a proven thief? Even one instance of shady practice should render that broker insolvent in a very short time as 'investors' with even half a brain, close their accounts. P.T.Barnum was right!

From its General Business Terms, Saxo Bank has always been a market maker in its foreign exchange transactions:

"Market Maker" shall mean a professional participant in the financial markets who con-tinuously offers purchase and sale prices for a financial instrument in order to buy and sell respectively in the event of interested Clients. Being a Market Maker Saxo Bank is in relation to a transaction the Client's im-mediate counterpart.

"OTC" shall mean any Contract concerning a commodity, security, currency or other fi-nancial instrument or property, including any option, future, or CFD which is not traded on a regulated stock or commodity exchange but "over the counter" by Saxo Bank whether as a Market Maker as described in Clause 16 or otherwise;

16.2 The Client is specifically made aware that in certain markets, including the foreign exchange markets, OTC foreign exchange options and CFD Contracts, Saxo Bank may act as a Market Maker.

16.3 Saxo Bank will, upon the Client's written request, in general disclose to the Client whether Saxo Bank may act as a Market Maker in a certain in-strument.

16.4 When acting as a Market Maker, Saxo Bank will under normal market circumstances quote the Cli-ent bid and ask prices.

16.6 The Client understands and accepts that Saxo Bank acts as a Market Maker and, therefore it may be necessary for Saxo Bank to manage its available li-quidity by separating its clients into different liquid-ity pools where the pricing and available liquidity in each group may be independent of the other pools/groups. Liquidity separations can become rel-evant for clients whom, for example: have price agreements deviating from standard, use alternative trading tools (e.g. API), trade outside normal trad-ing hours, trade in odd sizes, make frequent use of resting orders that can require manual attention, frequently transact in multiple products and/or as-set classes, or have other similar features to their trading.

[Note: 16.6 actually relates to Saxo Bank offering different tiers of clients different bid / ask spreads: if you are a white-label partner of Saxo Bank, you will well know it.]

16.8 The Client accepts that Saxo Bank in such markets where Saxo Bank acts as Market Maker, may hold positions that are contrary to positions of the Cli-ent, resulting in potential conflicts of interest be-tween Saxo Bank and the Client, cf. Clause 18.

16.9 In markets, where Saxo Bank acts as a Market Maker, the Client accepts that Saxo Bank has no obligation to quote prices to clients at all times in any given market, nor to quote such prices to cli-ents with a specific maximum spread.

[Note: 16.9 says Saxo Bank has the choice not to quote anything, so if it quotes, the prices are what they are willing to trade]

16.10 In markets, where Saxo Bank acts as a Market Maker, Saxo Bank may or may not charge commis-sions. However, irrespective of whether or not Saxo Bank charges any commissions, the Client ac-cepts that Saxo Bank will seek to make additional profits out of its performance as a Market Maker and the size of any such profits may be considera-ble if and when compared with the Client's margin deposit.

[Note: 16.10 means Saxo Bank has the room to trade for larger P&L]

16.13 Any commission costs, interest charges, costs associated to and included in the spreads quoted by Saxo Bank as a Market Maker in certain mar-kets and other fees and charges will consequently influence the Client's trading result and will have a negative effect on the Client's trading perfor-mance compared to a situation if such commission costs, interest charges, costs associated to and in-cluded in the spreads did not apply.

16.14 Whilst dealing spreads and commissions are nor-mally considered moderate seen in relation to the value of the assets traded, such costs may be con-siderable when compared with the Client's margin deposit. As a consequence thereof the Client's margin deposit may be depleted by trading losses that the Client may incur and by the directly visible dealing costs such as commissions, interest charges and brokerage fees as well as the said not visible costs for the Client, caused by Saxo Bank's perfor-mance as a Market Maker.

16.16 The Client is specifically made aware that in the area of market making in foreign exchange, OTC foreign exchange options, CFD Contracts and other OTC products, significant implied costs can arise as a consequence of the profits made by Saxo Bank performing in its capacity as a Market Maker.

16.17 Saxo Bank's performance as a Market Maker may negatively affect the Client's Account with Saxo Bank and the said implied costs are neither directly visible nor directly quantifiable for the Client at any time.

16.18 Saxo Bank is at no time obliged to disclose any details of its performance or income produced as a Market Maker or otherwise related to other com-missions, charges and fees.

16.19 The Client is specifically made aware that CFD Contracts may be OTC products quoted by Saxo Bank whilst operating as a Market Maker and not traded on a recognized stock exchange. As a result, the description above of the implied, not visible costs related to Saxo Bank's performance as a Mar-ket Maker may also apply to any CFD Contract.

In Saxo Bank's Conflicts of Interest Policy,

2.1 Saxo Bank hereby identifies and discloses a range of circumstances which may give rise to a conflict of interest and potentially but not necessarily be detrimental to the interests of one or more clients. Such a conflict of interest may arise if Saxo Bank, or any person directly or indirectly controlled by Saxo Bank or a cli-ent, is likely to make a financial gain, or avoid a financial loss, at the expense of a client. Saxo Bank will manage conflicts of interest fairly.

2.2 Saxo Bank has identified the following circum- stances which may give rise to a conflict of in-terest:

A. Saxo Bank may provide advice to clients whose interests may be in conflict or competition with other clients’ interests;

B. Saxo Bank may have an interest that is contrary to clients’ transactions, e.g. when clients trade in markets where Saxo Bank acts as a market maker or when Saxo Bank wishes to invest in the same instrument as a client;

However, Saxo Bank does not have a policy of how to handle this conflicts of interest.

So Saxo Bank is confusing the public by labeling itself as an "agent". It is a "market maker" (and "principal"). Their excuse of "market liquidity" has nothing to do with clients. Clients don't pay Saxo Bank (via the bid / ask spread and trade commission) for a service as an agent. They trade with each other. So if Saxo Bank quotes and change the transaction price of an agreed and confirmed transaction, there is an obvious conflicts of interest.

Because of this conflicts of interest, based on "unfair contract terms" which have their variants in many countries, the other clauses that gives the right for changing or cancelling done deals have no legal power to enforce.

http://www.ft.com/fastft/394421/saxo...own-from-board

Lars Seier Christensen, one of the founders of Danish online trading company Saxo Bank, is stepping down from the board. Fellow co-founder Kim Fournais will stay on as the sole CEO.
Mr Seier Christensen will remain a shareholder after his departure at the end of this year, the bank said.
In a statement, Mr Seier Christensen said:
To step back into a different role has been a wish of mine for a considerable period and I believe now is the right time. I step down as co-CEO with a firm belief in future success for Saxo Bank, in which I also privately have an interest as a shareholder.
Saxo Bank sprang up 20 years ago, and has been active in the UK since 2006. It offers trading in products such as contracts for difference, stocks, futures and currencies.
In January, Saxo was one of several brokers caught up in the uncomfortable aftermath of the Swiss National Bank's decision to let the Swiss franc shoot higher, restating the rates given to some clients to avoid wearing ugly losses. Unlike some rivals, however, it stayed afloat.

The second part of "My Saxo Bank story" is now on Youtube.

You can find it here:


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