FCA FX/CFD Rules Questionnaire

http://www.leaprate.com/fca-rules-questionnaire/


LeapRate is gathering the viewpoints of clients at leading UK online brokerages on the new rules for Forex and CFD trading proposed by the FCA.
We will be presenting the individual viewpoints, as well as summary results, to the FCA prior to the March 7th, 2017 deadline for comment on their proposals.
Make sure that your voice is heard!

yes, and also as a reminder to all UK clients, to fill out the online response form from the FCA, against the new leverage proposals...

It will only take 10 minutes...

completed the Leap rate questionnaire.

Although I have strong feelings about the consultation and any proposed changes to policy, I shall not be filling in the Leaprate questionnaire as it is very poorly worded. The FCA is rightly trying to distinguish between those who are new to these products and those with more experience. Simply asking whether the proposed changes to leverage are a good / bad idea fails to take this important point into account.

Leaprate has only had 160 questionnaires completed since December...not good

UK retail traders need to get involved...

Fill out the FCA response form too...

https://www.fca.org.uk/publications/...retail-clients

Their proposed experience criteria are all wrong. They just want to count frequent trading as experience, but according to their own document, "Our research suggests that inexperienced retail clients lose less money than experienced clients due to the lower number and volume of trades". So "inexperienced"/infrequent traders really don't need any additional protection.

Edit:
I put this in my response on that:

Q5: Do you agree with the proposal to adopt different leverage limits for inexperienced and experienced retail clients?
No, I have several objections.
1) I don't believe you can set a practical objective test for this. The proposed test is merely a measure of trading frequency which has no relation to experience. Your own research indicates that by the proposed measure, "inexperienced" (i.e. infrequent) traders lose less, so there is really no need for this proposal on that basis.
2) It is already hard enough to open an account. We can do without needing to have an audit of one's trading history every time.
3) I think this measure would give no benefit. It may even encourage inexperienced clients to make larger account deposits and end up risking more money.
4) Clients are consenting adults and don't need to be treated like children. CFDs are not complex and can be fully understood in a few minutes. 12 months of "training wheels" is ridiculous.