Here are the parts of the risk statement that expose the type of broker they are. BOLD text contains the important info. Off Exchange = on line video game that they wrote and control. You are playing against the programmers of this game. They have the ability to alter the program as you play. There is very little regulation for off exchange trading. ________________________________________________ Citi as Principal. Citi acts as the counterparty to all foreign currency contracts executed through CitiFX Pro. Citi is not required to continue to make markets in foreign currency and may refuse to accept any order for any or no reason[b/], including but not limited to the failure of a counterparty to have sufficient funds maintained with Citi to margin the position, market volatility and liquidity in the related interbank foreign currency market. In particular, during periods of market volatility, it may be difficult or impossible to liquidate an existing position, to assess the value of open positions, to determine a fair price or to assess the exposure to risk. For these reasons, transactions in foreign currency involve increased risks. No Guarantee of Payment. Foreign currency trading with Citi is not conducted on a regulated market or exchange. There is no clearinghouse and no guarantee by any other party of Citiâs payment obligations to you. You must look only to Citi for performance on all foreign currency contracts in your Account and for return of any margin. The insolvency of Citi or a default by Citi could cause you to lose the value of your Account and to suffer additional losses from open positions. Citi is not an Adviser or a Fiduciary. Citi, in its sole discretion, may make available market information and/or market color via CitiFX Pro. Any such market information or market color does not constitute an offer to buy or sell, or the solicitation of an offer to buy or sell, any foreign currency contracts, nor is it intended to be advice or a recommendation of any kind. Each decision by you to enter into a foreign currency contract with Citi and each decision whether a foreign currency contract is appropriate or proper for you is an independent decision by you. Citi is not acting as an adviser or serving as a fiduciary to you. You should obtain advice from your tax, financial, legal, and other advisors and only make trading decisions on the basis of your own objectives, experiences, evaluation, and resources. You agree that Citi has no fiduciary duty to you and no liability in connection therewith and is not responsible for any liabilities, claims, losses, damages, costs and expenses, including attorneysâ fees, incurred in connection with your use of market information or market color provided by Citi. If you receive research, market information, or any form of advice from Citi or any of its affiliates through means other than CitiFX Pro, it should not form the basis of your trading decisions implemented on or through CitiFX Pro. Conflicts. You should assume that Citi may trade as a principal in foreign currencies and related financial instruments in various markets. Citi and its employees who trade foreign currency may have access to information that is not available to you, may have acquired trading positions at prices that are not available to you, and may have interests different from or adverse to your interests. In providing you with access to CitiFX Pro and entering into transactions with you, Citi and its employees do not undertake any obligation to provide you with market or other information they may possess, or to alter or refrain from their own trading
Stop spamming the forum, please. If you wish to post ONE legal disclaimer thread, that's fine. But don't clog up the forum with tons of like threads.
Why? Seems like good searchable information. These terms are controlling but T&C's are often ignored or just clicked through. Let the points be made loud and clear for those who ot to read.
I didn't mean to spam. My only intention was to provide answers to the questions that keep being asked. I did reply to some within a thread- but no one else will see them. Look in the thread "Ducascopy" for Capital Gains risk statement- its one of the worse! My only goal is to protect people from getting ripped off like I nearly was- I almost signed up with CMS- till I really read the contract. I can't help but think that most people never read the risk statement or they would never have opened an account. Can anyone tell me why I shouldn't use FXCM? (active trader system) I do well on their test account. Is it set up to make you think your good? I'm up 32k on a 100k test account since signing up for it 5 hours ago. (one loss) I plan on opening an account with 100k.
FYI: Check the paper account transactions. Many demo systems buy at bid and sell for ask in their simulators or use the last trade price to trigger fills. These results will be unrealistic in real life scalping.