Discussion in 'Forex Brokers' started by Hittfeld, Jul 23, 2004.
Has anybody ever tried Dukascopy.com not for their free data but for trading as well?
I traded with them for a while with a mini account (you could open these at dukascopy.net). They seemed OK. Customer service was good (as opposed to horrible stories about weeks of waiting for a reply to an email). The problem is that I havent traded in the last 5 month. And now, I was considering opening a regular account, but I found some really disturbing info about a series of scams claiming "Swiss" origin, liquidity, regulation, etc. They are woryingly close to dukascopy slogans, some parts of their trading agreements seem copyied word by word from dukascopy site.
My big question is: has anybody here ever traded with dukascopy, then successfully whithdrew the money from them?
Also are there any current users of dukascopy.net accounts here? It seems that they are closing the trading bussiness, and doing only software development. What happens with existing accounts?
There were already some posts about them. I have never traded with them for the simple fact that I would never trust a company that has only 2 directors that may sign for the company. Guess what the shareholder capital of this limited company is? 100'000 CHF. This truly scares the sh** out of me. They are not regulated, if they go bust you have exactly these 100'000 CHF to cover all the customer accounts. That's what they mean with "under swiss legislation".
FXZurich, Just out of curiosity...
Do you care to elaborate on where you happened to get this information from? I had a quick search and can not find any reference to your claim.
what they mean by under swiss regulation is that they are so well hidden from the authorities that they sneak under the swiss regulations
Sure, every company in Switzerland needs to register to a central database where you can see the shareholder capital, when and where the company is founded and all informations regarding authorised signatures including changes etc.
I'm in Hedge Funds and we are used to do due diligence before we invest, that's why I wanted to check cause all of these Forex Companies seem to be a bit strange to me.
What bothers me most is that they are not a bank or a fund manager from a legal point of view. Their client accounts are not segregated from their business accounts. Their liability is restricted to 100k, so if they go bust, decide to shut-down or anything like this all the "clients" are f**ed. big time.
I might be a bit overcritical but believe me we've seen enough in the hedge fund world.
As was expected, Dukascopy.NET (the retail division) ended all their trading activity, and send me an email warning to close any open positions. They gave about one month to do so. I had two options - to liquidate the account and have my funds sent back, or to move my account to Dukascopy.com, the Swiss company. (.NET was incorporated in British Virgin Islands). The normal minimum account requirements are USD 25000 for Dukascopy.com. They were willing to give me significant discounts to that (up to USD 15000) , as I was an old client. I decided nevertheless to close my account. I have to admit they were very fair during all our business relationship, both while trading, and now, when I received the residual amount that was in my account. Personally I have no complaints.
Does any one use the bank guarantee account? I know it's for $1 million or more but it should be save for your own money.
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