Following my long search I have finally found a broker that seems to tick all the boxes. Regulated in Malta, segregation of client funds, covered by investor compensation scheme, acting as an agent, not counterparty (it is clearly stated in customer agreement), low spreads and commissions. You can even keep your money in a custodial bank account in your own name if you deposit enough. Is it my impression or did the forex industry really change in recent years and now is superior to currency futures? You can be very granular with your position size, get lower trading costs, your trades are more anonymous than at the exchange and you are not subject to CME rules - and any monopoly is a bad thing in my opinion.
Currency futures has all along been better than spot forex due to their volume. I don't trust spot forex volume. My charts are all volume based (not time based). so trading spot forex is totally out for me.
I don't know about all of that. I still don't like the bucketshop nature of Forex and how brokers can cheat if they see fit. At least with currency futures, we're all looking at the same price data. With Forex brokers, the price is whatever the broker says.
I did not want to name it first for respect of advertising rules on this forum but since you asked... It is called Tier1FX. Trading with them essentially means trading with Advanced Markets Ltd and they trade with UBS, State Street and many other reputable names. Just go to Hogg Investment website and view their Disclosure Document to see for yourself the execution venues. The fact that this broker does not engage in heavy marketing is another plus. No flashy bonuses, deposits with crypto, etc. Just appears serious and professional in every aspect. They did not want to share their financial statement though, but in honesty they do not have to.
Not always. The CME is more like a utility which is a "Natural Monopoly". I think all other futures exchanges should go away but a little competition is good. Forex brokers play a lot of games.
Yes, to some extent, but not all of them, thanks God. In fact, if you win consistently and trade big enough your Forex broker will "leave you alone" and start copying your trades...
For most of us, zero reason. If one is trading massive size to the point of gaining attention, I would say trade futures. If you are an extremely experienced currency trader you want to trade spot for the pairs available. Even if you are trading a decent amount, I imagine most brokers have liquidity providers and market makers, so the brokerage does not have anything to lose, only gains from commission and spread. It would take someone working at the brokerage looking over the trades of successful traders (which I hope would be illegal, but a higher up could probably access). In conclusion, you either want to fade into the back ground using futures or take the risk of being spotted for the sake of more pairs using spot.
You should also compare Tenkofx, I've seen similar attributes to what you have mentioned. Also, I think the broker has existed longer, no heavy promotions or bonuses. Only focus on providing good trading conditions to serious traders.