News broke Friday. Kind of surprising it hasn't beem mentioned here yet. http://biz.yahoo.com/prnews/060630/laf040.html?.v=57
I guess they did not like FXCM...what do they care? We are pleased to be able to offer Refco FX clients the ability to recover up to 100 percent of their assets
Refco FX customers should be relieved to know their money is recoverable. What does FXCM or RefcoFX care, Electric?
My point exactley...just the speedy path to a discharged BK...seems in order... the secured creditors can go f&*% themself...and the house that takes this over can get some more volume.
Why? its a no-brainer... The longer this goes the less valuable this book is and brings less in the Auction...F&*^ the NFA and FCM status and all that bullcrap.. "We are pleased to be able to offer Refco FX clients the ability to recover up to 100 percent of their assets and at the same time to trade forex with a regulated firm," said GAIN's Chief Executive Officer Mark Galant. GAIN Capital Group and FOREX.com are registered with the National Futures Association (NFA) as a Futures Commission Merchant (NFA ID #0339826).
They haven't given any details but I will take a guess what will happen using me as an example: $700.00 RefcoFX balance. Gain takes over my account at $0.00, I will have to fund it. I can get 25% ($175.00) every six months of my RefcoFX balance by trading for two years with Gain. Every EUR/USD 10k trade is worth 1 pip ($10.00) credit, or a 2 pip spread instead of 3. I will have to make 18 such trades every six months, any short fall can't be carried over to the next six month period. No credit after 18 trades in each six month period.
Looks like Gain will deposit $150 into all accounts with a balances of more than $150.00. I wonder if that's per account or account holder. For low account balances this seems like a good deal.
Unfortunately, when you read the details of that offer, it's not the secured's that are getting screwed, it's us, the unsecureds, the RefcoFX Account Holders. If you're interersted in finding out more, and especially if you're a RefcoFX Customer about to file a POC (proof of claim), please visit here: http://www.refcofxaccountholders.com