Proposed NFA Capital Requirement

Discussion in 'Forex Brokers' started by forexsavior, Jun 28, 2007.

  1. ssss

    ssss

    Hotspot $7,700,000
    ######################

    Knew not policy of management of NITE ,but public noted
    NITE have enough money to support she's 100 % affiliate
    hotspotfx . If they would wish ,money would not the problem

    You can check 10-k from NITE by edgar www.sec.gov


    Your respectfully
     
    #491     May 25, 2008
  2. BigGun

    BigGun

    Again, simply having enough money to meet caps doesn’t necessarily qualify a any firm to become a “FX dealers”, in light of this new laws theirs a lot more hurtles FX firms face now, once the CFTC publishes the new “FX dealers” guidelines will all know who’s in and who’s out.

    I still stand behind my provisos predictions “the firm would need to have a suitable amount of futures /banking business to qualify. In fact some of the biggest firms are partnering up with futures/banks for this very resion.
     
    #492     May 26, 2008
  3. ssss

    ssss

    ###############

    NITE(hotspotfx) have

    http://www.knight.com/

    Our subsidiaries include:

    Direct Trading Institutional
    Hotspot FX
    Knight Capital Markets
    Knight Equity Markets
    Knight Equity Markets International
    Knight BondPoint


    http://www.knight.com/AboutKnight/index.asp
     
    #493     May 26, 2008
  4. China Raids Northfinance and GFX Group

    One of the fastest growing markets for retail fx trading is in China . The only problem for forex dealers is that currency trading in China is illegal. The Chinese Government routinely rounds up underground forex dealers and introducing brokers but just as with the old prohibition laws the trading public seems to just ignore their communist masters and keep on drinking that moonshine.

    But currency bootleggers beware: if you get caught you may wind up in a stank Chinese prison sewing sneakers together for Nike or stitching hula shirts together for Wal*Mart.

    Such are the fates now of dozens of former introducing brokers for Northfinance and Forex.CH after a series of raids in mainland China .

    Of course, no one should be surprised that Northfinance has once again gotten into legal trouble. They have long been an industry rogue and their recent purchase by FX Pro has done little to rein them in. But this does not bode well for Forex.CH, which is a Swiss based broker already reeling from the new banking laws in Switzerland that may put them out of business. It is going to be a lot harder for them to meet Swiss capital requirements now that their boys in China have been pinched:

    http://forex.hexun.com/2008-05-12/105899725.html
    http://news.sina.com.cn/s/l/2008-05-22/040415591165.shtml

    Since most people can’t read Chinese I’ll summarize below:
    As I said before, China doesn’t play around. If they’re lucky these agents will be sent to a prison factory to spray lead paint on cheap Hannah Montana dolls but if they’re unlucky, well… take a read through Alexander Solzhenitsyn’s Gulag Archipelago and you’ll get the picture.

    Now, knowing the manner that companies like GFX and Northfinance do business and knowing that they have been unregulated for many years why on earth would anyone open an account with such an outfit?
     
    #494     May 28, 2008
  5. Bankruptcy Blues

    Having a rough day trading? Well, things could always be worse. You could have an account at one of the bankrupt forex firms described below. Perhaps the worst thing about having an account locked up in bankruptcy is the uncertainty and the legalese that gets spit in your face by court ordered receivers, (although in the case of Aleccoh FX all you get is some ass clown appearing once a month on a bulletin board hiding behind a mug shot of George Soros.)

    Here is the latest correspondence from the court appointed receiver at FXLQ:

    There is a lot of hedging in those three paragraphs. A lot of “if’s, should’s, unexpected’s, may’s, and hope’s” tossed in, which makes it far more likely that the customers stuck at FXLQ aren’t going to get all of their money back.

    Of course his Holiness, Aleccoh FX, can’t be bothered to communicate in such a professional manner. He continues to hide behind a .jpg of George Soros and in his latest bloviation to the masses states: http://www.forex-tsd.com/212268-post1815.html
    Such is life in the world of the undercapitalized. Let’s hope the new laws in the U.S. and Switzerland close the book on these all too common “bankruptcies.”
     
    #495     May 30, 2008
  6. "Goodspeed", eh? Good speed to South America?
     
    #496     May 30, 2008
  7. Aboushi

    Aboushi

    It doesn't take a rocket scientist to figure out the solution. There should of been a mathematical formula that decides the size of your adjusted net capital, not a set minimum. This was done to allow a few brokers the most amount of clients. (MONOPOLY)

    The loser here is us(the trader) who now have very few brokers to choose from.

    thnx NFA
     
    #497     Jun 2, 2008
  8. The Caveman Forex Challenge

    My recent post questioning the validity of Caveman forex’s signals stirred up a chest thumping response from the Cro-Magnon community and like the cavemen from those Geico commercials they are up in arms over the stereotypes the Savior heaped upon them.

    Therefore, the Savior has agreed to give the Cavemen a chance to defend their honor. I hereby am announcing “The Caveman Forex Challenge.”

    Every Wednesday between 8-9pm Eastern Standard Time Caveman Forex posts a free trade off their signals:
    http://www.cavemanforex.com/WednesdaysFreeForexPicks.html

    The Savior will be placing these trades on his own Hotspot demo account to test the validity of the signals and the Savior will report the outcome of the trade the following day. The Savior will do this for several months (let’s say three) and then officially give Caveman Forex either the Thumbs UP or Thumbs Down sign.

    Alright you homo erecti, the whole trading community is watching you now. I’m giving you guys more publicity than you have ever had before so this is your big chance or else it’s back to caveman’s crib for you!

    http://www.youtube.com/watch?v=8QlG2Nmp8og
     
    #498     Jun 3, 2008


  9. Agreed… a level playing field is all we ask.

    We can either do it with Wednesdays over the next 3 months or every day for the next 3 weeks. It’s all the same… your choice.

    You had us scratching our collective uni-brows with your delayed response so with the interest of putting this to bed in a timely manner, we sent the last two trading days signals “prior to the market” to Sweet Pip.

    We felt her post #262 on 5/30/08 over at babypips.com indicated to us and everyone watching that she was a person with integrity who does the proper due diligence and was certainly on the skeptical side.

    The last 2 days results can be seen at http://www.cavemanforex.com/cavemanchallenge.html

    Now for those of you reading this, who think this is a contradiction regarding our feelings on posting past results, re-read the above paragraph. The 2 emails Sweet Pip received from us with the past 2 days signals are time stamped and were sent, we repeat “prior to the market”. I’m sure she will post them for verification if needed.

    The above link is password protected. The password is “truth”.

    Mr. Savior, if you choose to go Daily vs. Wednesdays, than this will be for your eyes only and the password will be changed as soon as you let us know where to email you the new one.

    The signals for the following day will be posted there by 9:00 PM Eastern.

    We thank you in advance for informing all who are watching on your various forex travels.

    Btw … re: cavemancrib… those guys are just actors... real cavemen wear Birkenstocks.

    Sincerely,
    Cavemanforex.com
     
    #499     Jun 3, 2008
  10. The Forex Man in the Mirror

    The here has been a lot of pissing and moaning about the new law requiring forex dealers to have $20 million in adjusted net capital to stay in business.

    Yet very few of the firms now affected by the law seem to have done much to stop it or modify it. At some point you have got to take responsibility for your own business. Everyone in the industry knew about this law. Yet where were the company press releases? Where was the organized lobbying? As Bob Dole once said "where's the outrage?!"

    No. Instead you could hear the crickets chirping in the forex industry. Everyone acted as if nothing was going on. The response from smaller brokers seemed to be "maybe if we're real quiet they'll leave us alone." If Washington only hears the NFA's side of the story well then that is who they are going to believe.

    If you want to blame someone for the passage of this law, blame the Forex Dealer in the mirror.

    "Forex Dealer In The Mirror"

    I'm Gonna Make A Change
    For Once In My Life
    It's Gonna Feel Real Good
    Gonna Make A Difference
    Gonna Make It Right . . .

    As I, Turn Up The Collar On
    My Favourite Winter Coat
    This Wind Is Blowin' My Mind
    I See These Forex Dealers In The Street
    With Not Enough To Capital to Meet
    Who Am I, To Be Blind?
    Pretending Not To See Their Needs

    A Summer's Disregard
    An unregulated IB shop
    And A One Money Manager’s Soul
    They Follow Each Other On
    The Wind Ya' Know
    'Cause They Got Nowhere To Go
    That's Why I Want You To Know

    I'm Starting With The Forex Dealer In The Mirror
    I'm Asking Him To Change His Ways
    And No Message Could Have Been Any Clearer
    If You Wanna Make The Forex World
    A More Competitive Place
    Take A Look At Yourself
    And Then Make A Change

    (Na Na Na, Na Na Na, Na Na,
    Na Nah)

    Forex Dealers Been A Victim Of
    A Selfish Kind of Love
    It's Time That They Realize
    That There Are Some with No
    Adjusted Net Capital
    Not A Nickel To Loan
    Could It Be Really Me,
    Pretending That They're Not Alone?

    A Willow Deeply Scarred,
    Some trader's Broken Heart
    And A Washed-Out Dream

    They Follow The Pattern Of
    The Charts, Ya' See
    Cause They Got No Place To Be
    That's Why I'm Starting With Me!
     
    #500     Jun 5, 2008