Rosenthal Collins Buys MG Financial The Great consolidation continues. Today RCG announced that they have bought out Money Garden: http://www.chicagotribune.com/business/chicago-rosenthal-collins-mg-oct15,0,5693946.story Money Garden clearly could not survive on its own judging from their latest net capital number which is barely above $5 million. Expect more such buyouts in the next 12 months as the field winnows.
August Net Capital Report With the world financial system in chaos itâs never been more important to trade with a well capitalized firm. The CFTC has just released their latest net capital figures. Not a lot of changes from the last one. Only difference is that U.S. forex dealers have 30 fewer days to make it to the coming $20 million capital requirement deadline. http://www.cftc.gov/marketreports/financialdataforfcms/index.htm The following firms have net capital below $10 million MG Financial $5,393,000 Advanced Markets $6,786,000 Forex Club $7,558,000 Friedberg Mercantile $8,147,000 ACM $8,372,000 Ikon $9,544,000 Easy Forex $9,824,000 Hotspot $9,942,000 Not much change in capital for Advanced Markets, Forex Club and ACM. Swiss broker ACM still appears to be charging the proverbial machine gun nest with a butter knife. Is this firm really going to be able to put up $20 million in the coming months? Did they even know about this capital increase before they parachuted into the U.S. market? Weâll find out soon enough. The following firms have net capital below $20 million GFS Forex $11,451,000 MB Trading $12,767,000 ODL $14,870,000 I Trade FX $14,952,000 Alpari $15,786,000 IFX $18,623,000 FX Solutions $19,574,000 The following firms have net capital above $20 million CMS Forex $20,199,000 PFG $21,345,000 Interbank FX $36,505,000 Gain Capital $67,906,000 GFT Forex $73,219,000 FXCM $91,840,000 Oanda $165,458,000 As always conduct your due diligence and make sure the firm you are trading with will be able to comply with the new law going into effect in the weeks and months ahead.
Dead Pool Alert The NFA has come out with a statement that reads as follows: http://www.nfa.futures.org/news/newsNotice.asp?ArticleID=2198 The deadline to meet the new capital requirement is this Friday. The most up to date CFTC net capital statement shows the following firms with capital below the $10,000,000 requirement. http://www.cftc.gov/marketreports/financialdataforfcms/index.htm MG Financial $5,393,000 Advanced Markets $6,786,000 Forex Club $7,558,000 Friedberg Mercantile $8,147,000 ACM $8,372,000 Ikon $9,544,000 Easy Forex $9,824,000 Hotspot $9,942,000 If you have an account with any of these firms contact them immediately to ensure that they will be able to comply with the new capital requirement this week. Some such as MG Financial and Hotspot have larger parent companies. But most do not. In this day and age safety of funds should be every traderâs top priority. Make sure your funds are safe.
Scandal at SNC Last year forex dealer SNC Investments sold off its forex business because they were unable to meet the NFAâs $5 million capital requirement. But it appears that they stayed in business as a Futures Commission Merchant and Money Manager. They are in business no more. Letâs roll the tape from the NFA complaint⦠http://www.nfa.futures.org/news/newsRel.asp?ArticleID=2201 Gotta love these CEOâs who just cut and run the moment everything goes pear shaped. I can picture Peter Son now, dressed up in drag like Jefferson Davis trying to escape the Union Army after the surrender of the Confederacy. Another forex fugitive gallops off in the dead of night⦠Well if you mismanaged $70 million youâd probably turn your cell phone off too. Better yet youâd probably have hurled it into the East River on your way to Macyâs to get fitted for that wig and frock⦠Left a note on the door? Oh brother talk about closing the barn door after the horses have bolted⦠What could the note have possibly said? âUh, Hello? You think you could let us regulators know what happened to that $70 million you had under management? Hope to hear from you. Warmest Regards, NFA.â There is always someone that gets left holding the bag in a stick-up. And Young Choi appears to be said bagman. Left behind to clean up Peter Sonâs mess poor Young Choi must be ruing the day he ever joined SNC Investments. The implosion of SNC is yet another lesson in the perils of sending money to poorly capitalized firms. There is no way of telling how many small firms are tottering on the brink of financial ruin in the wake of the global credit crisis that has wiped out billions of dollars in wealth. As always, conduct your due diligence and beware poorly capitalized firms like the late SNC Investments.
forexsavior In light of all the recent US banking / brokers / regulatory issues, donât you think this thread be changed to: âAre your funds in US brokers/bank under the US regulatory agenciesâ safe/secureâ !!!????? the US banking / brokers / regulatory reatings have droped to some of the lowest safety levels one could imagined!! US is no way the the safe place to send your $$ http://www.guardian.co.uk/business/feedarticle/7941879 Also Why not start a new list with âSafe none US firmsâ ?? after all thease forums you so dilegenacee post in are for a global tradering comminty why None US firms.
not yet. they're still tracking down old firms like snc who were supposed to be out of business a year ago
GFS Forex Suspended in Dubai Forex Dealer Dead Pool member GFS Forex has run into a bit of trouble in the Middle East. Their Dubai office was recently shut down by regulators and they were hit with $500,000 in fines and plaintiff compensation. It wasnât always this way for GFS. Back in 2007 this âleader in the online global foreign exchange and futures marketâ was trumpeting its new office with the usual public relations talking points as seen in this article (with accompanying photograph of glad handing executives): http://www.ameinfo.com/127185.html Integrity eh? Letâs see how accurate that claim turned out to be: http://www.business24-7.ae/articles/2008/9/pages/09082008_fc2ef83f016143b1b76cf6dbc0a4fa3f.aspx Well when you are $10,000,000 below the $20,000,000 capital requirement scheduled to kick in next spring youâd try to âmaximiseâ your commissions too. GFS has a long, hard slog in front of it.
CMC in Crisis So say news reports coming out of Australia. A few weeks ago, at the height of the financial panic, leading CFD provider Saxo Bank took a meat cleaver to their work force in a frenzied effort to slash costs. CMC now appears to be following suit. They had already laid off staff and closed their U.S. office and another office in Perth, Australia. But now more redundancies lie over the horizon and the company just held an emergency meeting for all their staff at a hotel in Sydney. Details below: http://www.compareshares.com.au/~compare1/case32.php So will the Saviorâ¦