That Gain offer is an insult. And I'm not sure where you see only 40% can recover funds...that's not accurate. Everyone may recover their money if they're foolish enough to overtrade to the extent that Gain would hope in order to facilitate return of a portion of their account (25% every six months) while Gain makes more than that amount in the spread. This offer is a non-starter for anyone with over $1000.00 in their account. Robert PS - if you want more info about RefcoFX (especially if you are a customer and are probably having your money taken by these crooks), please visit: http://www.refcofxaccountholders.com
There are two types of Introducing Brokers: Guaranteed and Independent. A Guaranteed Introducing Broker is guaranteed financially and compliance-wise by an FCM and only has accounts with this FCM. An Independent Introducing Broker meets certain minimum financial requirements, is responsible for its own compliance and may clear through different FCMs. There are two types of FCMs: Non-clearing and Clearing. In addition, Non-clearing FCMs may be disclosed or undisclosed. A disclosed Non-clearing FCM discloses the names of their customers to its clearing firm (a Clearing FCM) and the customer completes account forms from the Clearing FCM. An undisclosed Non-clearing FCM has one omnibus account with its clearing firm but the names and financial information of individual customers are not disclosed to the Clearing FCM. In both cases, the Non-clearing FCM places funds with the Clearing FCM to fully margin all positions. However, an undisclosed Non-clearing FCM will hold excess customer funds in its own segregated customer accounts. In a disclosed relationship, all customer funds are held by the Clearing FCM and the Non-clearing FCM will receive a percentage of the interest earned on such funds.