So I get an email from oanda saying they are doing an "annual review" and I need to update my networth, cash, stocks, other assets, liabilities ect. Why do they want to know and do I have to tell them in order to keep doing business there? I did all that when I signed up, Why do they want to know all on yearly basis? None of my other brokers do this. " Short Description: your fxTrade account - annual review Dear __________: Thank you for your response. OANDA is committed to obtain the this information by US regulations and laws. Please fill out the attached Net Worth Certification and submit it back to us. Our client experience team is here to help. If you have any questions, please do not hesitate to contact us. It is my pleasure to assist you, Alexander Was this response helpful? Please click Here to rate!
It's part of their WSP-Written Supporvisory Proceedure. Under the know your customer rule. If you don't respond that might not know. They have to ask. How can it hurt you to respond? 1245
It can't hurt me to respond, I just don't like everyone and their brother knowing all my private info. A little thing called Freedom. I don't want my info being sold. Just as facebook , google , and whoever else probably sells my info or just gives it to the gov't!
Other people have tried to quick deposit funds to meet a margin call and oanda froze the funds requesting this info. THey are a market maker, they aren't suppose to interfere with anyone's ability to transact like that. That is like setting prices. https://fxtrade.oanda.com/community/forex-forum/topic/16009061/?page=3
If you are well off and dont like telling anyone, just say you worth 50K. Ofcourse if you got more than that in your account, you dont want to say less than whats in it.
I believe they need that solely for their marketing needs. Haven't received such request from them probably because I'm in UK but not in US. I wouldn't feel comfortable when someone, even if it's your personal broker, looks into your purse.
"Know your customer" is always a consideration. Depending upon what you trade and the leverage your broker allows, there is always the possibility of your account running into a deficit. The broker is usually required to "settle up" any client deficits first, then collect from the client later (if possible). The broker wants to know what resources you have to settle any potential debits you might incur should they need to come back to you to settle up your account. Once knowing that, they may adjust the leverage/margin they allow you to trade upon. Such requests for information about your "ability to pay" are 100% legitimate.
When a broker has a compliance issue on a CFTC or NFA audit related to customer issues, the regulators require them to institute a detailed program to make sure that the problem does not occur again. Probably some customers had credit issues that showed up on audit, so Oanda was required by regulators to do some things like get credit reports on customers and query those who might have out of date information on file. That's all. Interactive Brokers does it too. I got regular inquiries from them once a year or whatever. Just reply honestly and see what happens. The broker wants to keep your business if he can within the procedures he was required to adopt by regulators. They are just trying to keep the regulators happy and do not care themselves what answers you give, unless it looks really bad on their books under the promises they had to make to the regulator.
Isn' t that part of Dodd Frank or something? Seriously this is just some B.S. politicians cam eup with to protect the little guy, sort of like PDT. F*ck that . btw what has been your experience with O recently ? Very slow platform , takes like 1 minute to start.