PistolDave
Corporal
- Messages
- 105
Hurry up... and wait.
If they have already filed for bankruptcy and the government agencies are taking control of the customers assets then I would think that you would be unable to remove any of your funds (if there is any remaining) until the court proceedings have moved well along their course. That could take months.
The funds from all accounts will probably be frozen until the time when they can be sure what is what. I would think that if the funds are held in a segregated account then they will be insured by SIPC and whatever amount you had in your trading/investing account will be covered except for any losses you had on open positions at the time of the insolvency of the firm. That's just my opinion, however.
The part that bothers me most is; "Early this morning, ... reported possible deficiencies in customer futures segregated accounts held at the firm." This could mean that fraud or improper accounting is involved and there will likely be an investigation.
Just from what I have heard so far, I doubt anyone will do anything "quickly" with any of the funds that were in an account with MF Global.
There is one little twist to the story, however. If I'm not mistaken, you don't have this SIPC guarantee of your funds if they are in a forex account, and these funds are not segregated. I suggest reading the account opening documents that you had to sign and see if there is not a clear description of what kind of protection is afforded you if the firm files bankruptcy.
I hope this helps you guys. Keep in mind that I'm a trader just like you and this shows that this kind of thing can happen to anyone. When it comes to forex accounts, I never keep more in one than I can afford to lose (even if the company folds.) I will keep more in a securities and futures account but I"m wondering now if even that is safe.
What the hell is this world coming to?
If they have already filed for bankruptcy and the government agencies are taking control of the customers assets then I would think that you would be unable to remove any of your funds (if there is any remaining) until the court proceedings have moved well along their course. That could take months.
The funds from all accounts will probably be frozen until the time when they can be sure what is what. I would think that if the funds are held in a segregated account then they will be insured by SIPC and whatever amount you had in your trading/investing account will be covered except for any losses you had on open positions at the time of the insolvency of the firm. That's just my opinion, however.
The part that bothers me most is; "Early this morning, ... reported possible deficiencies in customer futures segregated accounts held at the firm." This could mean that fraud or improper accounting is involved and there will likely be an investigation.
Just from what I have heard so far, I doubt anyone will do anything "quickly" with any of the funds that were in an account with MF Global.
There is one little twist to the story, however. If I'm not mistaken, you don't have this SIPC guarantee of your funds if they are in a forex account, and these funds are not segregated. I suggest reading the account opening documents that you had to sign and see if there is not a clear description of what kind of protection is afforded you if the firm files bankruptcy.
I hope this helps you guys. Keep in mind that I'm a trader just like you and this shows that this kind of thing can happen to anyone. When it comes to forex accounts, I never keep more in one than I can afford to lose (even if the company folds.) I will keep more in a securities and futures account but I"m wondering now if even that is safe.
What the hell is this world coming to?