WaveRider
Master Sergeant
- Messages
- 350
Below is a news release off Elite E Services website. (I'm not affiliated with that site.) I thought this a great victory for traders. How many times has a moderator or senior contributor on this site said that it's amazing how slippage always works in favor of the broker and never the trader. Not any more. FXCM has a decent reputation but the slips in the brokers favor trick is so easy and hard to prove, they couldn't pass it up. I gave a double fist pump when I saw this.
The original NFA link
Case Summary
The EES link
Elite Forex Blog - www.eliteforexblog.com: NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
Friday, August 12, 2011
NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
August 12, Chicago - National Futures Association (NFA) has issued a Decision imposing a $2,000,000 monetary sanction against Forex Capital Markets LLC (FXCM) in settlement of a Complaint issued by NFA's Business Conduct Committee on August 12, 2011. The Complaint cited FXCM for retaining gains derived from asymmetrical positive price slippage; failing to adopt or carry out adequate procedures to ensure the efficient execution of all customer orders; failing to treat all customers equally when giving price adjustments; failing to adequately investigate suspicious activity in several customers' accounts; and - together with its principal Dror Niv - failing to supervise. FXCM is a Futures Commission Merchant, Retail Foreign Exchange Dealer, and Forex Dealer Member located in New York, New York.
In addition to the $2,000,000 monetary sanction, FXCM must credit the accounts of its customers the amount of asymmetrical positive slippage which its customers experienced on their trades from and after June 18, 2008 and provide verification to NFA of these credits. In the future, FXCM is prohibited from engaging in price slippage or margin liquidation practices, as described in the Complaint. FXCM must also enhance existing procedures to ensure efficient execution of customer orders and compliance with NFA's anti-money laundering requirements.
The original NFA link
Case Summary
The EES link
Elite Forex Blog - www.eliteforexblog.com: NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
Friday, August 12, 2011
NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
NFA levies $2,000,000 monetary sanction against FXCM and orders refunds to customers
August 12, Chicago - National Futures Association (NFA) has issued a Decision imposing a $2,000,000 monetary sanction against Forex Capital Markets LLC (FXCM) in settlement of a Complaint issued by NFA's Business Conduct Committee on August 12, 2011. The Complaint cited FXCM for retaining gains derived from asymmetrical positive price slippage; failing to adopt or carry out adequate procedures to ensure the efficient execution of all customer orders; failing to treat all customers equally when giving price adjustments; failing to adequately investigate suspicious activity in several customers' accounts; and - together with its principal Dror Niv - failing to supervise. FXCM is a Futures Commission Merchant, Retail Foreign Exchange Dealer, and Forex Dealer Member located in New York, New York.
In addition to the $2,000,000 monetary sanction, FXCM must credit the accounts of its customers the amount of asymmetrical positive slippage which its customers experienced on their trades from and after June 18, 2008 and provide verification to NFA of these credits. In the future, FXCM is prohibited from engaging in price slippage or margin liquidation practices, as described in the Complaint. FXCM must also enhance existing procedures to ensure efficient execution of customer orders and compliance with NFA's anti-money laundering requirements.