GlobalPrime is a dishonest scam broker too. Please don't fall into their trap.

jemook

GlobalPrime.com Representative
Messages
20
I will re-iterate again these extremely important points.
  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Any insinuation that we do anything contrary to the above is simply untrue and we welcome any regulatory scrutiny on our offering, terms and disclosures.

The disclosure is not straight forward therefore the definition from your company leads investors to believe one set of actions is occurring while in reality this is not the case. Unless every investor takes the time to perform the same level of due diligence as @Shiro21, then they are blindly being mislead. It seems odd that your company is comfortable with the lack of transparency until a client takes the time to point this out on a public forum. Chances are, there is other misleading information in your terms and conditions that some lawyer interpreted as technically legal!

We do not receive complaints or queries from clients who are confused about the information on our website.

One of the conditions from our external compliance was that we survey new clients about our use of the term ‘ECN’ to see if they were confused or disagreed with us. The results were overwhelmingly in our favour.

The confusion outlined in this thread is in relation to legal terms being misappropriated. I’ll address these separately.

Right, so now you call yourself a CFD provider instead of an ECN broker. If you had done that right from the start, people would not have been misled by the wrong type of service advertised.

If you're trading with the clients as principal, then you are not an ECN broker. If you are not an ECN broker, why claim to be such?

You are misappropriating the term ‘principal’.

I’ll go out on a limb here and say that every FX/ECN broker / CFD provider in the world uses the term ‘principal’ to describe their relationship with their clients in their disclosure documents and terms of business. In fact, I challenge you to find a single regulated broker who doesn’t.

Why am I so confident in this? Because parties enter agreements as principals in OTC markets.

In case anyone missed my previous post, we've explained that on the best execution page:

https://www.globalprime.com/best-execution/

Principal.png


The lawyers you spoke to gave the approval for market makers to call themselves an ECN? Are you sure? Feel like showing any proof of the statements made by those lawyers?

"In house counsel" is pretty much an invalid point, it's as good as saying it's self-approved.

And who is this external compliance you spoke of? CySEC? VSFC? Or is it ASIC? I think I will submit an enquiry to ASIC and seek their opinion on this and update you guys on this.

We have the authorization to ‘make a market’ on our Australian Financial Services License. If you contract with an ASIC licensed CFD provider then they will have this authorization. This authorization means we can issue financial products like ‘derivatives’ or CFDs to you.

The authorization to ‘make a market’ has no relation to whether a broker is A-book, B-book, ECN, DMA, STP, MM, NDD, etc... The authorization to ‘make a market’ does not mean ‘deal desk’ or ‘B-book’ or even ‘market maker’ as you understand it.

For any doubters, see this image taken from an ASIC regulatory guide. The explanation is not consistent with the theories posted and this is why lawyers had no issue with our use of the term ECN.


2021-06-18_12-24-57.png


mmm... Jeremy seems to be a nice guy but he doesn't answer to any evidence posted here about GP not being ECN, he just repeats that his broker has great reviews and that some lawyers said that, technically, it's legal. so what one should think when he reads that?

I've withdrawn my funds from my GP account and don't wish to trade anymore with them as long as this case doesn't get clearer, and I encourage Shiro to update his review on FPA with the elements he submitted here and spread the news on other websites if GP representatives refuse to justify themselves concerning all that

Since you’re a client then you’re in a perfect position to check your trade receipts and compare this to information on our website.

I’m confident nothing will be out of line and I welcome you to share your results with us on here.

If you'd like you can reach out to me personally to go through any of this :)

@jemook With all due respect, that doesn't exactly inspire confidence. It seems like you guys are trying to play loose with what an ECN actually is by hiding behind legal technicalities that may satisfy your lawyers. You have to satisfy us. Can you please walk us through, step by step, how a client order is executed, how is the product electronically delivered, is it drawn from inventory or do you have to buy it from your LP on our behalf, how and where is it cleared and how does it pass through to the liquidity provider without the brokerage firm taking the opposite side of the trade? From my understanding, an ECN is a bridge linking clients to other market participants through a network. How exactly does GP function as an ECN when it acts as the principal for all its clients trades? Are we trading with you or are we directly trading with the banks?

Respectfully @jamho22 we have used practical language to describe how we do business on our website and we act in accordance with this information. People on this thread are using terms that have special legal meanings like ‘principal’ and ‘make a market’ to misconstrue information in our PDS and on our website. We foresaw this happening which is why we explained all these concepts in detail on our website.

How do we execute orders? We explain it in detail here:

https://globalprime.com/trade-flow-process/

How do we define ECN and why do we call our offering ECN? Also explained in detail here:

https://globalprime.com/ecn-advantage/

How do we execute orders of different sizes across different asset classes? Glad you asked, we explain it all here

https://globalprime.com/best-execution/

Most importantly, we give trade receipts to prove all of the information above! Covered here:

https://globalprime.com/trade-receipts/

@Shiro21 has not found a fault with the information on our website or shown how his orders were executed differently to this information. His argument is based solely on the claim that we are not really an ECN provider across our Index and Commodity CFD products, however, we never claimed to be. In fact, we explicitly state that these markets are not ECN in several places across the website to avoid claims like this.

Where on the website do we say Index and Commodity CFDs are not ECN?

https://globalprime.com/disclosures

CFD products are not ECN.png

https://globalprime.com/best-execution/

Rules Per Asset Class.png

https://globalprime.com/how-we-make-money/

How We Make Money.png

Either way, they can't deny the fact that they are trading against you. It's all fact. Gleneagle Securities is making a profit from clients' loss. They don't pass all your trades to the market. They decide whether they want to do it or not at their sole discretion.

Quite frankly if you believe we are doing that, have a chat to the regulators - ASIC knows our model as we have to report on our trading and models with them. As much as you'd love to believe the above is true, it's completely false.

  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Your issue is with disclosures. All the information is on our website, it's not hidden. We have an entire section dedicated our profit models and how we structure our liquidity. Find me another broker with more details on their website than Global Prime.

Dealing Model​

Global Prime

#1 rated FPA broker with a 4.7 out of 5 star rating over 350 reviews over almost a 10 year span. You can read our reviews here:


We are the only broker in the world offering Automated Trade Receipts proving an A-book model and on the clients side, regardless of what people in here would like to believe.

#1 in commission adjusted trading costs across many FX pairs with our zero commission model.

The only broker with a public facing community Discord where you can hang out with the founder and team.

As the founder, I'm here in the trenches with you guys and not hiding like other brokers have in the past and I'm open to dialogue via phone, Discord, email.. whatever floats your boat.

I put my face to everything Global Prime does. We've unpacked what happens behind brokers B-books over a 10 part YouTube series. We show trade receipts on every trade so our clients can hold us accountable if the execution is not up to par. We fight for retail traders and hang out with our thousands of clients in our Discord 24/7.

I would never allow anything untoward in our business which could damage our brand.

If anyone has any questions or wants clarification on any of the above please call me directly on +61 (2) 8379 3622 during Australian business hours. I always appreciate a chat with fellow traders.

Regards,
Jeremy
 

Pharaoh

Colonel
Messages
20,111
@jemook With all due respect, that doesn't exactly inspire confidence. It seems like you guys are trying to play loose with what an ECN actually is by hiding behind legal technicalities that may satisfy your lawyers. You have to satisfy us. Can you please walk us through, step by step, how a client order is executed, how is the product electronically delivered, is it drawn from inventory or do you have to buy it from your LP on our behalf, how and where is it cleared and how does it pass through to the liquidity provider without the brokerage firm taking the opposite side of the trade? From my understanding, an ECN is a bridge linking clients to other market participants through a network. How exactly does GP function as an ECN when it acts as the principal for all its clients trades? Are we trading with you or are we directly trading with the banks?

I think there's a misinterpretation of the use of these types of lawyers. They exist for one reason - to keep the company out of legal trouble. If company lawyers knowingly assisted a regulated broker in deceiving clients, not only would the company be at great legal and regulatory risk, so would the lawyers themselves.

Think of it like this:

 

ggiang

Recruit
Messages
1
Absolutely, I agree with the points raised by Jeremy. Usually the people who are unhappy clients, are unhappy because they have lost money and then they decide it’s a scam.

Some people really need to become more mature and take the appropriate responsibility for their financial decisions. I have been with Global Prime for about a year or so, and will continue to do business with them as long as they are top notch.

I challenge anyone who doubts to actually open an account and trade with GP. You’ll quickly see the best execution policy is real. Over 99% of trades get filled, the rejection rate is less than 1%. In fact, you will even experience positive slippage.
 

Titan_Black

Recruit
Messages
3
I still do not get it. Someone goes and rekt himself in the market and then blame the broker and goes ahead and makes accusations. Seriously this are unfounded accusations. Been with Global Prime for nearly two years and in no day have i seen this kind of menace and accusations sometimes people are just inherently careless.

Jeremy puts it clearly in numerous posts. I reckon them being the only broker with a public discord. Most hide behind red tape and customer service agents who give you scripted messages. Not only can you reach him and ask whatever you want but even so most of the employees are on the public server.

4.7 stars in over 10 years and someone comes here claiming nonsense.

Trading is hard actually the hardest game coz as Dante says you are trading with some of the fastest computers, people who have more information than you and worst of all your mind that tells you crap each time you place your trade.

I say once again its transparent as it comes.

Looking for many more years with Global Prime

Nothing is clear as what Jeremy has re-iterated.
 

Trader09

Private, 1st Class
Messages
32
The question is if GP profits from traders' losses, then why is there no traits of manipulation with their order execution like other bucket shop brokers?

Why most of the time, your TP hit orders get positive slippage instead of negative.

Why is there no complaints regarding withdrawals being held?
There's probably some people who win big for sure.

So @Shiro's accusation just doesn't make sense.

If they do profit from our losses.

Why would they give us positive slippage like this?

1624018243497.png
 
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Shiro21

Private, 1st Class
Messages
64
I will re-iterate again these extremely important points.
  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Any insinuation that we do anything contrary to the above is simply untrue and we welcome any regulatory scrutiny on our offering, terms and disclosures.

You are just repeating the same thing over and over without answering the real question. There is no need for you to B-Book if statistically over 75% of traders lose money. You still make money by taking the other side of all client's trade.


We do not receive complaints or queries from clients who are confused about the information on our website.

One of the conditions from our external compliance was that we survey new clients about our use of the term ‘ECN’ to see if they were confused or disagreed with us. The results were overwhelmingly in our favour.

The confusion outlined in this thread is in relation to legal terms being misappropriated. I’ll address these separately.



You are misappropriating the term ‘principal’.

I’ll go out on a limb here and say that every FX/ECN broker / CFD provider in the world uses the term ‘principal’ to describe their relationship with their clients in their disclosure documents and terms of business. In fact, I challenge you to find a single regulated broker who doesn’t.

Why am I so confident in this? Because parties enter agreements as principals in OTC markets.

I took you up on your challenge and I could not find a single Australian broker calling themselve an ECN broker. I will place the well-known ones here and everyone here are free to go to the website of those broker and see for themselves. See if they did misrepresent like Globalprime here and misleadingly throw the "ECN" term around to cheat their clients about their execution and pricing model. Look through every single one of them; You won't find the word ECN on any of their website. And they have the same pricing model as globalprime, what does it says about Globalprime? Lying right through their teeth.

Go Markets.pngIC Market.pngAXI  Trader.pngPepperstone.pngFP Markets.png

These brokers shown here can say they are "acting as principal" because they did not say they are an ECN broker. They honestly and transparently let potential clients know right from the start that they are not an ECN broker, unlike you crooks. How can you compare yourself to them like that, when you lied and they did not?



In case anyone missed my previous post, we've explained that on the best execution page:

https://www.globalprime.com/best-execution/

View attachment 66174




We have the authorization to ‘make a market’ on our Australian Financial Services License. If you contract with an ASIC licensed CFD provider then they will have this authorization. This authorization means we can issue financial products like ‘derivatives’ or CFDs to you.

The authorization to ‘make a market’ has no relation to whether a broker is A-book, B-book, ECN, DMA, STP, MM, NDD, etc... The authorization to ‘make a market’ does not mean ‘deal desk’ or ‘B-book’ or even ‘market maker’ as you understand it.

For any doubters, see this image taken from an ASIC regulatory guide. The explanation is not consistent with the theories posted and this is why lawyers had no issue with our use of the term ECN.


View attachment 66169




Since you’re a client then you’re in a perfect position to check your trade receipts and compare this to information on our website.

I’m confident nothing will be out of line and I welcome you to share your results with us on here.

If you'd like you can reach out to me personally to go through any of this :)



Respectfully @jamho22 we have used practical language to describe how we do business on our website and we act in accordance with this information. People on this thread are using terms that have special legal meanings like ‘principal’ and ‘make a market’ to misconstrue information in our PDS and on our website. We foresaw this happening which is why we explained all these concepts in detail on our website.

How do we execute orders? We explain it in detail here:

https://globalprime.com/trade-flow-process/

How do we define ECN and why do we call our offering ECN? Also explained in detail here:

https://globalprime.com/ecn-advantage/

How do we execute orders of different sizes across different asset classes? Glad you asked, we explain it all here

https://globalprime.com/best-execution/

Most importantly, we give trade receipts to prove all of the information above! Covered here:

https://globalprime.com/trade-receipts/

@Shiro21 has not found a fault with the information on our website or shown how his orders were executed differently to this information. His argument is based solely on the claim that we are not really an ECN provider across our Index and Commodity CFD products, however, we never claimed to be. In fact, we explicitly state that these markets are not ECN in several places across the website to avoid claims like this.

Non of these information is on the homepage or sign-up page. The only thing plastered all over the homepage is the word "ECN", which is a lie. Not everyone would navigate to those subpage where all this information is buried.


Where on the website do we say Index and Commodity CFDs are not ECN?

https://globalprime.com/disclosures

View attachment 66170

Alright, caught them lying red-handed again. How any times do I have to do this? The link they have shown on this part of his post is fake. Here's the proof:

Globalprime Disclosure page.png


Wayback Machine is a internet archive that periodically take snapshots of all webpages on the internet.
If there is no archive, it means the pages was just made not long ago. And in this case, globalprime must have urgently requested their web designer to add this page just so they could use it here as prove. Lol, how foolish. Getting caught lying again and again. These guys are habitual liars, they just can't stop lying. The more he tries to cover up his previous lies, the more mistakes he makes that further exposes himself. Typical outcome for most liars.

Here's what it looks like if the webpages have been created long ago. There will be web history, and archived versions of the webpage taken on different dates. Don't just take my word for it. Go over and see for yourselves too.


Globalprime homepage.png



https://globalprime.com/best-execution/

View attachment 66171

https://globalprime.com/how-we-make-money/

View attachment 66172



Quite frankly if you believe we are doing that, have a chat to the regulators - ASIC knows our model as we have to report on our trading and models with them. As much as you'd love to believe the above is true, it's completely false.

  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Your issue is with disclosures. All the information is on our website, it's not hidden. We have an entire section dedicated our profit models and how we structure our liquidity. Find me another broker with more details on their website than Global Prime.

Dealing Model​

Global Prime

#1 rated FPA broker with a 4.7 out of 5 star rating over 350 reviews over almost a 10 year span. You can read our reviews here:


We are the only broker in the world offering Automated Trade Receipts proving an A-book model and on the clients side, regardless of what people in here would like to believe.

#1 in commission adjusted trading costs across many FX pairs with our zero commission model.

The only broker with a public facing community Discord where you can hang out with the founder and team.

As the founder, I'm here in the trenches with you guys and not hiding like other brokers have in the past and I'm open to dialogue via phone, Discord, email.. whatever floats your boat.

I put my face to everything Global Prime does. We've unpacked what happens behind brokers B-books over a 10 part YouTube series. We show trade receipts on every trade so our clients can hold us accountable if the execution is not up to par. We fight for retail traders and hang out with our thousands of clients in our Discord 24/7.

I would never allow anything untoward in our business which could damage our brand.

If anyone has any questions or wants clarification on any of the above please call me directly on +61 (2) 8379 3622 during Australian business hours. I always appreciate a chat with fellow traders.

Regards,
Jeremy
The complaint was never about globalprime b-booking, though that might have been the case, or else there would have been no need to have this:

Globalprime market making.png

It clearly says Gleneagle may choose whether or not they want to hedge the client's trades into the market. If you are so confident that you are doing right by the clients, why not take real action and remove that line, and replace that with "Gleneage will always 100% hedge the client's trade into the market." How about that? Or are you just all talk and no action?

Should we just take your word for it when the evidence shown runs contrary to your claims?

Globalprime Conflict.png


Not to mention the fact that you just made up some disclosure webpage to further substantiate your previous lies.

The complaint is about how globalprime mislead with false and wrong information about it's execution or pricing model. And you do it by providing the wrong and false information on the mainpage, then proceed to cleverly put the correct information at some subpage at the back, which runs contrary to the information provided on the mainpage.
 
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Shiro21

Private, 1st Class
Messages
64
The question is if GP profits from traders' losses, then why is there no traits of manipulation with their order execution like other bucket shop brokers?

Why most of the time, your TP hit orders get positive slippage instead of negative.

Why is there no complaints regarding withdrawals being held?
There's probably some people who win big for sure.

This, we can't know for sure. The act does not have to be the obvious types like the ones you mentioned above, or they would have been caught easily. The same group of people behind all this have already been caught twice previously. It would be stupid to keep using the same tactics that got them caught.

Look at the amount of questionable things they have been involved in in the past. Even now I continue to catch them lying in a few of these posts. As the old saying goes, "A leopard never changes its spots."

If they do profit from our losses.

Why would they give us positive slippage like this?

View attachment 66196

For every such image you show about positive slippage, i could similarly show one with negative slippage. There is no point comparing these because what happens on your account is exclusive to you, what happen on my account is exclusvie to me. You can't say what happened on your account must also happen on mine, because that's not true.

It's not like there is no complaints. it's just not the traditional kind that you guys are used to. They employ different tactics to wipe different people's account, and like I said, those account are mostly larger accounts. They are using the small fish to lure in the big fish. And the tactics they are using seems to be exploiting loopholes that doesn't make such act illegal. Trust me when I tell you, they are really good at this.Globalprime Review 2.png
 

Shiro21

Private, 1st Class
Messages
64
We have the authorization to ‘make a market’ on our Australian Financial Services License. If you contract with an ASIC licensed CFD provider then they will have this authorization. This authorization means we can issue financial products like ‘derivatives’ or CFDs to you.

The authorization to ‘make a market’ has no relation to whether a broker is A-book, B-book, ECN, DMA, STP, MM, NDD, etc... The authorization to ‘make a market’ does not mean ‘deal desk’ or ‘B-book’ or even ‘market maker’ as you understand it.

For any doubters, see this image taken from an ASIC regulatory guide. The explanation is not consistent with the theories posted and this is why lawyers had no issue with our use of the term ECN.


View attachment 66169

The problem is not with the "Authorization", it's with the Misrepresentation. If you are making a market, then you are a market-maker, not an ECN broker. The meaning shown above is consistent and correct as per our understanding. And after i've exposed your dishonest conduct, everyone now knows you are a market-maker too. There is no problem with that. The problem is you calling yourself an ECN broker when you are not, and until now still denying any wrongdoing when its already obvious. No other reputable Australian brokers call themselves an ECN broker when they are not. You are the only one still continuing to lie about your pricing and execution model. I have shown proof in post #106.

Point (a) above says that "a person makes a market for a financial product if they regularly state the price at which they propose to buy or sell financial products on their own behalf.

ECN means matching of client's trades straight to Liquidity providers and between other market participants anonymously. Which part of this do you not understand? You are just reiterating all the same irrelevant points over and over again.


Since you’re a client then you’re in a perfect position to check your trade receipts and compare this to information on our website.

I’m confident nothing will be out of line and I welcome you to share your results with us on here.

If you'd like you can reach out to me personally to go through any of this :)



Respectfully @jamho22 we have used practical language to describe how we do business on our website and we act in accordance with this information. People on this thread are using terms that have special legal meanings like ‘principal’ and ‘make a market’ to misconstrue information in our PDS and on our website. We foresaw this happening which is why we explained all these concepts in detail on our website.

How do we execute orders? We explain it in detail here:

https://globalprime.com/trade-flow-process/

Now, as per the correct definition of a market-maker you have shown here:

Make a Market.png

And the fact that a related party of Globalprime, Gleneagle Securities, is the sole counterparty that you execute all client's trades with:

Globalprime Pricing model.png



But over here you are saying client's trades get matched straight to the LP:

Globalprime Trade Execution.png
Globalprime Trade Execution 2.png

Nowhere on the trade order flow did it states that the trade was taken by Globalprime and then hedge with Gleneagle Securities, and then having Gleneagle Securities offset the position in the real market. It shows the trade directly matched with a LP. So which of these contradictory information is incorrect once again?

You've also said so yourself that its not possible to act as an agent between the trader and the market without the client have tens of millions?

Global Prime cannot act as an agent between a trader and the market since this would require the trader to have a relationship with the prime broker, which they could not do without tens of millions of capital behind them. Global Prime can and does facilitate such arrangements for institutional traders that have their own prime broker.

So is the trade order flow incorrect? Or did I just catch you lying again?
 
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jamho22

Recruit
Messages
4
I will re-iterate again these extremely important points.
  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Any insinuation that we do anything contrary to the above is simply untrue and we welcome any regulatory scrutiny on our offering, terms and disclosures.



We do not receive complaints or queries from clients who are confused about the information on our website.

One of the conditions from our external compliance was that we survey new clients about our use of the term ‘ECN’ to see if they were confused or disagreed with us. The results were overwhelmingly in our favour.

The confusion outlined in this thread is in relation to legal terms being misappropriated. I’ll address these separately.



You are misappropriating the term ‘principal’.

I’ll go out on a limb here and say that every FX/ECN broker / CFD provider in the world uses the term ‘principal’ to describe their relationship with their clients in their disclosure documents and terms of business. In fact, I challenge you to find a single regulated broker who doesn’t.

Why am I so confident in this? Because parties enter agreements as principals in OTC markets.

In case anyone missed my previous post, we've explained that on the best execution page:

https://www.globalprime.com/best-execution/

View attachment 66174




We have the authorization to ‘make a market’ on our Australian Financial Services License. If you contract with an ASIC licensed CFD provider then they will have this authorization. This authorization means we can issue financial products like ‘derivatives’ or CFDs to you.

The authorization to ‘make a market’ has no relation to whether a broker is A-book, B-book, ECN, DMA, STP, MM, NDD, etc... The authorization to ‘make a market’ does not mean ‘deal desk’ or ‘B-book’ or even ‘market maker’ as you understand it.

For any doubters, see this image taken from an ASIC regulatory guide. The explanation is not consistent with the theories posted and this is why lawyers had no issue with our use of the term ECN.


View attachment 66169




Since you’re a client then you’re in a perfect position to check your trade receipts and compare this to information on our website.

I’m confident nothing will be out of line and I welcome you to share your results with us on here.

If you'd like you can reach out to me personally to go through any of this :)



Respectfully @jamho22 we have used practical language to describe how we do business on our website and we act in accordance with this information. People on this thread are using terms that have special legal meanings like ‘principal’ and ‘make a market’ to misconstrue information in our PDS and on our website. We foresaw this happening which is why we explained all these concepts in detail on our website.

How do we execute orders? We explain it in detail here:

https://globalprime.com/trade-flow-process/

How do we define ECN and why do we call our offering ECN? Also explained in detail here:

https://globalprime.com/ecn-advantage/

How do we execute orders of different sizes across different asset classes? Glad you asked, we explain it all here

https://globalprime.com/best-execution/

Most importantly, we give trade receipts to prove all of the information above! Covered here:

https://globalprime.com/trade-receipts/

@Shiro21 has not found a fault with the information on our website or shown how his orders were executed differently to this information. His argument is based solely on the claim that we are not really an ECN provider across our Index and Commodity CFD products, however, we never claimed to be. In fact, we explicitly state that these markets are not ECN in several places across the website to avoid claims like this.

Where on the website do we say Index and Commodity CFDs are not ECN?

https://globalprime.com/disclosures

View attachment 66170

https://globalprime.com/best-execution/

View attachment 66171

https://globalprime.com/how-we-make-money/

View attachment 66172





I will re-iterate again these extremely important points.
  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Any insinuation that we do anything contrary to the above is simply untrue and we welcome any regulatory scrutiny on our offering, terms and disclosures.



We do not receive complaints or queries from clients who are confused about the information on our website.

One of the conditions from our external compliance was that we survey new clients about our use of the term ‘ECN’ to see if they were confused or disagreed with us. The results were overwhelmingly in our favour.

The confusion outlined in this thread is in relation to legal terms being misappropriated. I’ll address these separately.



You are misappropriating the term ‘principal’.

I’ll go out on a limb here and say that every FX/ECN broker / CFD provider in the world uses the term ‘principal’ to describe their relationship with their clients in their disclosure documents and terms of business. In fact, I challenge you to find a single regulated broker who doesn’t.

Why am I so confident in this? Because parties enter agreements as principals in OTC markets.

In case anyone missed my previous post, we've explained that on the best execution page:

https://www.globalprime.com/best-execution/

View attachment 66174




We have the authorization to ‘make a market’ on our Australian Financial Services License. If you contract with an ASIC licensed CFD provider then they will have this authorization. This authorization means we can issue financial products like ‘derivatives’ or CFDs to you.

The authorization to ‘make a market’ has no relation to whether a broker is A-book, B-book, ECN, DMA, STP, MM, NDD, etc... The authorization to ‘make a market’ does not mean ‘deal desk’ or ‘B-book’ or even ‘market maker’ as you understand it.

For any doubters, see this image taken from an ASIC regulatory guide. The explanation is not consistent with the theories posted and this is why lawyers had no issue with our use of the term ECN.


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Since you’re a client then you’re in a perfect position to check your trade receipts and compare this to information on our website.

I’m confident nothing will be out of line and I welcome you to share your results with us on here.

If you'd like you can reach out to me personally to go through any of this :)



Respectfully @jamho22 we have used practical language to describe how we do business on our website and we act in accordance with this information. People on this thread are using terms that have special legal meanings like ‘principal’ and ‘make a market’ to misconstrue information in our PDS and on our website. We foresaw this happening which is why we explained all these concepts in detail on our website.

How do we execute orders? We explain it in detail here:

https://globalprime.com/trade-flow-process/

How do we define ECN and why do we call our offering ECN? Also explained in detail here:

https://globalprime.com/ecn-advantage/

How do we execute orders of different sizes across different asset classes? Glad you asked, we explain it all here

https://globalprime.com/best-execution/

Most importantly, we give trade receipts to prove all of the information above! Covered here:

https://globalprime.com/trade-receipts/

@Shiro21 has not found a fault with the information on our website or shown how his orders were executed differently to this information. His argument is based solely on the claim that we are not really an ECN provider across our Index and Commodity CFD products, however, we never claimed to be. In fact, we explicitly state that these markets are not ECN in several places across the website to avoid claims like this.

Where on the website do we say Index and Commodity CFDs are not ECN?

https://globalprime.com/disclosures

View attachment 66170

https://globalprime.com/best-execution/

View attachment 66171

https://globalprime.com/how-we-make-money/

View attachment 66172



Quite frankly if you believe we are doing that, have a chat to the regulators - ASIC knows our model as we have to report on our trading and models with them. As much as you'd love to believe the above is true, it's completely false.

  1. Global Prime does not run a b-book which is where losing clients are separated into the b-book with the intent to profit from the clients losses.

  2. Global Prime does not profit from client losses.

  3. Global Prime does not have any counterparty relationships which run a b-book or kick us back for losses made by clients.

  4. Gleneagle does not run a b-book for Global Prime.
Your issue is with disclosures. All the information is on our website, it's not hidden. We have an entire section dedicated our profit models and how we structure our liquidity. Find me another broker with more details on their website than Global Prime.

Dealing Model​

Global Prime

#1 rated FPA broker with a 4.7 out of 5 star rating over 350 reviews over almost a 10 year span. You can read our reviews here:


We are the only broker in the world offering Automated Trade Receipts proving an A-book model and on the clients side, regardless of what people in here would like to believe.

#1 in commission adjusted trading costs across many FX pairs with our zero commission model.

The only broker with a public facing community Discord where you can hang out with the founder and team.

As the founder, I'm here in the trenches with you guys and not hiding like other brokers have in the past and I'm open to dialogue via phone, Discord, email.. whatever floats your boat.

I put my face to everything Global Prime does. We've unpacked what happens behind brokers B-books over a 10 part YouTube series. We show trade receipts on every trade so our clients can hold us accountable if the execution is not up to par. We fight for retail traders and hang out with our thousands of clients in our Discord 24/7.

I would never allow anything untoward in our business which could damage our brand.

If anyone has any questions or wants clarification on any of the above please call me directly on +61 (2) 8379 3622 during Australian business hours. I always appreciate a chat with fellow traders.

Regards,
Jeremy
Thanks for clearing some of that up @jemook. I will start by saying this. I do see how Global Prime tries to differentiate themselves from other brokers. I like how the company's co founder is so accessible and routinely comes up to field all kinds of questions. I also notice that GP is one of the more transparent and straightforward brokerages that also goes a step beyond others in laying down some of the intricacies underpinning their core business model. I also do put a lot of stock into the positive feedback that GP has managed to accumulate over the years. These are all positive signs. However there are still a few more questions that I have and how you respond to them will determine whether my comfort level will pass the threshold for opening an account with GP.

I'm more concerned with GP's trade flow and how the underlying processes from the clients end, the brokers end and LP's end square with the ECN model. This link https://globalprime.com/trade-flow-process/ is quite resourceful and has augmented my understanding of how the order is handled on the client side. But in the interest of more transparency, I would like a more broader picture of how the order moves through GP's end. Who is the counterparty to my trade? The link seems to suggest that its one of your many LP's but your disclosure asserts otherwise. Im trying to understand this discrepancy. That link doesnt explain how my trade is offset/hedged by Gleneagle securities which supposedly "takes the other side of the transaction" (Based on the wording, I see that as a conflict of interest.). How does Gleneagle offset its risk? It seems like there are four legs to the trade before it is finalized: global prime, gleneagle securities, FIX ENGINE and the LP's. It also seems like far more is going on behind the scenes than what the trade flow process link is showing. A little more explanation in regards to the granularity of the trade process flow would go a long way in clearing misconceptions.

In this link https://www.globalprime.com/best-execution/ It was quite reassuring to read this part "This means Gleneagle Securities will take the other side of the trade until the position grows to greater than 100,000, or an opposing trade comes in from another client." But when I read in your PDS that "all Global Prime products are hedged with Gleneagle securities", is that the same thing as Gleneagle securities taking the opposite side to my trade for position sizes greater than 100,000? Can you also please explain what batch hedging is?

Thank you.
 

jemook

GlobalPrime.com Representative
Messages
20
Thanks for clearing some of that up @jemook. I will start by saying this. I do see how Global Prime tries to differentiate themselves from other brokers. I like how the company's co founder is so accessible and routinely comes up to field all kinds of questions. I also notice that GP is one of the more transparent and straightforward brokerages that also goes a step beyond others in laying down some of the intricacies underpinning their core business model. I also do put a lot of stock into the positive feedback that GP has managed to accumulate over the years. These are all positive signs. However there are still a few more questions that I have and how you respond to them will determine whether my comfort level will pass the threshold for opening an account with GP.

I'm more concerned with GP's trade flow and how the underlying processes from the clients end, the brokers end and LP's end square with the ECN model. This link https://globalprime.com/trade-flow-process/ is quite resourceful and has augmented my understanding of how the order is handled on the client side. But in the interest of more transparency, I would like a more broader picture of how the order moves through GP's end. Who is the counterparty to my trade? The link seems to suggest that its one of your many LP's but your disclosure asserts otherwise. Im trying to understand this discrepancy. That link doesnt explain how my trade is offset/hedged by Gleneagle securities which supposedly "takes the other side of the transaction" (Based on the wording, I see that as a conflict of interest.). How does Gleneagle offset its risk? It seems like there are four legs to the trade before it is finalized: global prime, gleneagle securities, FIX ENGINE and the LP's. It also seems like far more is going on behind the scenes than what the trade flow process link is showing. A little more explanation in regards to the granularity of the trade process flow would go a long way in clearing misconceptions.

In this link https://www.globalprime.com/best-execution/ It was quite reassuring to read this part "This means Gleneagle Securities will take the other side of the trade until the position grows to greater than 100,000, or an opposing trade comes in from another client." But when I read in your PDS that "all Global Prime products are hedged with Gleneagle securities", is that the same thing as Gleneagle securities taking the opposite side to my trade for position sizes greater than 100,000? Can you also please explain what batch hedging is?

Thank you.

Hi @jamho22 -

Thanks for all the kind sentiments, we appreciate it.

The trade flow process is correct for what practically happens in a matter of milliseconds.

What happens legally is different. In legal terms, there are several agreements between entities and counterparties which are required to facilitate trading. The trade flow process would look something like the below:

Note, 'trading as principal' in the case of the below means trading as yourself and not 'as an agent' on behalf of someone else. Principal trading does not mean 'B-book' as Shiro21 has wrongly suggested.
  1. Client places trade (as principal)
  2. Global Prime receives trade (as principal)
  3. Global Prime places trade (as principal)
  4. Gleneagle Securities receives trade (as principal)
  5. Gleneagle Securities places trade (as principal)
  6. Liquidity provider receives trade (as principal via give up agreement with prime broker)
  7. Liquidity provider confirms trade to Gleneagle Securities and prime broker
  8. Gleneagle Securities confirms trade to Global Prime
  9. Global Prime confirms trade to client
In the above example, Global Prime is the legal counterparty to the clients trade. It's at points 6 and 7 where the trade is hedged with a liquidity provider. All of the above happens in a matter of milliseconds.

This can also be denoted as:

Client / GP relationship
  1. Client long 100,000 EURUSD at 1.10
  2. Global Prime short 100,000 EURUSD at 1.10
GP / GES relationship
  1. Global Prime long 100,000 EURUSD at 1.10
  2. Gleneagle Securities short 100,000 EURUSD at 1.10
GES / Prime broker relationship
  1. Gleneagle Securities long 100,000 EURUSD at 1.10
  2. Prime broker short 100,000 EURUSD at 1.10

That is what STP and A-book looks like. A corresponding hedge trade is simultaneously executed across counterparties so there is no market risk arising from clients trading. The order is confirmed in the underlying market for that instrument before it is confirmed back to the client.

The language in the PDS is consistent with the above. The PDS explains things in more legal terms. Its correct but I can see how we can improve it to make it clearer. Hope that helps! But let us know if you'd like further clarification :)

Batch Hedging

Prime Brokers charge fee's for small tickets - the fee structure is quite complex and costly.

FX trades less than 50,000 (or 30oz gold) are bundled together until they reach 100,000 and then sent to the liquidity providers as a batch trade.

Trades above 50,000/30oz gold go directly to the liquidity providers.

The price that is given to clients is always derived from our liquidity providers. The trade is executed using Global Prime's FIX engine 'Skout' based on these prices. Execution speeds for Skout are usually around 1ms. There isn't an artificial delay on fills as is the case with b-book brokers trying to emulate real market execution.

The 50k internalization and 100k thresholds are the lowest reasonable size to prevent small tickets hitting multiple LPs which would increase trading fees, significantly. The thresholds are trading volume, liquidity provider and prime broker dependent.

What this means is we are only ever maximum up to 100,000 (1 lot) in open exposure on a pair - compare this to most large b-book brokers which could have upwards of 1,000,000,000 (yes 1 billion) in open exposure as they aim to generate profits from market movements.

Our batch hedger is a purposely 'dumb' system as it's intention is to simply reduces the prime broker fees to a level that makes our dealing model more viable.

On the website here: https://www.globalprime.com/best-execution/#small

Regards,
Jeremy
 
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