Problem Squared Financial Services Limited

[Pharaoh]

ABV,

Can we focus on getting the facts here. Squared Financial has offered to provide a more detailed explanation if you post the records of those trades.

Please run a report that covers all the disputed trades and post it here. Then everyone can take a look at exactly what happened.

 

[Head of Legal&Compliance]

I believe that I have made sufficient efforts to explain the situation in detail and I really do not deem it useful for anyone, including the client, to entertain the childish banter.

Nonetheless, there are two items which, though I have already addressed, ABV still has not seemed to digest. I will go over these two items once again:


1) There is no law against liquidity providers retracting their quotes and/or widening their spreads. Therefore, the execution, far off of prevailing market prices, was not illegal. An OTC market place is what it is... separate pools of liquidity (or lack thereof at certain times) and if you take a price AT MARKET, which you did by leaving a stop MARKET order open, you can't cry foul for a bad fill. However, it is also common practice in the FX industry to break trades which were executed significantly off of prevailing market prices. The reason why liquidity providers are willing to break a trade which is executed so far away from prevailing market prices is because we would kick them off of our platform (as would any decent venue) for grossly taking advantage of a counterparty (you in this instance), and they would end up not being able to do business on the platform. A bank is not going to risk a long term business relationship for the sake of taking advantage of one small retail client one time. Clear now ? ... once again, the trade was not illegal, and the trade break was a courtesy to you (even though the liquidity provider has his longer term business interests with us in breaking the trade)


2) The second point you fail to understand is that we were not the counterparty to the trade with you, we were acting in an agency capacity, and therefore we did not profit from your loss (we gained a 1 pip commission, but reimbursed that too to your account). If we had the trade broken, and not reimbursed you, that would have been profiting from the situation... but that is not the case here and your accounts clearly reflect that. In fact, the time we have spend, mobilising my time (a lawyer), our CFO's time (a chartered accountant) and a few other members of staff on the front office, is of far more value (man hours) than the business you generate for us .. though we do it because we have integrity and look after clients' interests.

You insults, defamatory accusations and your need for repeated explanations of basic mechanisms and financial statements, and also the reputational risk which clients like yourself are, are the cumulative reasons why we terminated our business relationship with you. Because you are no longer a client with us, and given you poor attitude in attempting to resolve a problem, and given the fact that you still cannot understand after my detailed, lengthy and repeated explanations, I am going to cut my losses with you and cease correspondence. That said, I will still request our CFO to provide an explanation regarding your accounts, here in public, if you publish your accounts here.

 

[ABV]

Have you ever seen spread 200+ pips (4 digits)?

My broker named Squared Financial Services Limited Squared Financial Provide Next Generation Trading Software widened spread up to 204.4 pips (4 digits) (EUR-JPY) at 21:03 GMT Jine 24 and now he is convincing me, that spread 200+ pips is a really market and a common occurrence.

In this regard, we are at issue https://www.forexpeacearmy.com/fore...25932-squared-financial-services-limited.html

Couldn't you, dear colleagues, help me?
If you've ever seen such spread, couldn't you write about it here?
I'm sure, everyone would like to know, where and when it happened.

Thank you in advance...

 

[ABV]

Do ypu speak English?

It "yes", please, answer to my questions:

why did you cancel disputable trades if they were market, legal and regular?

And one more, please.

How many times during 6 or 8 years of your existance you have had a spread more than 200 pips (4 digits)?

 

[Head of Legal&Compliance]

Ok, I think the general public now has a perfect idea of just how difficult communication with this chap is. I had yet again explained the first point just earlier today.

As for his counting skills, calling "200 pips" "4 digits" I can perfectly understand how this poor lad is having such difficulty trying to wrestle with a financial statement.

 

[Head of Legal&Compliance]

Do ypu speak English?

It "yes", please, answer to my questions:

To FPA: Is there any chance of taking this entire thread down once you have convinced yourselves of no wrongdoing on behalf of Squared Financial ? Moreover, might you consider creating a separate space dedicated to undesirable clients ? ... after all, "peace" implies two parties.

 

[ABV]

Tell me, please, am I alone who saw and try such spread at the night June 24?

 

[ABV]

Some response has been received:

Dear Sir,

This message is to inform you that we have decided to terminate business
with you, close your account, and repatriate your funds.

While it is entirely legitimate to criticise any service provider
publicly, your public accusations of dishonesty and illegal actions
undertaken by our firm are nothing short of defamatory, which transforms
legitimate complaints into civil responsibility for yourself, and
unjustified reputation risk for our firm.

While I can entirely appreciate an imperfect understanding of a
relatively complex business such as foreign exchange, your level of
understanding of basic concepts of market mechanics and financial
statements, coupled with insults to our integrity, should be sufficient
reason to cease our business relationship.

In order to repatriate your funds, please communicate your bank details
to us promptly.

and 1 file, which is attached here

 

[ABV]

As for the question about legality and/or illegality of your actions

My opinion if it possible.

Legal - is established by law or by custom, including custom business turnover
Illegal - is the antonym of the word "legal."

Illegal actions in this context - those that explicitly prohibited by law.
Actions that are not prohibited by the law directly, but have damaged or cause significant damage to those interests that are protected by law, are also illegal.

If you try to cut off someone's hand by a blunt saw and will thus say us that it is not prohibited by law, that it is legal, because it is illegal to saw off his hand only by a sharp saw, you'll be wrong.

And in our dispute with you is the same.

If your actions moving apart spread on 2+ figures (204.4 pips) were in the nature of custom, that is, would meet over the place, such actions would be legal.
But since neither you nor anyone else for more than a week did not say that 200+ pips spread is a normal, given the fact that these actions have caused me serious harm, these actions are illegal in nature.

That's why I'm thinking about it as "illegal".

These actinos have been committed by your company, i.e. it's your problem, not me.

I should not be responsible for these actions of your company or suffer damage.

You have caused me harm, including destroyed my trading strategy.

Do you really think is it my problem?

And excuse me, please, English is not my native.

 

[Master Yoda]

if its true it's a disgrace
over 200 pips even at 5 digits is a very high on EURJPY as well