Quote from NoDoji:
Wrong! It's only 70%!
http://online.wsj.com/article/BT-CO-20110531-715481.html
FXCM Is Latest Sign Of Hedge Funds' Retail FX Push
5:34 PM ET 5/31/11 | Dow Jones
By Chana R. Schoenberger
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--Hedge funds reported stakes in online retail currency brokerage FXCM on Friday in the latest sign of accelerating interest in the fast-growing market for retail foreign-exchange trading.
Yet this corner of the currency market carries significant risks, both for brokerage shareholders and for retail traders themselves. Only about 30% of trading customers make money, according to data released by those brokerages that are publicly held.
That loss rate means the brokerage houses must spend considerable time and money finding new customers to replace disillusioned investors who lose their shirts.
Investors tied to hedge funds Citadel, Maverick Capital, FrontPoint Partners, Samlyn Capital, Alyeska Investment and Seneca Capital all reported positions in FXCM as of the end of March, according to a research note released by LeapRate, which follows the online foreign-exchange trading industry.
The investments indicate that some traders think FXCM's stock is undervalued, LeapRate's analysts wrote. In addition, they wrote, "it also reveals to us that some very keen and experienced investors have been keeping their eyes on the sector, waiting for the right time to buy in."
Part of the demand might stem from the desire to cash in on the "white label" business, in which FXCM and competitors like Gain Capital Holdings run the currency trading systems that banks provide their customers, says Javier Paz, a research analyst at Aite Group.
As foreign-exchange trading grows--the total market now tops $4 trillion in daily volume, according to the most recent data from the Bank for International Settlements--the retail segment has become an increasingly large segment. At the same time, new regulations, including the Dodd-Frank rules in the U.S., are honing in on trading houses.
As of July 21, U.S. banks will have more freedom to offer currency trading to individual clients, under new rules from the Office of the Comptroller of the Currency. Rather than set up these services themselves, banks may "white label" foreign-exchange retail services from FXCM and its rivals.
"I don't anticipate banks will flock to it right away, but I think they will want to," said Paz, noting that financial institutions recently have been buying Aite's reports on the structure of the online currency trading industry. "They're starting to put it on their radar screen."
-By Chana R. Schoenberger, Dow Jones Newswires; 212-416-4803; chana.schoenberger@dowjones.com
According to this ariticle:
http://articles.latimes.com/2011/apr/03/business/la-fi-amateur-currency-trading-20110403
An estimated 615,000 Americans are dabbling in foreign currency trading, encouraged by advertising from the two biggest U.S. brokers, FXCM Inc. and Gain Capital Holdings Inc., both based in New York.
Combined, FXCM and Gain have about 260,000 accounts, a third of them in the U.S.
These customers are losing money in spectacular fashion.
At FXCM, 75% to 77% of customers lost money each quarter last year, according to newly required disclosures to the Commodity Futures Trading Commission. At Gain, which operates through
http://www.forex.com, the number of unprofitable customers hovered between 72% and 79% every quarter last year, according to its filing.
FXCM quoted:
"The majority of people today are on a quarterly basis not doing well," Drew Niv, FXCM's chief executive, acknowledged in an interview.
75% loses on each qtr results to at least 98% losers annual meaning more than 95% of small traders lose. They just lose!
Quite a handful of fast moving DOMs 
