Proposed NFA Capital Requirement

Hotspot $7,700,000
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Knew not policy of management of NITE ,but public noted
NITE have enough money to support she's 100 % affiliate
hotspotfx . If they would wish ,money would not the problem

You can check 10-k from NITE by edgar www.sec.gov


Your respectfully
 
Again, simply having enough money to meet caps doesn’t necessarily qualify a any firm to become a “FX dealers”, in light of this new laws theirs a lot more hurtles FX firms face now, once the CFTC publishes the new “FX dealers” guidelines will all know who’s in and who’s out.

I still stand behind my provisos predictions “the firm would need to have a suitable amount of futures /banking business to qualify. In fact some of the biggest firms are partnering up with futures/banks for this very resion.
 
Quote from BigGun:

Again, simply having enough money to meet caps doesn’t necessarily qualify a any firm to become a “FX dealers”, in light of this new laws theirs a lot more hurtles FX firms face now, once the CFTC publishes the new “FX dealers” guidelines will all know who’s in and who’s out.

I still stand behind my provisos predictions “the firm would need to have a suitable amount of futures /banking business to qualify. In fact some of the biggest firms are partnering up with futures/banks for this very resion.
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###############

NITE(hotspotfx) have

http://www.knight.com/

Our subsidiaries include:

Direct Trading Institutional
Hotspot FX
Knight Capital Markets
Knight Equity Markets
Knight Equity Markets International
Knight BondPoint


http://www.knight.com/AboutKnight/index.asp
 
China Raids Northfinance and GFX Group

One of the fastest growing markets for retail fx trading is in China . The only problem for forex dealers is that currency trading in China is illegal. The Chinese Government routinely rounds up underground forex dealers and introducing brokers but just as with the old prohibition laws the trading public seems to just ignore their communist masters and keep on drinking that moonshine.

But currency bootleggers beware: if you get caught you may wind up in a stank Chinese prison sewing sneakers together for Nike or stitching hula shirts together for Wal*Mart.

Such are the fates now of dozens of former introducing brokers for Northfinance and Forex.CH after a series of raids in mainland China .

Of course, no one should be surprised that Northfinance has once again gotten into legal trouble. They have long been an industry rogue and their recent purchase by FX Pro has done little to rein them in. But this does not bode well for Forex.CH, which is a Swiss based broker already reeling from the new banking laws in Switzerland that may put them out of business. It is going to be a lot harder for them to meet Swiss capital requirements now that their boys in China have been pinched:

http://forex.hexun.com/2008-05-12/105899725.html
http://news.sina.com.cn/s/l/2008-05-22/040415591165.shtml

Since most people can’t read Chinese I’ll summarize below:
On May 12, Shanghai police arrested a Russian citizen, who was the chief representative of North Finance, in addition to personnel from Northfinance’s IB, marketing, operations and accounting departments. According to Northfinance’s Russian flunky, there were more than 40 IBs working for NorthFinance, and each IB had to bring in more than 20 accounts to maintain their IB status. NorthFinance took RMB as client deposits, and all the money went directly to the flunky’s personal account, over 20 million RMB is now sitting in his frozen account.

On May 22, Shenzhen police arrested 13 people, all of whom were referral agents for GFX Capital Markets. From 2004 to 2007, they introduced a total of 184 clients to GFX. Forex.CH rebated $40 USD for every transaction, and clients had to pay an extra 80-100 RMB per trade. According to the prosecutor, clients made money in the beginning, but they all lost in the end. The referral agents avoided detection all these years by masquerading as a software company selling FX market analysis.
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As I said before, China doesn’t play around. If they’re lucky these agents will be sent to a prison factory to spray lead paint on cheap Hannah Montana dolls but if they’re unlucky, well… take a read through Alexander Solzhenitsyn’s Gulag Archipelago and you’ll get the picture.

Now, knowing the manner that companies like GFX and Northfinance do business and knowing that they have been unregulated for many years why on earth would anyone open an account with such an outfit?
 
Bankruptcy Blues

Having a rough day trading? Well, things could always be worse. You could have an account at one of the bankrupt forex firms described below. Perhaps the worst thing about having an account locked up in bankruptcy is the uncertainty and the legalese that gets spit in your face by court ordered receivers, (although in the case of Aleccoh FX all you get is some ass clown appearing once a month on a bulletin board hiding behind a mug shot of George Soros.)

Here is the latest correspondence from the court appointed receiver at FXLQ:

Robb Evans & Associates LLC
Receiver of Forex Liquidity LLC
Notice to Customers and Creditors of Forex Liquidity LLC
May 28, 2008
The Receiver has communicated with many of you that it intended to file a motion this week with the United States District Court seeking approval of an interim distribution.

In the last few days certain unexpected events have taken place that will cause a delay in the Receiver’s motion. Those events involve creditor and other related issues which may or may not impact the ultimate distribution proposal to be made by the Receiver. The Receiver is not currently able to disclose the nature of what has transpired, but hopes to have these issues resolved very soon.

If these issues can be resolved, the Receiver should be in a position to make a distribution recommendation to the Court by mid-June.
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There is a lot of hedging in those three paragraphs. A lot of “if’s, should’s, unexpected’s, may’s, and hope’s” tossed in, which makes it far more likely that the customers stuck at FXLQ aren’t going to get all of their money back.

Of course his Holiness, Aleccoh FX, can’t be bothered to communicate in such a professional manner. He continues to hide behind a .jpg of George Soros and in his latest bloviation to the masses states: http://www.forex-tsd.com/212268-post1815.html
Good Day All

I am sorry for the delay in briefing you all but please be sure that my lawyers and I are following through this matter daily and recently by the hour.

Here is a small brief :

After many tractations and stallings by the -----------.SA staff and by its president, all the funds of the privatly owned account of its president has been frozen.

The good thing is that unofficialy the aleccohfx account holder's funds are there.

I of course refused to drop the criminal charges against these scammers unless they return the funds to each and every investor to the last penny.

As it seems, they are sending emails to the account holders giving them the choice to either continue trading with them or withdraw their funds.

I couldn't emphasize enough to send an immediate withdrawal of your funds to this email because i do not trust these people a bit , and if you read the postings on this thread, you will know why.

Please report back to aleccoh@aleccohfx.com if you have received your funds in order to inform my lawyers and the judge in charge of the case.

I must remind you that eventhough they bankrupted aleccohfx and -------.SA, we made sure that our criminal case was against physical persons and not moral persons, in clear, we are prosecuting mr --- --- and not the company , and the judge accepted this prosecution and acted upon this by freezing mr ----- funds.

It seems that the justice is putting the heat on them as we speak , and this is why they are trying to get out of this mess they put themselves and aleccohfx investors into.

I hope this will bring an end to this story very soon and it is not another stalling technique by these crooks.

Goodspeed
__________________
Good Day

aleccoh
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Such is life in the world of the undercapitalized. Let’s hope the new laws in the U.S. and Switzerland close the book on these all too common “bankruptcies.”
 
Quote from forexsavior:

Bankruptcy Blues




Such is life in the world of the undercapitalized. Let’s hope the new laws in the U.S. and Switzerland close the book on these all too common “bankruptcies.”
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It doesn't take a rocket scientist to figure out the solution. There should of been a mathematical formula that decides the size of your adjusted net capital, not a set minimum. This was done to allow a few brokers the most amount of clients. (MONOPOLY)

The loser here is us(the trader) who now have very few brokers to choose from.

thnx NFA
 
The Caveman Forex Challenge

My recent post questioning the validity of Caveman forex’s signals stirred up a chest thumping response from the Cro-Magnon community and like the cavemen from those Geico commercials they are up in arms over the stereotypes the Savior heaped upon them.

Therefore, the Savior has agreed to give the Cavemen a chance to defend their honor. I hereby am announcing “The Caveman Forex Challenge.”

Every Wednesday between 8-9pm Eastern Standard Time Caveman Forex posts a free trade off their signals:
http://www.cavemanforex.com/WednesdaysFreeForexPicks.html

The Savior will be placing these trades on his own Hotspot demo account to test the validity of the signals and the Savior will report the outcome of the trade the following day. The Savior will do this for several months (let’s say three) and then officially give Caveman Forex either the Thumbs UP or Thumbs Down sign.

Alright you homo erecti, the whole trading community is watching you now. I’m giving you guys more publicity than you have ever had before so this is your big chance or else it’s back to caveman’s crib for you!

http://www.youtube.com/watch?v=8QlG2Nmp8og
 
Quote from forexsavior:

The Caveman Forex Challenge

My recent post questioning the validity of Caveman forex’s signals stirred up a chest thumping response from the Cro-Magnon community and like the cavemen from those Geico commercials they are up in arms over the stereotypes the Savior heaped upon them.

Therefore, the Savior has agreed to give the Cavemen a chance to defend their honor. I hereby am announcing “The Caveman Forex Challenge.”

Every Wednesday between 8-9pm Eastern Standard Time Caveman Forex posts a free trade off their signals:
http://www.cavemanforex.com/WednesdaysFreeForexPicks.html

The Savior will be placing these trades on his own Hotspot demo account to test the validity of the signals and the Savior will report the outcome of the trade the following day. The Savior will do this for several months (let’s say three) and then officially give Caveman Forex either the Thumbs UP or Thumbs Down sign.

Alright you homo erecti, the whole trading community is watching you now. I’m giving you guys more publicity than you have ever had before so this is your big chance or else it’s back to caveman’s crib for you!

http://www.youtube.com/watch?v=8QlG2Nmp8og
More...



Agreed… a level playing field is all we ask.

We can either do it with Wednesdays over the next 3 months or every day for the next 3 weeks. It’s all the same… your choice.

You had us scratching our collective uni-brows with your delayed response so with the interest of putting this to bed in a timely manner, we sent the last two trading days signals “prior to the market” to Sweet Pip.

We felt her post #262 on 5/30/08 over at babypips.com indicated to us and everyone watching that she was a person with integrity who does the proper due diligence and was certainly on the skeptical side.

The last 2 days results can be seen at http://www.cavemanforex.com/cavemanchallenge.html

Now for those of you reading this, who think this is a contradiction regarding our feelings on posting past results, re-read the above paragraph. The 2 emails Sweet Pip received from us with the past 2 days signals are time stamped and were sent, we repeat “prior to the market”. I’m sure she will post them for verification if needed.

The above link is password protected. The password is “truth”.

Mr. Savior, if you choose to go Daily vs. Wednesdays, than this will be for your eyes only and the password will be changed as soon as you let us know where to email you the new one.

The signals for the following day will be posted there by 9:00 PM Eastern.

We thank you in advance for informing all who are watching on your various forex travels.

Btw … re: cavemancrib… those guys are just actors... real cavemen wear Birkenstocks.

Sincerely,
Cavemanforex.com
 
The Forex Man in the Mirror

The here has been a lot of pissing and moaning about the new law requiring forex dealers to have $20 million in adjusted net capital to stay in business.

Yet very few of the firms now affected by the law seem to have done much to stop it or modify it. At some point you have got to take responsibility for your own business. Everyone in the industry knew about this law. Yet where were the company press releases? Where was the organized lobbying? As Bob Dole once said "where's the outrage?!"

No. Instead you could hear the crickets chirping in the forex industry. Everyone acted as if nothing was going on. The response from smaller brokers seemed to be "maybe if we're real quiet they'll leave us alone." If Washington only hears the NFA's side of the story well then that is who they are going to believe.

If you want to blame someone for the passage of this law, blame the Forex Dealer in the mirror.

"Forex Dealer In The Mirror"

I'm Gonna Make A Change
For Once In My Life
It's Gonna Feel Real Good
Gonna Make A Difference
Gonna Make It Right . . .

As I, Turn Up The Collar On
My Favourite Winter Coat
This Wind Is Blowin' My Mind
I See These Forex Dealers In The Street
With Not Enough To Capital to Meet
Who Am I, To Be Blind?
Pretending Not To See Their Needs

A Summer's Disregard
An unregulated IB shop
And A One Money Manager’s Soul
They Follow Each Other On
The Wind Ya' Know
'Cause They Got Nowhere To Go
That's Why I Want You To Know

I'm Starting With The Forex Dealer In The Mirror
I'm Asking Him To Change His Ways
And No Message Could Have Been Any Clearer
If You Wanna Make The Forex World
A More Competitive Place
Take A Look At Yourself
And Then Make A Change

(Na Na Na, Na Na Na, Na Na,
Na Nah)

Forex Dealers Been A Victim Of
A Selfish Kind of Love
It's Time That They Realize
That There Are Some with No
Adjusted Net Capital
Not A Nickel To Loan
Could It Be Really Me,
Pretending That They're Not Alone?

A Willow Deeply Scarred,
Some trader's Broken Heart
And A Washed-Out Dream

They Follow The Pattern Of
The Charts, Ya' See
Cause They Got No Place To Be
That's Why I'm Starting With Me!
 
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