Swiss regulation only applies to Switserland, not to the EU as a whole.
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Proposed NFA Capital Requirement
- Thread starter forexsavior
- Start date
Swiss regulation only applies to Switserland, not to the EU as a whole.
Quote from BigGun:
Great move by Euro land, Banking licensees are not easy to get, especially now a days..
Puzzled buy the way forexsavior is all in favor of Euro land tighten their FX dealer requirements but remains agentsâ stiffer FX dealer requirements with in the USA, could this be because the firm your supporting would not make the cute if and when they do?
:eek:
Not true, I have long championed better regulation in the U.S. My only problem with the new rules is the cap requirements will penalize small firms. Other than that I fully favor giving CFTC more authority to regulate FX in teh U.s.
Swiss Dealer Dead Pool
There is great deal of uncertainty in the Swiss Forex Dealer community right now. There is no way of knowing which firms are here to stay and which firms are collecting coins in preparation for their crossing of the river Styx. I have emailed all the major Swiss firms to try and find out if each firm plans on getting a banking license. The responses (or lack thereof) have been quite illuminating.
As such I'm starting a Swiss Dealer Dead Pool to keep the trading public updated and informed about what is going on in Switzerland.
Firms that announced they are applying for a banking license
These firms have confirmed they plan on getting a banking license.
1) ACM
2) Fibo Group
3) Crown Forex
Firms that are fleeing Swiss Regulation
These firms have stated they are registered offshore and don't need to register.
1) Masterforex. Their business office is listed in Switzerland but they are registered in the Seychelles and have stated they do not need to get a banking license.
2) forex-swiss. FXCH, despite the fact they are NAMED "Forex Swiss" claim registration in Dominica. This is an odd company that has claimed multiple office addresses over the years including, Switzerland, Austria, South Africa, Iran, and the United States. Today they are claiming they have offices in Dominica and the United Kingdom. Tomorrow who knows, they could claim a mailing address in Tibet. Beware this firm.
3) Prime4X. Their head office is in Switzerland but they have stated they are applying for a license in Cyprus.
Firms that are no longer accepting customers
These firms are no longer accepting new customers.
1) WestCapFX
Firms that refuse to comment
These firms refuse to comment on the new licensing requirement thus leaving their customers completely in the dark about their future. I strongly recommend anyone who has an account with any of these firms take their money out immediately due to their lack of transparency.
1) GFX Group (Forex.CH)
2) DukasCopy
3) MIGfx
4) Swiss Direkt
5) Tadawulfx
6) Aleccohfx
7) Advised Trading
As always conduct your due diligence and make sure the firm you trade with is regulated and legit.
There is great deal of uncertainty in the Swiss Forex Dealer community right now. There is no way of knowing which firms are here to stay and which firms are collecting coins in preparation for their crossing of the river Styx. I have emailed all the major Swiss firms to try and find out if each firm plans on getting a banking license. The responses (or lack thereof) have been quite illuminating.
As such I'm starting a Swiss Dealer Dead Pool to keep the trading public updated and informed about what is going on in Switzerland.
Firms that announced they are applying for a banking license
These firms have confirmed they plan on getting a banking license.
1) ACM
2) Fibo Group
3) Crown Forex
Firms that are fleeing Swiss Regulation
These firms have stated they are registered offshore and don't need to register.
1) Masterforex. Their business office is listed in Switzerland but they are registered in the Seychelles and have stated they do not need to get a banking license.
2) forex-swiss. FXCH, despite the fact they are NAMED "Forex Swiss" claim registration in Dominica. This is an odd company that has claimed multiple office addresses over the years including, Switzerland, Austria, South Africa, Iran, and the United States. Today they are claiming they have offices in Dominica and the United Kingdom. Tomorrow who knows, they could claim a mailing address in Tibet. Beware this firm.
3) Prime4X. Their head office is in Switzerland but they have stated they are applying for a license in Cyprus.
Firms that are no longer accepting customers
These firms are no longer accepting new customers.
1) WestCapFX
Firms that refuse to comment
These firms refuse to comment on the new licensing requirement thus leaving their customers completely in the dark about their future. I strongly recommend anyone who has an account with any of these firms take their money out immediately due to their lack of transparency.
1) GFX Group (Forex.CH)
2) DukasCopy
3) MIGfx
4) Swiss Direkt
5) Tadawulfx
6) Aleccohfx
7) Advised Trading
As always conduct your due diligence and make sure the firm you trade with is regulated and legit.
Quote from forexsavior:
Not true, I have long championed better regulation in the U.S. My only problem with the new rules is the cap requirements will penalize small firms. Other than that I fully favor giving CFTC more authority to regulate FX in teh U.s.
Fair enough ,,, theirs also chatter that NF stopped excepting new account, they say itâs because their server are over loaded but this new requirements are more ten likely a contributor. The problem with Swiss regulators is their very top secret, so one would never know their accounts are stuck until you try to withdraw... Get your funds out, sit on the side lines, be safe not sorry.
The Cyprus Shuffle
Over the last few years an increasing number of forex firms have been popping up in Cyprus. It appears the Cypriotic authorities are taking notice and have begun to clamp down on rogue forex dealers. Recently The Cyprus Securities and Exchange Commission put out two separate warnings on forex dealers:
http://www.cysec.gov.cy/warnings_en.aspx
Note the second warning is in reference to Northfinance. This warning was put out last summer. Since then Northfinance has stopped accepting new customers as per this widely circulated chat in which they claim they are experiencing "server overload."
http://www.forexfactory.com/showthread.php?t=80044
Who is FX Pro? They are the same company that West Cap FX is now referring customers to since the new banking regs got passed in Switzerland. So it appears FX Pro is cleaning up nicely as a result of the increased level of scrutiny for forex dealers.
FX Pro is regulated in Cyprus by the Cyprus Securities & Exchange Commission. In fact, you can check the regulatory status of any Cyprus based broker by going to the Cyprus SEC's website here:
http://www.cysec.gov.cy/licence_members_1_en.aspx
You'll see FX Pro (under Euro Orient) and other firms such as Easy Forex and Windsor Brokers. This is verification that the firm is registered. I can't speak for the quality of regulation that Cyrpus provides but clearly any firm that is not registered here with their own license number should be avoided if they are claiming a residence in Cyprus. I see that Northfinance never had such a license number. Is it a coincidence then that they are no longer accepting new customers? I guess we'll never know for sure...
Over the last few years an increasing number of forex firms have been popping up in Cyprus. It appears the Cypriotic authorities are taking notice and have begun to clamp down on rogue forex dealers. Recently The Cyprus Securities and Exchange Commission put out two separate warnings on forex dealers:
http://www.cysec.gov.cy/warnings_en.aspx
Note the second warning is in reference to Northfinance. This warning was put out last summer. Since then Northfinance has stopped accepting new customers as per this widely circulated chat in which they claim they are experiencing "server overload."
http://www.forexfactory.com/showthread.php?t=80044
NorthFinance Support Team: Hello, My name is Anthony.
NorthFinance Support Team: May I please have your name and North Finance Account Number?
you: hello, my name is (edited)
NorthFinance Support Team: How may I help you?
you: i just want to ask regarding news that i heard, that NF is changing to EURO ORIENT SECURITIES AND FINANCIAL SERVICES LTD.
you: is it true ? and what are the impact to all customer ?
NorthFinance Support Team: Due to the unexpected growth, our trading platform for both REAL and DEMO accounts reached its maximum capacity and the addition of new clients might jeopardize the performance of the platform itself. Therefore, we have decided not to accept new clients on our NF platform to avoid any possible inconvenience or system delays that might be caused and affect existing users. Currently, we are evaluating various options on how to upgrade our platform in order to be able to accept more clients in the near future.
NorthFinance Support Team: To ensure the bests interests of our existing clients and yours as a potential client, we decided to operate as a Master Introducer referring all new clients to FxPro for execution of their trades in Forex and CFDs. This is a European regulated broker with better terms and conditions. More information on FxPro can be found below or by visiting
NorthFinance Support Team: FxPro
NorthFinance Support Team: Existing clients can still enjoy all the benefits of using North Finance
you: so, it is the same company. but not automatically become fxpro member. right ? need to register again, right ?
NorthFinance Support Team: Due to the overwhelming success of North Finance, we have experience incredible growth, and to avoid reaching maximum capacity North Finance will not be accepting any new registrations directly on the North Finance platform
NorthFinance Support Team: It is not the same company, however North Finance does recommend FXPro for new clients
NorthFinance Support Team: North Finance will operate as a Master Introducer referring all new clients to FxPro
NorthFinance Support Team: You can create an FXPro account directly on their website if you wish Sir
NorthFinance Support Team: and you can also continue trading with your current North Finance account.
NorthFinance Support Team: FxPro does differ to North Finance, and FxPro is a European regulated broker with better terms and conditions.
NorthFinance Support Team: You do not automatically become a member of FxPro. You would need to register on the FxPro website
NorthFinance Support Team: You would also be able to withdraw your funds from your North Finance account to your FxPro account if you so wished.
NorthFinance Support Team: You can also to continue trading with your North Finance account as it is if you wish sir
you: oh ... i see. ok, thank you very much for the explanation. good bye.
NorthFinance Support Team: You're welcome
NorthFinance Support Team: Thank you for the chat, Bye for now!
Who is FX Pro? They are the same company that West Cap FX is now referring customers to since the new banking regs got passed in Switzerland. So it appears FX Pro is cleaning up nicely as a result of the increased level of scrutiny for forex dealers.
FX Pro is regulated in Cyprus by the Cyprus Securities & Exchange Commission. In fact, you can check the regulatory status of any Cyprus based broker by going to the Cyprus SEC's website here:
http://www.cysec.gov.cy/licence_members_1_en.aspx
You'll see FX Pro (under Euro Orient) and other firms such as Easy Forex and Windsor Brokers. This is verification that the firm is registered. I can't speak for the quality of regulation that Cyrpus provides but clearly any firm that is not registered here with their own license number should be avoided if they are claiming a residence in Cyprus. I see that Northfinance never had such a license number. Is it a coincidence then that they are no longer accepting new customers? I guess we'll never know for sure...
Another Swiss Broker Collapses
Regulation canât come soon enough to Switzerland . Yet another Swiss Forex Broker is going through its death throes right now. After posting my Swiss Dealer Dead Pool a reader told me that one of the firms on my list, Aleccoh FX (naturally it was one of the firms that never responded to my email) was in dire straits and spitting up blood on a gurney over in Switzerland.
It took me a while but I eventually dug up a thread over at Forex TSD that details the whole sordid story. I will condense everything below but if you want the ugly blow by blow of how this firm has gone rigamortis click here:
http://www.forex-tsd.com/commercial...first-200-pips-me-rest-we-will-share-175.html
Aleccoh FX is one of the many unheard of firms that use Meta Trader. Sadly, the Meta Trader community has to play Russian roulette whenever a trader picks a forex broker since most Meta Trader Brokers are merely different sized turds in the MT4 toilet bowl. Sooner or later a stable and regulated firm will offer MT4 but until then MT4 traders will have to keep pulling that trigger hoping they donât get their heads blown off. Sadly for the traders at Aleccoh FX the chamber was full when they pulled the trigger.
So who are these guys? Well it appears this firm got started back in the spring of 2007. Someone calling themselves âAleccohâ appeared on the popular MT4 bulletin board Forex TSD claiming that if you sent him a couple hundred bucks heâd make you 200 pips free of charge. Things just took off from there as people poured on to the thread and starting sending him money left and right.
But then things came to a crash in January of this year. Mr. Aleccoh suddenly disappeared from the board. Nobody at Aleccoh answered customer calls anymore. Rumors abounded about another firm taking over Aleccoh that goes by the creepy name of âSpacevision.â Then Aleccoh appeared again in late Feb to state he had retained legal counsel to fight Spacevision (or the Swiss Govât? Itâs hard to tell this Aleccoh is so shady) and that he was under some kind of gag order and couldnât reveal anymore information. Then it became public that the Swiss Government had taken over Spacevision and that Monica Favre (no relation to Brett) of the SFBC was heading up the investigation of the whole sordid affair. In short, Aleccoh had become another Tradex Swiss AG.
What this case shows is that the Swiss retail forex market is in complete chaos right now. All my warnings about doing business with Swiss brokers are coming true. The Government is rumored to be conducting over a dozen investigations of forex dealers in Switzerland . In short, sending money to Switzerland has never been so dangerous. More to come tomorrowâ¦
Regulation canât come soon enough to Switzerland . Yet another Swiss Forex Broker is going through its death throes right now. After posting my Swiss Dealer Dead Pool a reader told me that one of the firms on my list, Aleccoh FX (naturally it was one of the firms that never responded to my email) was in dire straits and spitting up blood on a gurney over in Switzerland.
It took me a while but I eventually dug up a thread over at Forex TSD that details the whole sordid story. I will condense everything below but if you want the ugly blow by blow of how this firm has gone rigamortis click here:
http://www.forex-tsd.com/commercial...first-200-pips-me-rest-we-will-share-175.html
Aleccoh FX is one of the many unheard of firms that use Meta Trader. Sadly, the Meta Trader community has to play Russian roulette whenever a trader picks a forex broker since most Meta Trader Brokers are merely different sized turds in the MT4 toilet bowl. Sooner or later a stable and regulated firm will offer MT4 but until then MT4 traders will have to keep pulling that trigger hoping they donât get their heads blown off. Sadly for the traders at Aleccoh FX the chamber was full when they pulled the trigger.
So who are these guys? Well it appears this firm got started back in the spring of 2007. Someone calling themselves âAleccohâ appeared on the popular MT4 bulletin board Forex TSD claiming that if you sent him a couple hundred bucks heâd make you 200 pips free of charge. Things just took off from there as people poured on to the thread and starting sending him money left and right.
But then things came to a crash in January of this year. Mr. Aleccoh suddenly disappeared from the board. Nobody at Aleccoh answered customer calls anymore. Rumors abounded about another firm taking over Aleccoh that goes by the creepy name of âSpacevision.â Then Aleccoh appeared again in late Feb to state he had retained legal counsel to fight Spacevision (or the Swiss Govât? Itâs hard to tell this Aleccoh is so shady) and that he was under some kind of gag order and couldnât reveal anymore information. Then it became public that the Swiss Government had taken over Spacevision and that Monica Favre (no relation to Brett) of the SFBC was heading up the investigation of the whole sordid affair. In short, Aleccoh had become another Tradex Swiss AG.
What this case shows is that the Swiss retail forex market is in complete chaos right now. All my warnings about doing business with Swiss brokers are coming true. The Government is rumored to be conducting over a dozen investigations of forex dealers in Switzerland . In short, sending money to Switzerland has never been so dangerous. More to come tomorrowâ¦