not all of these firms are fully hedged, I'm not sure whether they would let clients get out of any positions when there is no liquidity for themselves (the platform might be automated but it would be silly for it to blindly allow orders to be executed in a situation like this and they don't appear to have done so given some of the complaints - they will have a clause regarding any fixed spreads in a situation like this) - I would assume there are quite a few clients who's stopped were slipped massively and who have sustained losses larger than the amount of funds they had deposited, at least that seems to be the indication - people getting fills far away from where their stop was - given the leverage they were offering it is quite possible that they could have a situation where a bunch of clients have taken very large losses that can't be covered. Hopefully the clients with positive balances will get fully compensated one way or another.
not all of these firms are fully hedged, I'm not sure whether they would let clients get out of any positions when there is no liquidity for themselves (the platform might be automated but it would be silly for it to blindly allow orders to be executed in a situation like this and they don't appear to have done so given some of the complaints - they will have a clause regarding any fixed spreads in a situation like this) - I would assume there are quite a few clients who's stopped were slipped massively and who have sustained losses larger than the amount of funds they had deposited, at least that seems to be the indication - people getting fills far away from where their stop was - given the leverage they were offering it is quite possible that they could have a situation where a bunch of clients have taken very large losses that can't be covered. Hopefully the clients with positive balances will get fully compensated one way or another.
Please post comments here https://email.number10.gov.uk/ - Let your voice be heard
highbury fx
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Pat
CySEC have just released their report in to the effect the SNB had on CySEC regulated firms (CIF). You may find it interesting to read:
http://leaprate.com/2015/01/cyprus-...sday-was-eur-42-5-million-leaprate-exclusive/
Of the 182 Licensed CySEC firms, 158 have confirmed that there was no negative effect on their capital adequacy or their commercial actions due to the SNB decision.
CySEC has also declared that the problems facing investment business in other countries has generated a slight increase in the business of CySEC firms.
I'm not too sure whats going on in Greece or the Maldives or any other far away place, but if you find out can you let us know.
ChattiFX
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Latest update re claiming account balances:
Alpari (UK) Limited (in special administration) (“the Company”)
Update to clients and creditors – 30 January 2015
This update is in addition to information previously provided.
Claim agreement and return of client monies: retail clients
As previously communicated, one of the Joint Special Administrators’ objectives is to ensure the
return of client assets (including client money) as soon as is reasonably practicable. Before client
money can be returned, the Regulations require that each client agrees their client money
entitlement with the Joint Special Administrators. In order to facilitate this process, the Joint Special
Administrators are developing a web portal (“the Claims Portal”) which will (i) give retail clients
direct access to agree their claims; and (ii) provide information that will assist in a process for the
payment of distributions. Given the Company had a very large number of retail clients (in excess of
100,000), the Claims Portal is considered to be a significantly more efficient and cost effective
approach for agreeing claims than using a manual claim process.
It is estimated that it will take several weeks for the Joint Special Administrators to design, develop,
test and implement the Claims Portal. Further updates regarding the development of the Claims
Portal and actions required to be performed by clients will be provided in due course.
At this stage, there is no requirement for people who believe they have a client money entitlement
to submit a claim to the Joint Special Administrators for the purposes of receiving a distribution.
CFX
Alpari (UK) Limited (in special administration) (“the Company”)
Update to clients and creditors – 30 January 2015
This update is in addition to information previously provided.
Claim agreement and return of client monies: retail clients
As previously communicated, one of the Joint Special Administrators’ objectives is to ensure the
return of client assets (including client money) as soon as is reasonably practicable. Before client
money can be returned, the Regulations require that each client agrees their client money
entitlement with the Joint Special Administrators. In order to facilitate this process, the Joint Special
Administrators are developing a web portal (“the Claims Portal”) which will (i) give retail clients
direct access to agree their claims; and (ii) provide information that will assist in a process for the
payment of distributions. Given the Company had a very large number of retail clients (in excess of
100,000), the Claims Portal is considered to be a significantly more efficient and cost effective
approach for agreeing claims than using a manual claim process.
It is estimated that it will take several weeks for the Joint Special Administrators to design, develop,
test and implement the Claims Portal. Further updates regarding the development of the Claims
Portal and actions required to be performed by clients will be provided in due course.
At this stage, there is no requirement for people who believe they have a client money entitlement
to submit a claim to the Joint Special Administrators for the purposes of receiving a distribution.
CFX
terriegym
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well i suppose thats sounding a more positive
This is a load of bull, dont be fooled by this for one minute, I know exactly what is going on as I have had it from the horses mouth due to my significant contacts. The actual situation is that KPMG want to find any way possible to delay people taking their money out as the company will be harder to sell either as a whole or in bits. This is a great way to delay it even longer and keep the FCA at bay as they are seen to be progressing. The one item that blows their delay tactics out of the water is there is no need to make a system for people to get their money. Alpari already have this in place within their company. Its the system people have used always to put money in or take money out of Alpari. So to generate a new system when there is already one there is just pure delay tactics. The employees were still there up until end Jan. They could have started on this the monday after the crash just like excel markets did. The staff were there to do it and the system is still there. KPMG stated that customers accounts may not be totally accurate due to closing during the spike, a sort of sensible thing to do quickly but still a great opportunity to delay. i am just amazed that the FCA let this farce continue when the delay tactics are so easily seen through so what are they doing!!. KPMG know when the gates are opened that nearly all people will take their money out, who wouldnt so they must delay to sell as best as they can. Anyway just wanted to let you all know the real truth.
spinola
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I'd imagine KP will have to stop all money outflow , assess whats what, then control the release of funds. In fact they probably have a legal duty to do just that in a fair and reasonable time period.
2-3 months, probably passes the reasonable test.
Just my thoughts at this stage.
2-3 months, probably passes the reasonable test.
Just my thoughts at this stage.
spinola
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Yeah, i think on the friday , after 9.30 am, alpari were technically insolvent , so had to halt all withdrawal requests, although , then came the weekend panic hope to find a buyer?, hence not officially declaring insolvency until Monday (after last minute hopium fizzled out )
terriegym
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ChattiFX
Member
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I've just written off getting anything for a few months... these things are always going to take time.
Lessons I've learnt... I'm opening accounts with a couple more brokers so I can split my capital and I'll run them as lean as I can. I can always add funds to meet margin if needed without holding it in the actual brokers account.
CFX
Lessons I've learnt... I'm opening accounts with a couple more brokers so I can split my capital and I'll run them as lean as I can. I can always add funds to meet margin if needed without holding it in the actual brokers account.
CFX
terriegym
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yeah im going to do the same, but i need that capital back to get a second one going. small lots, hopefully filling a penny jar
spinola
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Use time wisely !
hmmm, yes. It is an unfortunate ' opportnuity risk ' that we have to suffer for a time, due to the rare event Put this one down to experience, and use it as an opportunity to find an alternative / better firm , better spreads perhaps etc.
Use the time to review your technique , think about what you would like to achieve , prepare oneself for the next assault in the market.There are many thousands of trading sessions ahead, and wild horses will not stop the determined from succeeding .
And we live to trade another day, perhaps some of the directors at Alpari , don't ?
Ah i see!! still the waiting is doing my head in,
hmmm, yes. It is an unfortunate ' opportnuity risk ' that we have to suffer for a time, due to the rare event Put this one down to experience, and use it as an opportunity to find an alternative / better firm , better spreads perhaps etc.
Use the time to review your technique , think about what you would like to achieve , prepare oneself for the next assault in the market.There are many thousands of trading sessions ahead, and wild horses will not stop the determined from succeeding .
And we live to trade another day, perhaps some of the directors at Alpari , don't ?
ChattiFX
Member
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I already have an account with GKFX and IG and I was running demo's on FXPro and FXCM...
IG I've used for years and have been pretty good.
GKFX my EA doesn't run properly on their MT4 platform for some reason so I need to get that fixed.
FXCM have been bailed out so hopefully they are now stable
FxPro I don't know much about...
I honestly don't know how to evaluate them for likely-hood of going bust so I'm thinking of splitting it between them all. As I said I'll be keeping the accounts at a level to maintain margin but no more...
CFX
terriegym
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to the FCA’s Client Asset rules, on insolvency all these designated accounts are
pooled and any segregated client is entitled to a share in the pool on a pro-rata basis.
Until the overall total of claims against the segregated pool is established,
money cannot be returned to individual clients having a claim against the segregated pool.
Q. What does pro-rata mean in regards to distributions?
A.
Clients are paid distributions in proportion to the value of their claims.
For example, if the Joint Special Administrators were to declare a distribution rate of 50 pence in the £,
1)A client with a claim of £100 would receive a distribution of £50; and
2)A client with a claim of £4,000 would receive a distribution of £2,000
pooled and any segregated client is entitled to a share in the pool on a pro-rata basis.
Until the overall total of claims against the segregated pool is established,
money cannot be returned to individual clients having a claim against the segregated pool.
Q. What does pro-rata mean in regards to distributions?
A.
Clients are paid distributions in proportion to the value of their claims.
For example, if the Joint Special Administrators were to declare a distribution rate of 50 pence in the £,
1)A client with a claim of £100 would receive a distribution of £50; and
2)A client with a claim of £4,000 would receive a distribution of £2,000
missluna1982
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if thats true i'm hoping that we can claim back the rest from the fca, god knows how long that will take. I've started a group on facebook if people want to join up and put some pressure on them. I'm London based and dont want to just sit around and wait. So many people are in serious problems because of this delay.
https://www.facebook.com/alpariclients?ref=hl
We are pretty safe even if its very annoying what they are doing. Whatever share we get of the pot, and KPMG have already said funds are there so it should be all. If not we are still covered by the Financial Service Compenation Scheme up to I believe £50k or £80k so only those with huge amount of money in will be concerned im sure 95% of us will get it all back between the two items
