:clover:Can you please tell me what this means then? I don't know if this is going to make much of a change but I thought to copy and paste it here for you so you can read it and tell me what you think. I really appreciate you sharing your opinion as I have no idea about these things and your information is invaluable. Thank you:clover:.
QUOTED FROM FSA:
NFA prepares to receive daily trading reports from Forex Dealer Members
National Futures Association's Board of Directors recently approved new NFA Compliance Rule 2-48 which will require all Forex Dealer Members (FDMs) to file a daily electronic report of trade data with NFA. The data will be filed electronically using NFA's newly developed Forex Transaction Review System.
"Since each FDM operates its own market for its customers and is the counterparty to each transaction, there is both the ability and the incentive to manipulate prices and/or control when orders are executed," said Regina Thoele, senior vice-president of Compliance at NFA. "Our Business Conduct Committee has already issued a Complaint against one of our FDMs for programming its trading platform to favor the firm instead of the customer when price slippage occurs. We believe that a comprehensive study of the trading activities of all of our FDMs is necessary to protect retail investors."
The new system has been designed to gather and process data from each of NFA's FDMs on a daily basis. The information submitted by the FDMs will include:
All order transaction records;
A list of executed trades;
A list of all customers on the first day of reporting, with any changes being reported daily;
A list of all money managers on the first day of reporting, with any changes being reported daily;
A list identifying all customers being managed by a particular money manager on the first day of reporting, with any changes being reported daily;
A list of all price adjustments made by the FDM; and
A list of any unusual events, such as a system outage or "fast market".
"We have worked closely with our Forex Dealer Members throughout the development of the system," said Tim McHenry, director of Risk Management and one of the project's leaders. "We hope to begin a pilot program with some of them within the next few weeks."
The system will analyze all of the data and create exception reports that identify potential price manipulations and problematic patterns of trading activity.
"We have developed this system to provide NFA staff with a method of regularly monitoring trade information and identifying unusual or suspicious trends," said Regina Thoele, senior vice-president of Compliance at NFA. "Ultimately, this will bring greater transparency and greater customer protection to the retail off-exchange forex markets."
Pending CFTC approval of NFA Compliance Rule 2-48, NFA has tentatively set February 4, 2011 as the effective date of the new rule and the first day that FDMs will be required to submit their daily reports.
Well, I just read a reply and found that you popped my bubble saying that these organisations don't guarantee a good company and they may be able to help afterward with trying to get your money back. Thanks for your comment pboyles because i'd rather my bubble be popped than my bank account.
