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JoseLeon · 06-30-2007, 08:09 AM

I received this email, do you think that it´s true?:

Hi there Jose

NFA has been coming down pretty hard on the forex industry lately. They have shut down 4 brokers so far this month, due to fraud and/or lack of funding, and they are just warming up.

As far as I know, and I may be wrong, but the names of the brokers that were shut down in June are the following:
FX Option Inc.
Spot FX Clearing Corporation
Trend Commodities Limited
United Global Markets
You can search them on google to find the website address. Again, if I am wrong about any of these firms, I apologize.

I've been receiving information from some reliable sources, but it's not confirmed yet, but it seems like NFA will shut down any broker that has less than $5 million in funds. I am not sure of the exact time frame, but it seems like in the next month or two. That's not the real problem. The real problem is that I believe some of these bucketshops are not well managed, and when the time comes that they have to go out of business and give all the money back to their clients, they may not have enough. Or even if they do, it's entirely possible that some of their CEOs may run away with the funds offshore. So I suggest that you check on your broker's financial capability by going to this link.

http://www.cftc.gov/files/tm/fcm/tmfcmdata0704.pdf

Don't get me wrong, I do believe that some serious firms that currently don't have enough funds could get enough funds to meet the requirements, but I do think that your safety of funds in some smaller firms could be under risk.

The rumor on the street that NFA will raise capital requirement to 9 million by end of this year, but it's still a rumor. If that happens, I am sure we'll have most small forex brokers go out of business, and we'll probably only have 15 or 20 left, which I think is a good thing.

Anyway, check your broker through the link above, and if you feel you could be at risk, perhaps consider taking your money, before it's too late, and the avalanche starts.

I think this is a very important heads up, and I want to make sure that my subscribers like you are taken cared of before everyone else, so don't post this on any forums, until your own funds are secure...

Thanks

06-30-2007, 08:09 AM	#1 (permalink)
JoseLeon Senior Crapper Join Date: Feb 2007 Location: South of Spain Posts: 502 My Mood: Portfolio: Forex Trading Fav Ecurrency: None Thanks: 131 Thanked 53 Times in 46 Posts	Brokers SCAM Alert I received this email, do you think that it´s true?: Hi there Jose NFA has been coming down pretty hard on the forex industry lately. They have shut down 4 brokers so far this month, due to fraud and/or lack of funding, and they are just warming up. As far as I know, and I may be wrong, but the names of the brokers that were shut down in June are the following: FX Option Inc. Spot FX Clearing Corporation Trend Commodities Limited United Global Markets You can search them on google to find the website address. Again, if I am wrong about any of these firms, I apologize. I've been receiving information from some reliable sources, but it's not confirmed yet, but it seems like NFA will shut down any broker that has less than $5 million in funds. I am not sure of the exact time frame, but it seems like in the next month or two. That's not the real problem. The real problem is that I believe some of these bucketshops are not well managed, and when the time comes that they have to go out of business and give all the money back to their clients, they may not have enough. Or even if they do, it's entirely possible that some of their CEOs may run away with the funds offshore. So I suggest that you check on your broker's financial capability by going to this link. http://www.cftc.gov/files/tm/fcm/tmfcmdata0704.pdf Don't get me wrong, I do believe that some serious firms that currently don't have enough funds could get enough funds to meet the requirements, but I do think that your safety of funds in some smaller firms could be under risk. The rumor on the street that NFA will raise capital requirement to 9 million by end of this year, but it's still a rumor. If that happens, I am sure we'll have most small forex brokers go out of business, and we'll probably only have 15 or 20 left, which I think is a good thing. Anyway, check your broker through the link above, and if you feel you could be at risk, perhaps consider taking your money, before it's too late, and the avalanche starts. I think this is a very important heads up, and I want to make sure that my subscribers like you are taken cared of before everyone else, so don't post this on any forums, until your own funds are secure... Thanks __________________ My Blog: To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts. "The more I know the people the more I love my dog"

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