Hi-
There is an increasing amount of news about banks collapsing - it seems like every week a new one is about to fail and it’s seems to be spreading around the world. My question is this: how does this affect Forex brokers, say like an Oanda or a Forex.com? Is there any correlation or connection that would cause them to catch the cold as well? -i.e. how do they interact with these banks with their own money/capital and could this induce a domino effect and cause them to fail also?
I understand that the safety of your capital is not guaranteed with brokers, namely it’s not FDIC insured. etc. so my question is really about an INCREASE of risk and if there is any correlation at all between these two sectors.
Thanks for enlightening a newbie about the workings of the financial markets -
worried in new york,
windmills