Not sure if we’re allowed to post links to other sites so I’ll avoid it, but ForexMagnates says industry losses after yesterday’s SNB decision could cost the industry $1b or more as business models are called into question and bankruptcy rumors swirl. FXCM is rumored to be soon bought out in a fire sale and at least 2-3 other brokers are either done or will absorb losses in the tens of millions.
This is just like the documentary on Black Wednesday (GBP crash in '92) that I saw last year.
These are their estimated losses for each broker:
It appears the broker I’m signed up with, Oanda, is okay, though:
Speaking to Forex Magnates, OANDA’s CEO Ed Eger, said, “At OANDA we spent yesterday, taking care of our clients and their needs. Orders and withdrawal requests were executed as usual, there were no break trades and our customers’ orders have been executed at the best possible rates.”
Commenting on what is the main takeaway from Thursday’s ‘black swan’ event to the industry, Mr Eger stated, “A well capitalized company is extremely important to run a successful brokerage even in dire market conditions. The extraordinary events which we witnessed yesterday, have put us in an even stronger position and I can share with you that we are seeing 2 to 3 times higher number of new clients signing up today.”