Going offshore to escape the CFTC

Broker Discussion Forex Brokers
4933

[quote=“Trendswithbenefits, post:4932, topic:35612, full:true”]
Hi Clint. Maybe a stupid question…with over 4600 posts, it’s probably been covered… But…

Australia has a few reasonable Brokers such as Pepperstone and IC Markets and others which I am aware don’t allow access to US citizens.

Is the issue your actual country of residence or the country and currency where your bank funds are located. [/quote]

The criterion, in almost every case, is residency in the U.S. Most offshore brokers who refuse U.S. clients say specifically that they do not accept “residents” of the U.S.

Pepperstone, which you mentioned, does not use the word “resident”, but their policy has the same effect. Here is what they say:

“Pepperstone is not able to accept applications from applicants in the following countries: United States of America, New Zealand, Japan, Burma, Canada, Côte d’Ivoire, Democratic People’s Republic of North Korea, Democratic Republic of the Congo, Eritrea, Former Federal Republic of Yugoslavia, Iran, Iraq, Lebanon, Liberia, Libya, Somalia, Sudan, Syria, and Zimbabwe.”

Over the years, we have vetted a long list of offshore brokers, including a long list from Australia, who will not deal with us. On post #3 of this thread, we list them. Here are the Australian brokers we have looked at – who will not accept us.

Ava Capital Markets Australia PTY Ltd (Australia)

Axi Trader (Australia)

Berndale Capital (Australia)

BMFN (Australia)

CLM - Core Liquidity Markets (Australia)

Direct FX Trading PTY LTD (Australia)

ForexCT PTY Ltd (Australia)

Forex FS (Australia)

Forex Nation (Australia)

Global Prime (Australia)

GO Markets (Australia)

Got Money FX (Australia)

Halifax Investment Services (Australia)

IBFX (Australia)

IC Markets (Australia)

IG Markets (Australia)

Kinetic Securities (Australia)

MXT Global PTY Ltd (Australia) — see Vantage FX PTY Ltd (Australia)

Pepperstone (Australia)

RubixFX (Australia)

SynergyFX (Australia)

Vantage FX PTY Ltd (Australia)

Expatriate Americans, who retain U.S. citizenship but reside overseas, face different – but, equally difficult – issues in trying to do banking and trading with offshore banks and brokers. All this is thanks to the U.S. Nanny State, and specifically to the FATCA regulations (which I won’t get into in this post).

1 Like
4934

[quote=“Clint, post:4933, topic:35612”]
“Pepperstone is not able to accept applications from applicants in the following countries: United States of America, New Zealand, Japan, Burma, Canada, Côte d’Ivoire, Democratic People’s Republic of North Korea, Democratic Republic of the Congo, Eritrea, Former Federal Republic of Yugoslavia, Iran, Iraq, Lebanon, Liberia, Libya, Somalia, Sudan, Syria, and Zimbabwe.”[/quote] Wow… that’s pretty sad… North Korea…

I just spoke to Pepperstone (from Australia) about this issue, they confirmed residence (DF act) is the issue (my apologies, should have done this the other way around) But… they did state that if you set your account up while in Australia and returned to the US there is not much they can do or prove some connection to a residence here, say business, holiday home, friends couch etc… it can possibly be considered. Got a place in Mexico…?

Cheers

1 Like
4935

I thought that although many speak of “residency” as the
criterion; that the real criterion is being a “U.S. person” and
therefore subject to U.S. taxation and regulation.

I should use my secondary British passport and establish
"residency" in the U.K. then I’d be “golden” LOL

hyperscalper

1 Like
4936

Hey HyperScalper… It’s only the Dodd-Frank Act which applies to US citizens that is the issue for trading with Aust. Brokers it appears.

Your IRS are every bit as predatory as our own ATO (more power than Police…) so you should talk to a US Accountant.

I can see a massive opportunity for an intermediary (Financial) between the States and OS…

I’m obviously not in the States, but from what I read, they are trying to get that act repealed?

…so maybe down the track.

4937

Is anyone familiar with Fibogroup? https://www.fibogroup.com/

4938

here is another broker who take us traders, LQDFX.com the review on forexpeacearmy is 50/50

4939

RE: FIBOGROUP no U.S. persons

I visited their site from my Amsterdam VPS, was geolocated as
being in the Netherlands, so was redirected to their fibogroup.au
site. There I chatted with the rep, asking whether U.S. persons
resident in the U.S. could open Forex accounts. No. Then I asked
whether U.S. persons, resident, say, in the U.K. could open Forex
accounts, and NO that makes no difference. NO U.S. persons,
regardless of residency.

hyperscalper

4940

it’s kind of hard to scroll up to get to the first page to see the broker list

4941

AS IF TO INVIGORATE THE “RAISON D’ETRE” OF THIS THREAD…

I found this article in Forbes which I hope will rekindle the enthusiasm
which this thread represents, TO FIGHT OVERREACH and destruction
of Forex trading market opportunities for U.S. persons.

[EDIT] note this article is by Robert Green who has been mentioned
as having bias elsewhere in this thread…

hyperscalper

4942

ANOTHER ARTICLE BY GREEN FURTHER EXPLAINING,
CFTC AS WELL AS CRYPTOCURRENCY STATUS

…I won’t abuse my posting privileges further… :slight_smile:

hyperscalper

4943

WHAT I GATHER FROM THIS is that “leverage” or "financing"
is part of the major issue CFTC has. Forex trading is objectionable
because of the “leverage” and Cryptocurrency trading is OK
when no “financing” or “leveraging” is being used…

If we traded Forex on a 1:1 cash basis, without any leveraging, it
seems, then CFTC would have less concern ?? Odd.

hyperscalper

4944

FINPROTRADING.COM TICKET SUPPORT AWOL ??

At this time, I’m not seeing any responses from FinProTrading.com
in their official ticketing system. Yeah, it sends you an email
about receiving your ticket, and then it just sits there.

My latest ticket to FinProTrading.com is this:
WHAT IS WRONG WITH YOUR SUPPORT?
to which, so far, there has also been no response…

hyperscalper

4945

FINPROTRADING.COM SUPPORT

SO I CONTACTED THEIR LIVE CHAT, rather than
their official Trouble Ticket system. They were able
to fix the problem of BTC -> USD funding to an
account.

THEY ADVISED to contact Live Chat Support, rather than
to use the trouble ticketing system. Who knew ??? Sheesh !

Honestly, I feel better now that we also have TurnkeyForex.com
as competitive to FinProTrading.com since there is at least
an alternative to FinProTrading if things turn south, etc…

hyperscalper

4946

SEEN ON REDDIT RE: FOREX FOR U.S. PERSONS

hyperscalper

4947

LQDFX has been on the List for many months.

I’m guessing, from your following post, that you discovered that fact for yourself.

Here’s how to do it —

Step 1

Forum scrolling instruction - 1.png944×769 42 KB

Step 2

Forum scrolling instruction - 2.png946×770 56 KB

1 Like
4948

anyone else brokered with FXchoice or LQDFX?

4949

You can review all the recent conversations regarding those two brokers, if you scroll back to post #2 in this thread, and click on the links shown there.

4950

The links in post #2 have been brought up to date.

4951

A couple of small observations:

FinProTrading routinely grants 400:1 leverage on request.

Performance and Bid/Ask spread status which I have
posted concerning FinProTrading applies equally to
TurnkeyForex.com as they are using the same backend service
provider, which is TurnkeyFX.com (not a broker but a
liquidity and connectivity provider for these two brokers.)

hyperscalper

P.S. spreads at 06:15 GMT (during the slow Asian session)
are:

symbol min , avg , max spread pips
AUDCAD, 0.5 , 0.9 , 1.0 #
AUDCHF, 0.4 , 0.6 , 0.7 #
AUDJPY, 0.2 , 0.4 , 0.6
AUDNZD, 0.1 , 0.6 , 0.9 #
AUDUSD, 0.1 , 0.2 , 0.5
CADCHF, 1.0 , 1.2 , 1.2 #
CADJPY, 0.5 , 0.6 , 0.8 #
CHFJPY, 1.3 , 1.4 , 1.5 #
EURAUD, 0.3 , 0.5 , 0.8 #
EURCAD, 0.7 , 0.9 , 1.2 #
EURCHF, 0.7 , 1.0 , 1.3 #
EURGBP, 0.3 , 0.5 , 0.6
EURJPY, 0.2 , 0.3 , 0.5
EURNZD, 1.5 , 1.9 , 2.2 ##
EURUSD, 0.1 , 0.3 , 0.4
GBPAUD, 1.1 , 1.5 , 2.4 ##
GBPCAD, 1.4 , 1.6 , 2.3 ##
GBPCHF, 1.2 , 1.3 , 1.7 #
GBPJPY, 0.2 , 0.5 , 1.2
GBPNZD, 2.9 , 3.2 , 4.2 ###
GBPUSD, 0.2 , 0.4 , 0.9
NZDCAD, 1.0 , 1.2 , 1.2 #
NZDCHF, 1.0 , 1.0 , 1.7 #
NZDJPY, 0.7 , 0.8 , 0.9 #
NZDUSD, 0.3 , 0.5 , 0.8 #
USDCAD, 0.3 , 0.4 , 0.7
USDCHF, 0.5 , 0.7 , 1.1 #
USDJPY, 0.1 , 0.2 , 0.3

Obviously they are better during the London
Session, so this is a worst case session.

4954

I just found out that LMFX does not support Signals from MQL5.com for the MT4 platform.

They refused to give me a reason for this.

There is absolutely no reason for this whatsoever.

This combined with the ridiculous time it takes to withdraw funds give me pause.

Please be aware of this before choosing this broker.

-Blarp