There are at least three brokers on the list still accepting U.S. customers using micro accounts (those most affected by the draconian new margin rules) that I recognize: United World Capital, Tadawul and FX Open. I’ve heard good things about FX Open but that was some time ago, back when I first started learning forex.
Do we have any current customers of these brokerages who can speak to their quality?
I’m with a new offshore broker, 4runnerforex
I think they are still taking usa clients. They have treated me pretty good so I recommend them.
They do - I can confirm. Here’s what they wrote to me in response to my inquiry: “We don’t market in the USA but Yes, we do accept USA clients if they come to us.”
Re: [B]4runnerForex[/B], I will add them to the list.
Well, well… Time is passing and the US CFTC doesn’t (or rather, can’t) do a damn thing to prevent foreign brokers with no US presence from servicing US individual customers with no leverage restrictions. Very interesting. :rolleyes:
I contacted [B]WSD (New Zealand)[/B], asking for information on their required initial deposit, their maximum leverage, and their spreads, in order to fill in the blanks in their listing.
[B]I received a reply from WSD’s compliance manager asking me to remove them from our list.[/B] They clearly didn’t like the warning I had posted regarding WSD. Here’s the listing which they objected to, which I have now removed:
WSD (New Zealand) — exercise extreme due diligence
— see the following news item — SFO to investigate WSD - Story - Business - 3 News
Platform: WSD Direct. – Min. initial deposit: _______. – Max. leverage: _______. – Spreads: EUR/USD 2 pips, GBP/JPY _______.
WSD Global Markets Ltd : The online trading provider matching highest standards in integrity and safety
Did they provide a specific comment on the matter (regarding the SFO investigation of their activities)?
No specific comment.
Here is the entire email:
Hi Clint,
We would appreciate if you would kindly remove our name from the link below and oblige as we do not wish the manner in which the same is appearing our name is displayed will do any good to WSD.
Regards,
Paul Francis Louis
Compliance Manager
WSD Global Markets Ltd
New Zealand
DDI +64 9 66320129
Our team is is also looking for a new broker that accepts US traders. They need to also be sound financially, allow .01 standard lot size trades or smaller (smaller preferred). The broker has to be a pass through type as one of our systems never loses trades and we don’t want to be on opposite side with our brokers. They must use MT4 and allow grids (No FIFO BS) and hedging with a good support staff.
Does anyone have experience with a broker that fits all of that? Roboforex out of New Zealand has eliminated their swap like GoMarket had done but GoMarket had to stop that practice as it was costing them too much. There seems to be a lot of Russian companies doing business in New Zealand and the guy that I was talking with was not a native English speaker. (The main office is supposed to be in New Zealand) This makes me a little insecure. Any suggestions?
Bob
[B]IG Markets (Australia)[/B] has been removed from the list, as requested by their Head of Compliance.
Here is the email I received from her:
Mr. __________,
My name is Caitlin Glazier and I am the Head of Compliance at IG Markets Inc, the US office of IG Markets. I was provided the email below by our Australian office.
I am writing to request that you remove IG Markets Australia as a listed offshore broker who is willing to open new accounts for US Residents. IG Markets Australia does not, and will not begin to, accept US residents as clients. All US residents who wish to open account with IG Markets must open with IG Markets, Inc - the registered NFA member (ID#342337).
Please confirm that you will remove IG Markets Australia from the list of offshore brokers appearing on BabyPips.
If you have any further questions, please do not hesitate to contact me directly either at this email or via my direct line at (312) 981-0419. I look forward to your response.
Kind Regards,
Caitlin Glazier
I have sent Ms. Glazier confirmation that IG Markets has been removed from the list.
I sent an email to [B]City Credit Capital (UK)[/B] asking for info on their EU and GJ spreads.
I received a reply from John Murray, who is City Credit Capital’s contact person for U.S. clients. For anyone considering opening an account with City Credit Capital, John Murray’s contact information might be useful.
Here’s a copy of his email:
Hello Clint,
Thank you for your request for information.
Our maximum leverage is 100:1, our spreads are stable (almost fixed), EU/USD 3 pip spread GB/JPY 8 pip spread.
I am the contact person for US clients. I am from NY originally; therefore, the US clients are dealing with an American.
Best Regards,
John C. Murray
Director of Business Development
City Credit Capital (UK) Ltd
Tower 42, 20th Floor
25 Old Broad Street
London, UK EC2N 1HQ
Direct Dial: +44 (0)20 7614 4710
Telephone: +44 (0)20 7614 4600
Fax: +44 (0)20 7614 4703
Ask them for their comment on the matter and promise to post it here to maintain objectivity. 
well of course they will…they are happy to take money from anyone…LITERALLY IT SEEMS…check this
SFO EXECUTES SEARCH WARRANTS in WSD Group INVESTIGATION
The Serious Fraud Office (SFO) today announced that it had opened an investigation into the affairs of the WSD group of companies, executing search warrants at WSD Group’s premises at 475 Mount Eden Road and a private residence in Glendowie earlier today.
WSD was, until recently, controlled by former Wall Street Banking Corporation Director, Riaz Patel.
The investigation involves WSD Global Markets Limited, WSD Financial (NZ) Limited, WSD Financial Group Limited and others. WSD Global Markets Limited is accredited as an NZX Futures and Option Firm. None of the other entities are accredited or regulated by NZX.
SFO Chief Executive, Adam Feeley said the investigation had been coordinated closely with the NZX and Securities Commission.
Mr Feeley said that WSD has actively promoted New Zealand as part of its marketing strategy to investors stating (on its website):
“New Zealand has developed a sophisticated, unrestrictive business environment that competes aggressively in world markets. Geographically New Zealand has the advantage of being the first country to start the trading day being midway between the USA and Asia. This advantage is further complemented with political stability and world class, business orientated, governance…. With new initiatives it has grown into a financial services powerhouse in the Pacific with regulations that add support to the industry. More and more international investors are now looking to New Zealand for investments and related services.”
“Most of the investors in WSD are overseas residents, so it is important that the SFO does all it can to protect New Zealand’s reputation amongst both domestic and international investors as a well-regulated and safe place to invest.”
The investigation centers on allegations WSD has failed to correctly account to investors for funds received.
In 2008 the Cook Islands Financial Supervisory Commission placed WSBC in statutory management and revoked the banking licence with effect from 31 December 2009.
Mr Feeley, said, “There is a misconception that the SFO has previously investigated WSBC. In 2008 we simply to provided assistance to the foreign authorities who were investigating WSBC. The file was closed once that role had been fulfilled.”
Mr Feeley added that the investigation was the twelfth major investigation commenced by the SFO this financial year.
“We are well ahead of the expected caseload for the year to date, with a total of 20 cases involving losses of over $630M under investigation, and a further 32 cases involving losses over $235M being prosecuted.”
Mr Feeley said that the SFO did not see any sign the SFO’s caseload diminishing in the near future.
For further information
Adam Feeley
Chief Executive
Serious Fraud Office
Phone 021 333 539
Note to editors
Background of WSD Group
WSD describes itself as “an international company that specialises in Foreign Exchange, Precious Metal, Futures, Options, and CFD’s.”
WSD is believed to be operating in New Zealand, Australia, Kenya, India, Thailand, UAE and the United States.
SFO provided assistance to Cook Islands and Indian authorities in 2008 when those authorities investigated WSBC and Mr Patel in 2008.
A former representative of one of the firms under investigation has alleged that the WSD group of companies is nothing more than a “Ponzi” scheme.
WSD Global Markets Ltd was the outsourced margin trader for WSBC Bank formerly the holder of a banking licence in the Cook Islands. The Cook Islands Financial Supervisory Commission placed WSBC in statutory management in 2008 and revoked the banking licence with effect from 31 December 2009.
During the period of statutory management the investments of many WSBC clients appear to have been transferred to WSD entities. Concerns have been raised over the legitimacy of some of these transfers.
The Thai Securities and Exchange Commission terminated WSD Financial (NZ) Ltd’s futures trading license on 8 June 2010.
The role of the Serious Fraud Office
The Serious Fraud Office (SFO) was established in 1990 under the Serious Fraud Act in response to the collapse of financial markets in New Zealand at that time.
The SFO operates under two sets of investigative powers. Part 1 of the SFO Act provides that it may act where the Director “has reason to suspect that an investigation into the affairs of any person may disclose serious or complex fraud.”
Part 2 of the SFO Act provides the SFO with more extensive powers where: “…the Director has reasonable grounds to believe that an offence involving serious or complex fraud may have been committed…”
Have you even bothered to read the most recent posts in this thread?
Evidently, they do not want to comment on this issue.
Here are the most recent emails to, and from, WSD:
From: Clint <____>
Date: Monday, December 6, 2010, 11:10pm
To: Paul Francis Louis-Compliance Manager & AMLO <francis@>
Subject: Re: Request for information
Hi Paul
WSD was removed from our list on Monday, 6 December, per your request.
I presume that you objected to our mention of the investigation of WSD by the SFO.
Would you care to explain WSD’s side of the story?
Regards,
Clint
----- Original Message -----
From: Paul Francis Louis-Compliance Manager & AMLO
To: 'Clint’
Sent: Monday, December 06, 2010 7:13 PM
Subject: RE: Request for information.
Hi Clint,
Greetings from WSD Global Markets Ltd.
Would appreciate to receive a confirmation to the effect that WSD’s name
has been removed from the link.
Regards,
Paul Francis Louis
Compliance Manager & AMLO
Last weekend, I sent emails to 10 of the brokers on our “yes” list, asking them to furnish some missing information in our listing (required deposit, allowable leverage, spreads, etc.).
I have received replies from 4 of them:
[B]City Credit Capital (UK)[/B] and [B]F/B Capital Markets (British Virgin Islands)[/B] supplied the requested info.
[B]WSD (New Zealand)[/B] and [B]IG Markets (Australia)[/B] asked to be removed from our list, for reasons already discussed here.
That leaves 6 brokers that haven’t yet gotten a “round tuit”. I’ll give them another nudge.
In the meantime, I’ll move the 3-page Offshore Broker list to the end of this thread, where it should be easier to find.
and tax season comes around then the right thing to do is report your earnings. What do you do? If you report them on your income taxes then do you open yourself up to audits and possible legal action? On the flip side it would be illegal to hide any earnings. So what’s the right call here?
8
When in doubt look to your heart. It will guide you when everything else goes dark. There is a legal way to deal with all the rules that the US government places on its subjects, don’t be one. You can open an off shore trust, its legal and protects your holdings. A trust is a legal entity in the country where it is established. You can trade through your off shore trust with no guilt but if you bring funds from your trust into the US, then you are responsible for paying tax on your gain. While it is in the trust, the money is not yours, it belongs to the trust. When it becomes yours, and you are under the laws of the US, you are required to pay. I know I didn’t really answer your question, but in some matters, there may not be any right answers, just what is right in a bigger place than time and space.
I’m not opposed to establishing an offshore entity. However, there is so much information out there that it’s difficult to know what’s a scam and what isn’t. Do you have more information?
I have NO ISSUE at all paying taxes to my government on my earnings. I just want the opportunity to keep on earning. For me that’s impossible w/ a US broker due to the obvious restrictions. I make great money trading and just want to be able to continue that.
On what grounds?