Should I withdraw my money?

Trading Discussion News and Economy
1

Good evening pippers, after Alpari, Fxcm got wounded too. Their shares fall like a bullet, is this a sign for insolvency ? Should I withdraw my money from Fxcm and search another broker ? Fortunately I didn’t have any open positions but I would like to know if Fxcm declares bankruptcy then what will happen to my deposit ?

Any ideas ?

Thanks

2

Hello EatSleepPipRepeat,

Have a read of the following from FXCM regarding your funds safety. They reference FXCM Inc., the primary holding company for the rest of the FXCM companies.

FXCM - Safety of Funds

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Pipstradamus

3

Its not worth the risk of staying with them. There are a lot of other good brokers that you just dont have the credit risk with.

4

Fxcm have got the $300m funding they wanted, they say trading as usual

5

If FXCM survives, then they may actually be a really good place to stay because they will most likely take new measures to prevent these troubles later.

6

I heard the news, I think this would be fine for FXCM, and I agree with Arbitrager on Acid, they will get precautions well.

7

Ok the on to a separate question and i know this is a little dirty of a topic since we are an fx crew.
Given the huge discount on their shares right now are they worth a punt?

8

Do you know if this is the same for the US version of FXCM cause I can’t find any similar information on their US website. Its only a requirement to segregate client funds in the UK not US right?

9

FXCM is a large company, should you leave it and jump to quick into another company before all the fallout is told you could wind up in a worse situation. Citibank lost 150 million, will prolly take another week or so to see who is still in business and who folds.

10

Would almost bet for a lot of other companies that a lot of the fall out will be hidden until the end of the quarter when books come to light in the hope things can be covered to keep some companies in business.

At least FXCM have come out in the open straight away and made clear what position they stand in. This whole thing has really reinforced for me that FXCM were the right choice to go with. Plus where I am there is a segregated traders account for our $.

If someone is willing to back them almost straight away with a $300mil loan they must have been in strong shape on the books and a good business model.