Hello, I would like to ask for some opinions about an email I received from my broker XM recently. It explains that due to new regulatory rules from ASIC. I My account will be transferred from XM AU to XM Global, which is regulated by the IFSC in Belize. To be honest I’ve been trading with XM AU for almost a year and am quite happy their services and fees.
Should I continue with this broker even though my account will be transferred to another subsidiary under different regulation. I understand they want to transfer all international clients out of XM AU to XM Global. My other choice is to use my other brokerage account with IC Markets which is keeping me under ASIC regulations, but if it’s safe to remain with XM I do prefer their trading conditions a little more.
Thank you for your feedback in advance.
you will know when you would want to make a retrieval of your profits
So are you saying I should switch to another brokerage account? I have accounts with both IC Markets and Pepperstone but for a while I preferred XM for their Ultra Low Account model.
I do not know man
but usually these islands have not strong regulations
Do you think it makes a difference that XM Group is multi regulated? Just your opinion, and thank you for sharing.
I thrust only regulated brokers by EU or Japan or US or Australia or GB regulators
Thanks for the feedback. I am seriously considering withdrawing my funds and use IC Markets
you will be able to keep your high leverage with the belize branch
Personally I prefer to limit my leverage to a maximum of 1:100 I . Too much leverage is not what I need. On the other hand I am torn because I’ve been happy trading with XM for over a year.
@SmallPaul, @Dulansi, Australian regulators are in the process of curbing the last high leverage outpost of Retail Forex via lower leverage (1:20) and separating Professional Accounts (Assets above AUD$2.5 Million - < 1:20 Lev.) and Retail Accounts ( >1:20 Lev.) similar to ESMA in Europe… So, in the future, having your account under ASIC (Australian) may be less appealing than ESMA / FSA Regulation.
The legislation has been drafted and is awaiting Government approval at the moment… Most Australian Brokers have seen the writing on the wall and have started to move clients offshore for this reason.
@Dulansi, IC Markets have been slowly moving international clients over to the Seychelles outside of ASIC regulation… so ask questions before changing.
Disclaimer: I have accounts with Pepperstone and IC Markets under ASIC Regulation… ATM.
Thanks for that information. IC Markets has first announced they will be migrating overseas clients accounts to Seyc5but later reversed that decision. Nonetheless I have been using XM over IC Markets and pepperstone for quite a few reasons (faster withdrawal processing, negative balance protection, lower stop out margin level, better customer support, etc)
That is why I’m here looking for assurance about the IFSC regulation, I want to feel more confident to continue with XM. Who are also multi regulated (FCA, CYSEC, ASIC and IFSC) But I don’t know if that makes their IFSC subsidiary any more reliable.
Hi!
I think no need to worry if all the clients will be transferred from XM AU to XM Global. Only think which you have to confirm is trading terms will be same or change.
Another option which will be fine is change of brokerage. Try it as an safe side and usage of different broker is also beneficial. You can registered with one of the best Forex broker; Baazex.com.
Good luck for your trading career
Its not going to make a difference in terms of security. You might even get lower spreads. XM is same company whether in BZ or AU, so if your money is stuck in BZ, you can take the fight to AU. It won’t get to that anyway. I have been using Forexchief broker in offshore for couple of months and there is no issue at all.
That is exactly what I need to understand. Since XM Group (Trading Point Holdings LTD) As a multi regulated group (FCA, CYSEC, ASIC & IFSC). Is a group of companies under one corporate umbrella. Will it affect me greatly in terms of security if my account was moved from one subsidiary to another?
Thanks
a subsidiary is an independent legal entity as far as i know
but you have to check well
Same here. Forexchief is very good for the news. I have read a couple of traders here using their platform.
ICMarkets, pepperstone and AETOS are good ASIC broker but the only that has perks are AETOS. Pepperstone used to have Qantas points from every trades, but they removed it. At least AETOS have iphone or credit bonus.