July 2, 2009
Notice to FXCM LLC (FXCM U.S.) Traders with MT4 Accounts
FXCM LLC would like to notify all FXCM clients holding MetaTrader 4 (MT4) accounts with FXCM U.S. of the changes that will occur after July 31, 2009. The National Futures Association (NFA), the primary regulatory authority for forex in the United States, has adopted new compliance rules that will have dramatic consequences for your MT4 account. The most significant new requirement requires all open positions to be closed out on a first-in-first-out basis.
To date, we have received no indication that the MT4 platform will be able to be modified to comply with first-in-first-out execution without significant loss in functionality. The solutions that FXCM have examined would cripple the operation of many expert advisors and will result in a much less robust platform. As a result, FXCM plans to support the MT4 platform through its UK entity―Forex Capital Markets Limited (FXCM UK)―which is regulated by the UK’s Financial Services Authority (FSA) . The MT4 platform will no longer be offered through FXCM U.S. and will be discontinued on July 31, 2009.
AS OF JULY 31, 2009, ALL FXCM U.S. MT4 OPEN POSITIONS WILL BE CLOSED. Clients will have the choice of having their account transferred to FXCM UK with no change to their existing trading platform functionality.
If you wish to transfer your account to FXCM UK, please complete the one page form. Account Transfer Form (http://www.fxcm.com/mt4-hedging-transfer-form.jsp)
DEADLINE TO COMPLETE EARLY OPT IN: JULY 8, 2009
DEADLINE TO COMPLETE LATE OPT IN: JULY 21, 2009
Important Notice: If you completed the transfer form, your account will be operational prior to the implementation of new NFA regulations. You will be notified via e-mail when your account is transferred.
Your account number and password will remain the same and your open positions will remain intact. Moving an account to FXCM UK involves some changes in deposit and withdrawal instructions, and changes in charges for transferring funds. However, FXCM UK clients have the option to send funds to the United States and fund via credit card. MYFXCM.com will also be available.
Deposits | http://www.fxcm.co.uk/depositing-funds.jsp
Withdrawals | http://www.fxcm.co.uk/forms.jsp
MYFXCM.com | https://www.myfxcm.com/fxma/?plugin=0&ib=FXCM
If you have any questions about the new regulations or their effect on your risk management, please don’t hesitate to contact us at 1-888-503-6739, or e-mail us at info@fxcm.com.
FXCM Holdings LLC Facts
As of January 2009
- FXCM Holdings LLC has over $100 million in capital
- More than 125,000 live accounts are traded on FXCM trading platforms
- An average of $500 billion in notional volume is traded each month on FXCM trading platforms
- In excess of $600 million in customer funds trading on platforms offered by FXCM
Trading FX on margin carries a high level of risk, and may not be suitable for all investors.
