Tagged: metatrader 5

FXCM (accounts under $50k) are traded OFF EXCHANGE= simulated. Not real.

FXCM is a registered Futures Commission Merchant and Retail Foreign Exchange Dealer with the Commodity Futures Trading Commission and is a member of the National Futures Association. NFA # 0308179

(NFA has released a public warning that all those who are registered with them are not trading on the real foreign exchange. They are all traded on simulated trading programs. They act as their own counter party or as eachother’s counter party.

FXCM also offers a Dealing Desk Execution model. In this model, FXCM will act as a market maker and is the final counterparty to any trades that you undertake. FXCM’s Trading Desk relies on various third party sources for the prices that it makes available to clients.

As final counterparty, FXCM’s compensation is not limited to our standard markup and our interests may be in direct conflict with yours. Additionally, acting in this capacity causes FXCM to accumulate exposure for the currencies we deal to you. As such, FXCM may take steps to mitigate risk accumulated during the market making process.  In the event that a client exhibits trading behaviors that prevent FXCM’s ability to manage risk FXCM may, in our sole discretion, transfer a client’s underlying account to our no dealing desk offering where that risk is shared with external counterparties.

FXCM may also transfer your account to our no dealing desk offering should the balance in your account exceed the $50,000 maximum.