FXCM Response to FXCM/PropFX Rating

Discussion in 'Forex Brokers' started by FXCM Rep 1, Jun 19, 2007.


  1. Yes while the prices may be different ie the spread in the interbank market is 2 pips in Cable normally, what you are getting at above is correct. FXCM's brokerage is built into the spread by adding a fixed rebate which comes to us for offering the product.

    Unless I am misunderstanding the question I don't think what you are saying is wrong or contradicts what you have said above.

    The banks have a price that they trade with each other and offer to large participants in the market such as FXCM. For EUR/USD its normally 1 pip. The Propfx platform shows a price normally of 2 pips. FXCM earns the extra pip minus the costs associated with providing the product such as prime brokerage costs.

    Sincerely,

    David Waring
    Managing Director
    FX Business Development
    Forex Capital Markets LLC
    32 Old Slip, 10th Floor
    New York, NY 10005
    Tel (212) 897-7660
    Fax (212) 897-7669
    Email: dwaring@fxcm.com
     
    #31     Jun 21, 2007
  2. both? greedy.
     
    #32     Jun 21, 2007
  3. No, not really. The average spread on currenex is 1 pip in Cable. It's 22x23 right now on IB.
     
    #33     Jun 21, 2007
  4. I've been with Oanda for 4 years now. I trade a mid level 6 figures account. The longest they have ever held my money after I have requested a withdrawl was 6 hours.
     
    #34     Jun 21, 2007
  5. forex162

    forex162

    I don't have anything to back this up, but I'm going to go ahead and guess that they give you much better service if you have a mid-sixes account than if you have 20k.
     
    #35     Jun 21, 2007
  6. da-net

    da-net

    Dear Mr. Waring,

    It is commendable that you have decided to address the issues at hand and are attempting to clarify your platform differences. I wish that others would do the same no matter if they are FX shops, equities, futures, cfd, or anything else.

    It is great that you saw a need for increasing the staff in that department and addressed it. I only wish that your company would have been so helpful when I was looking into which firm I traded with. Unfortunately, when I contacted your company and started a dialog by email, I recieved a reply to only my first email. I submitted a follow up for more clarification. I waited 30 days for a response, none came so I opened an account with your competotor because they did follow through on the communications.

    From what you describe as your PropFX platform that would be helpful in my trading. But the firm I am with has been great and I would not change for simply getting the info available there.

    I would ask one thing of you...Please continue the dialog from those ETers that attempt to be rational as this can only help the FX industry.

    Cordially,

    da-net
     
    #36     Jun 21, 2007
  7. bl33p

    bl33p

    I got good service when I had a 6 figures balance. I still get good service from Oanda with my current 3 figures balance. Someday in the future it might be 6 figures again or even 7. Summer is time for holding cash and enjoying life. I figure I've earned a 3 month summer vacation after all those 12-16 hour screen days.
     
    #37     Jun 21, 2007
  8. I wasnt comparing the prop fx price to the interbank market or spread.

    Say for example Barclays is one of the banks streaming prices into your propfx platform and they stream in say 21/22 in the euro. Is that the price you show and if someone deals on it then barclays give you a rebate based on the size of the ticket. or does the platform then adjust the 21/22 price by say half a tick a side so your price becomes 20.5/22.5 and you keep the mark-up/down?


    (I appreciate you will have more than one bank streaming in prices but trying to keep it simple)
     
    #38     Jun 21, 2007
  9. squall

    squall

    That's what I was gonna say.....
     
    #39     Jun 21, 2007
  10. squall

    squall

    Maybe I just have bad luck.
     
    #40     Jun 21, 2007