AMF Publishes Four-Year FX Study, 89% of Investors Experiencing Losses

Autorité des marchés financiers (AMF) has issued an announcement warning investors of the potential dangers of trading FX, following a

amfAutorité des marchés financiers (AMF) has issued an announcement warning of the potential dangers of trading FX, following a mounting number of complaints from investors.

While the AMF serves as a regulator for a variety of unauthorized FX and Binary Option providers, it has embarked on a campaign to educate would-be traders and investors of the potential perils of FX trading.

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According to the results of its exclusive study, nine out of every ten individual customers experiences net losses – the sample size included both FX and CFD (Contract For Difference) traders in France, in what has become the first comprehensive assessment of these instruments in this manner.

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Furthermore, the final results of the study yielded that over a four-year period (2009-2012), the percentage of investors experiencing losses came in at 89%. The average loss of a customer during this period was $13,800 (€10,900).

In the four years combined, a total of 13,224 customers experienced aggregate losses of nearly $220 million (€175 million), with the remaining 1,575 customers earning a combined $17.51 million (€13.8 million).

While these results in and of themselves are unlikely to herald a widespread change in the industry, they do underscore the latent risks in FX trading, along with the need for proper FX-educated traders.

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