Following client reports that Fortress has been delaying some withdrawals for over a month, the group has confirmed to Finance Magnates that it is indeed having issues to send out funds.
“We acknowledge we have had banking issues due to our rapid growth and are working to resolve this swiftly,” a Fortress company spokesperson said today. It is also expected that by swiftly the company means only a day or two until the payments will be sent to clients.
The United Arab Emirates-based Fortress Capital Investments was founded in 2010 as a highly diversified investment house. The firm also operates as a clearing house and boasts about having very deep capital reserves, as well as royal backing.
Can ODPs Bring Transparency to South Africa’s FX & Derivatives Industry?Go to article >>
In September 2014 the group launched Fortress Prime to offer custom margin and credit solutions to forex brokers worldwide as well as prime liquidity. At the time, the company reportedly had in its coffers a total equity close to $130 million.
His Highness, Sheikh Mohammed Bin Sultan Bin Hamdan Al Nahyan, has joined Fortress as Honorary Chairman and Partner. This effectively means that the venture is backed by the Al Nahyan Family, which is one of the six ruling families in the United Arab Emirates and is estimated to have a fortune worth $23 billion.
All this indicates that the withdrawal issues are likely to indeed be emanating from operational or structural difficulties caused by rapid growth rather than liquidity problems.