OANDA and Pepperstone Issue “Business as Usual” Remarks
- While there undoubtedly was an effect from the Swiss National Bank dropping its EUR/CHF peg on the books of the companies, those have not been material when it comes to OANDA and Pepperstone.
With news that the shock from the Swiss franc (CHF) moves have caused a $225 million hit to FXCM and are forcing them to seek methods to quickly raise capital to cover regulatory requirements, as well as Excel Markets closing its operations, other brokers have been alerting their clients about the state of their operations.
During US trading hours, both GAIN Capital and Plus500 announced that they didn’t experience negative effects from the CHF moves.
At OANDA, the broker stated that it is honoring all trade executions and will be issuing withdrawals as normal. This is despite them stating that they suffered losses and Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term vanished to hedge client order flow.
Their statement to honor trades occurs even as Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term Magnates learned from account holders that their sub 1.2000 EUR/CHF stop orders were filled well above those at brokers with an agency model.
Elsewhere, Pepperstone related “business is as usual." The statement was part of an announcement to clients where they commented on their financial balances, saying, “Pepperstone continues to hold well in excess of our ASIC regulatory capital requirements.”
As an STP broker, Pepperstone presumably also suffered losses due to clients suffering negative balances. However, the overall affect appears to have been limited with them saying that their business was “largely unaffected by these events."
With news that the shock from the Swiss franc (CHF) moves have caused a $225 million hit to FXCM and are forcing them to seek methods to quickly raise capital to cover regulatory requirements, as well as Excel Markets closing its operations, other brokers have been alerting their clients about the state of their operations.
During US trading hours, both GAIN Capital and Plus500 announced that they didn’t experience negative effects from the CHF moves.
At OANDA, the broker stated that it is honoring all trade executions and will be issuing withdrawals as normal. This is despite them stating that they suffered losses and Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term vanished to hedge client order flow.
Their statement to honor trades occurs even as Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term Magnates learned from account holders that their sub 1.2000 EUR/CHF stop orders were filled well above those at brokers with an agency model.
Elsewhere, Pepperstone related “business is as usual." The statement was part of an announcement to clients where they commented on their financial balances, saying, “Pepperstone continues to hold well in excess of our ASIC regulatory capital requirements.”
As an STP broker, Pepperstone presumably also suffered losses due to clients suffering negative balances. However, the overall affect appears to have been limited with them saying that their business was “largely unaffected by these events."