Why sign up for a Practice Account? Trading foreign exchange or contracts for differences on margin carries a high level of risk, and may not be suitable for all investors. The possibility exists that you could sustain a loss of some or all of your deposited funds and therefore, you should not speculate with capital that you cannot afford to lose. Before deciding to trade the products offered forex trading platforms in nigeria online ICM you should carefully consider your objectives, financial situation, needs and level of experience.
While the SNB event had major consequences for retail forex brokers, there were other long term trends that also contributed to the big changes in volumes at major brokers. CHF pair that followed SNB’s decision to remove the Euro peg of the Swiss Franc had different consequences for brokers. Some of them weathered the storm without a scratch while others lost millions of dollars. Another big name that was affected is FXCM. 300 million in order to continue operating. The bailout from Leucadia was insufficient for FXCM to avoid its downfall as the company suffered irreparable damage to its reputation. Two years later, in February 2017, FXCM announced the sale of its US client base to Gain Capital and the withdrawal from the US market.
Saxo Bank is also believed to have suffered up to 107 million in losses from the SNB move, but in the end it managed to survive the event without much damage thanks to its very strong stocks trading and CFD business. There are also clear winners from the SNB shock. Brokers like IC Markets, Direct FX, Oanda, XM, Hot Forex or Forex. Direct FX was the first broker to pay the client’s debt caused by the event.
Overall, what represented the demise of Alpari UK and FXCM was a huge opportunity for other brokers, who were proven to have better hedging and protection systems in place. The SNB shock has meant game over for Alpari UK and a huge drawback for majors FXCM and Saxo Bank. Francogeddon’ for FXCM and Saxo, and they can consider themselves lucky to still be operating. On the other side, XM, IC Markets, Gain Capital and Hot Forex have emerged as the new growth stories of the forex market.