FXCM will forgive 90% of trading losses after Swiss franc announcement

By Kali Hays

New York, Jan. 28 – FXCM Inc. will forgive roughly 90% of clients that incurred negative balances in certain jurisdictions as a result of the Jan. 15 announcement from the Swiss National Bank that removed a value cap on the Swiss franc, according to a Wednesday news release.

“The Swiss National Bank announcement, extreme price movements and the resulting lack of liquidity were exceptional and unprecedented events causing many market participants to incur trading losses,” the release stated.

FXCM said the events were “unforeseen,” beyond its control and added that it intends to notify clients and adjust the applicable statements within two days.

The company also said that those clients who “maintain higher account balances” represent “approximately 10% of the clients who incurred negative balances, which comprises over 60% of the total debt balances owed.”

FXCM is a New York-based online provider of foreign-exchange trading.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.