Anybody using Alpari UK (Forex broker)?

[eek]

Letting someone bet is bad enough

Letting them bet on credit, which is effectively what Alpari did by not ensuring there was sufficient credit in the account to pay the margin call - is idiotic.

Edit: I wonder if the issue was that the market moved so fast that by the time Alpari worked out that the margin call had been exceeded - and they closed the trade (by executing a reverse trade) - the price had already moved so far that the margin wasn't covered by the client account.

Even so, that's still down to Alpari for not building in a sufficient buffer and/or systems that can close the trade quickly enough.

If you look at the market chart from Santa the drop is almost instant.

[DimPrawn]

Where is SantaClaus and other dirty Forex spekulants when you need 'em?

I was massively short EURCHF, the £250,000,000 which vanished......I know where it is.

[SantaClaus]

I was massively short EURCHF, the £250,000,000 which vanished......I know where it is.

On one of the trading forums, a guy was jubilant he had shorted the EURCHF...
... the joy quickly turned to dismay when he realised his funds were with (the now insolvent) Alpari.

[AtW]

On one of the trading forums, a guy was jubilant he had shorted the EURCHF...
... the joy quickly turned to dismay when he realised his funds were with (the now insolvent) Alpari.

Well, in theory he should not lose his deposit as the clients money are supposed to be kept in separate account...

He certainly won't get his rich winnings though.

[DimPrawn]

On one of the trading forums, a guy was jubilant he had shorted the EURCHF...
... the joy quickly turned to dismay when he realised his funds were with (the now insolvent) Alpari.

I think Alpari UK are looking for a bailout:

Important announcement

The recent move on the Swiss franc caused by the Swiss National Bank’s unexpected policy reversal of capping the Swiss franc against the euro has resulted in exceptional volatility and extreme lack of liquidity. Retail client funds continue to be segregated in accordance with FCA rules. For the avoidance of any doubt and notwithstanding previous announcements by the company, Alpari (UK) Limited has not entered a formal insolvency process. The board of directors are urgently considering all options including a sale and are liaising closely with the FCA. We hope to make a further announcement shortly.

[AtW]

Oh that's nice - on Friday their message was something along the lines that they are insolvent...

[MarillionFan]

Oh that's nice - on Friday their message was something along the lines that they are insolvent...

I think it was the Russian, in the Server Room, with the Rope.

[NotAllThere]

I think it was the Russian, in the Server Room, with the Pope.

FTFY

[SantaClaus]

Oh that's nice - on Friday their message was something along the lines that they are insolvent...

Yep, there was a message on their website saying they were insolvent.

Funny how they can change their mind.