FXGM en plus500

-----Original Message-----
From: mijn email account
To: consumer.queries[at]fsa.gov.uk
Subject: RE: forex brokers plus500 and FXGM, ISS01322102


Dear Sir or Madam,

I wanted to ask you whether or not the forex brokers plus500 and FX Global Markets (FXGM) Ltd are registered with you ?
I would also appreciate it if you could explain to me what the problems were in the past with these brokers if there were any. I'm asking this because I found following link regarding FXGM: http://www.fsa.gov.uk/pages/Doing/Re...al_24jul09.pdf

I look forward to hearing from you.

with best regards,

xxx

Our Ref: ISS01322102/PC96078

Dear Mr xxx

Thank you for your email sent on 13 August 2010. I understand that you would like the Financial Services Authority (FSA) to state is Plus500 and FX Global Markets are authorised firms.

I would like to thank you for taking the time to contact us about this issue and I thought it would be of use if I clarified the role of the FSA and the status of the firms.

I would like to clarify that we are the UK¿s financial regulator set up by the government to regulate financial services and protect your rights. This means we set standards that financial services firms have to meet and we take action if they don¿t. We regulate most types of financial services firms, such as banks, building societies, credit unions, insurance companies, financial advisers, stockbrokers, and mortgage and insurance sellers. For further information on the our role please read the attached link to the consumer pages of our website:

http://www.fsa.gov.uk/pages/consumer...on/index.shtml

Turning to the status of the firms I can confirm that Plus500 is regulated by the FSA and its firm reference number is 509909. All the firms we regulate appear on the FSA Register and each firm's 6 digit reference number is unique. You can check if a firm is on the FSA Register by searching under its name, postcode or firm reference number:

www.fsa.gov.uk/register/home.do

I enclose a link to our Register help section for consumers which provides helpful information about the details held on the register and also provides a jargon made clear guide:

http://www.fsa.gov.uk/Pages/consumer...er/index.shtml

All the firms we regulate must meet certain standards that are designed to protect consumers. If you deal with a firm we regulate then it must treat you fairly. There is a separate complaints-handling body set up to handle unresolved complaints, and a compensation scheme that can pay compensation if a regulated firm goes out of business and cannot pay you.

Turning to FX Global Markets there is no authorised firm by this name. However there is a EEA authorised firm based in Cyprus that passport their services in to the UK. I would therefore suggest if you are considering dealing with FX Global markets that you deal with the EEA authorised entity as opposed to the unauthorised firm listed in the attached warning letter in your email. If you would like further information on the EEA authorised firm you may wish to contact the Cypriot regulator for details. I have attached a link to their website: http://www.cysec.gov.cy/default_en.aspx

If you have any future questions on financial services and products, you may find it easier to call our Consumer Helpline on 0845 606 1234 (call rates may vary). You can also access relevant information online at www.fsa.gov.uk/pages/consumerinformation and via the Consumer Financial Education Body's website: www.moneymadeclear.org.uk/.

I trust this is of assistance and has clarified the status of the firms.

Yours sincerely


Peter Jones (Mr)
Customer Contact Centre
Financial Services Authority
Consumer Helpline: 0845 606 1234 (call rates may vary)
www.fsa.gov.uk/pages/consumerinformation