Many forex traders may not be aware of this issue by the Futures Broker MF Global (see below). Given that forex brokers are less regulated, it pays to be EXTRA careful when choosing a broker by ensuring funds are segregated and protected, and more importantly, since the regulators have shown total incompetence with this MF Global fraud, make the most of the leverage brokers use by depositing as little into a brokerage as your income/trading needs would allow without incurring margin call, and then transfering money into your account when required.
http://www.marketoracle.co.uk/Article31689.html
MF Global Revelations Keep Getting Worse
By Janet Tavakoli
November 21, 2011
When MF Global collapsed on October 21, it was the biggest financial firm to collapse since Lehman in September 2008. Then Chairman and CEO Jon Corzine is connected to the head of one of his key regulators, the Commodity Futures Trading Commission (CFTC), through his former protégé at Goldman Sachs, Gary Gensler. He also knows the Fed’s William Dudley, a key member of the Fed’s Open Market Committee, from their days at Goldman Sachs. The Fed approved MF Global’s status as a primary dealer, a participant in the Fed’s Open Market Operations, just before Jon Corzine took its helm and beached it on a reef called leveraged credit risk.
http://www.marketoracle.co.uk/Article31689.html
MF Global Revelations Keep Getting Worse
By Janet Tavakoli
November 21, 2011
When MF Global collapsed on October 21, it was the biggest financial firm to collapse since Lehman in September 2008. Then Chairman and CEO Jon Corzine is connected to the head of one of his key regulators, the Commodity Futures Trading Commission (CFTC), through his former protégé at Goldman Sachs, Gary Gensler. He also knows the Fed’s William Dudley, a key member of the Fed’s Open Market Committee, from their days at Goldman Sachs. The Fed approved MF Global’s status as a primary dealer, a participant in the Fed’s Open Market Operations, just before Jon Corzine took its helm and beached it on a reef called leveraged credit risk.