FX Solutions is pleased that the CFTC (Commodity Futures Trading Commission) is proposing increasing regulation for the U.S. Retail OTC Forex Market with the goal of increasing transparency and eliminating fraud. FX Solutions is a proud registrant of the CFTC and member of the NFA and will continue to cooperate with both regulatory bodies in their efforts to put an end to fraudulent practices. However, it is our opinion that if the proposed measures are too severe they will prove counterproductive. The current proposals call for, amongst other things, a reduction in client trading leverage from the current 100:1 to 10:1, even on the world’s most widely traded and liquid currency pairs. FX Solutions is opposed to this change and is actively lobbying against it. We are currently working with the other Forex Dealer Members (FDMs) as part of the Foreign Exchange Dealers Coalition
(FXDC) (http://fxdc.org/) to provide a unified industry voice to lobby both Congress and the CFTC.

Michael Cairns, CEO of FX Solutions, offered, “We welcome the call for increased
transparency and regulation of the OTC Forex market. We, as a Company, have worked hard over the years to achieve an exceptional regulatory record through strict compliance with NFA and CFTC regulations and U.S. law. It is our belief, however, that if these current proposals are enacted into law they will cause a mass exodus of trading to other, less stringent, international locations where clients are free to choose the leverage and trading strategies that match their
individual and unique tolerance for risk. If the clients leave then it will only be a matter of time before the regulated Forex companies follow. What will be left is a void that will be filled by exactly what the CFTC is trying to prevent, unregulated companies seeking to deceive an unsuspecting U.S. public. A reduction in leverage will not combat fraud and deception.”