Just spoke with Susan O'Meara, PFGBest's compliance officer and she had nothing new to add. She told me that PFGBest is still not flat, meaning there are still some open positions and they can't do anything while these positions are still open. I'm surprised there is someone still answering phone calls at PFG.

This is your day! If you want to gain additional market shares then PROVE (and again and again) that you are making fair business and you are honest to your customers. Show financial transparency and provide real segregated accounts (like swiss forex broker dukascopy does). There is enough money at the table thru commissions - don't play with the customers money. We don't need NFA stuff if they can't do the simplest checks.

olobay 

Just spoke with Susan O'Meara, PFGBest's compliance officer and she had nothing new to add. She told me that PFGBest is still not flat, meaning there are still some open positions and they can't do anything while these positions are still open. I'm surprised there is someone still answering phone calls at PFG.

I did not get a statement last night, and my online platform still shows I have open positions. It also says I need $2.4 million in margin for 7 open positions (probably to force the margin call liquidation). I have no idea if this is true or not.


As of right now, I am assuming my account balance is $0. Any increase from here will be an incredible rate of return!

Statement from Mirus Futures with regards to the PFGBest fraud:

Quoting 

With the recent developments in the futures industry, Mirus is proud to partner with both Dorman Trading and Rosenthal Collins Group as our Futures Commissions Merchants for clearing. Both Dorman and RCG are direct clearing member firms of the exchanges as opposed to a non-clearing FCM similar to PFGBest. Clearing FCMs are required to hold substantial deposits with the clearing house of member exchanges. All of your funds devoted to domestic futures trading are held as “Customer Segregated” funds by Dorman or RCG and they are separate and secure from the FCMs own funds and creditors. The “Customer Segregated” funds are invested in overnight deposits, US Treasury Bills, or are on deposit at CME or ICE Clearing. The funds are not held in exotic investments and both Dorman and RCG will continue to hold “Customer Segregated” funds in prudent deposits. Both firms are committed to full transparency and make their financial statements available for public viewing: http://www.dormantrading.com/pdf/2011DormanAudit.pdf https://www.rcgdirect.com:443/Docs/2011FinancialStatement.pdf As announced by the U.S. Commodity Futures Trading Commission in November following the MF Global liquidation, both Dorman and RCG were considered to be two of a limited number of clearing members in good standing by the CME likely to receive customer accounts. In addition, RCG also began publicly posting their investment holdings at that time for customer segregated funds on a monthly basis. We understand the concern among traders following the recent news and are available to discuss any questions you may have. The safety and security of your funds are primary concerns for those of us here at Mirus and our FCM partners. We will continue to focus on prudent operations and management with the welfare of our customers as our top priority. Please feel free to contact your Mirus broker or our support team at support@mirusfutures.com for additional information. Sincerely, Eliot Wickersheimer Chief Executive Officer Mirus Futures

Source: Mirus Futures - July Update

++

I guess we'll just have to take their word for it.

Big Mike 

Like everyone else has pointed out, the issue here is not in stopping someone from committing a crime, as that is unlikely. The issue is protecting the innocent, in this case the depositors.

They heard you Mike.

Quoting 

CFTC's Gensler Calls for More Customer Protection -- Regulators are considering greater protections for customer funds -- Regulators are "vigorously" pursuing case against PFG Best -- Gensler says CFTC is underfunded WASHINGTON--Regulators should adopt greater protections for customer money kept at futures firms, Commodity Futures Trading Commission Chairman Gary Gensler said Tuesday, after regulators filed a complaint against the founder of futures broker PFGBest for allegedly committing fraud. "If somebody is going to defraud their regulators, effectively lie, we're going to vigorously pursue that and that's what you're seeing here," Gensler said after a CFTC meeting. Gensler said that the CFTC should pass rules that "further enhance segregation of customer funds." Gensler also said that CFTC staff is working on "recommendations on enhanced internal controls and transparency" for customer money held by futures firms. CFTC Commissioner Bart Chilton said that the PFGBest case is another reason why regulators need to continue with the 2010 Dodd-Frank financial regulatory overhaul. The CFTC earlier this year conducted a spot check of all futures-commission merchants, including PFGBest, where it found no material breaches of customer-funds-protection requirements. Gensler and other commissioners first learned about the problems at PFGBest Monday afternoon, he said. The National Futures Association, the futures industry's self-regulatory body, said Monday it had taken an emergency enforcement action against broker PFGBest's parent company, Peregrine Financial Group Inc. Gensler said that the agency relies on self-regulatory agencies to do audits and reviews of futures firms because it is underfunded.

Source: CFTC's Gensler Calls for More Customer Protection

New email from PFG.

cory 

looks like there is an extra X in there.

Not sure, Cory. That's what I was told. I didn't see anything about it. I just can't imagine how many more bar types can be developed that we haven't already seen right here on futures.io (formerly BMT). If you mean "Nada" or zilch, zip, nothing, you're probably right. It means "nothing." lol

No offense intended to Mirus/RCG/Dorman or anyone else for that matter but talk is cheap right now....actions will speak louder than words going forward on this issue imho. The rest is just political mumbo jumbo.

I'd like to see one of these brokerage and/or FCM CEO take a leadership role and make a difference for the good of the Industry.

Our Industry and our Country for that matter lack true leaders who care more about customers/constituents than their position/paycheck/etc.....sad!

Jura 

Statement from Mirus Futures with regards to the PFGBest fraud: Source: Mirus Futures - July Update ++ I guess we'll just have to take their word for it.

Maybe we could get a Canadian account... they are insured...

Maybe things will start to move quickly now on the US side?

https://www.rjobrien.ca/documents/canada/peregrine_financial_group_canada.pdf