Global forex broker OANDA officially joined the Australian CFD forum that calls for regulatory standards to protect investors and retail traders.
OANDA opened its offices in Australia earlier this year. For more on joining the forum, here is the official press release:
SYDNEY – September 25, 2014 – OANDA, a global provider of innovative foreign exchange (forex) and contract for difference (CFD) trading services, has officially joined the Australian CFD Forum, an industry body that is committed to enhancing the efficient operation, transparency, and overall investor understanding and confidence in the Australian CFD and forex markets.
By joining the CFD Forum, OANDA adds its support and influence to campaign for stronger government-mandated regulations to ensure the proper segregation of client funds industry-wide. Currently, Australia and Cyprus are the only countries that allow CFD providers to use client funds for operational needs.
“We take regulations seriously and we are a strong advocate of high regulatory standards,” said Louis Cooper, Managing Director, OANDA Australia. “As a company with a global presence and operations, we adhere to the strictest regulatory frameworks in all countries and jurisdictions where we operate, and we want to see the same global standards implemented here in Australia to protect retail investors.”
Since its inception, OANDA’s business model has ensured its clients’ funds are completely segregated from its own operating funds. Moreover, the broker has an impeccable compliance record with the regulatory authorities in all of the global regions it serves.
“While Forum members do ensure the full segregation of client moneys, the existing Australian regulation leaves some loopholes when it comes to the use of those funds for other purposes,” said Cooper. “I know this issue has been extensively examined by regulators and the government, and we hope that there is legislative action in the near future to safeguard investors. We must ensure Australia’s CFD and forex markets and trading activities are underpinned by a strong regulatory base and the highest level of retail trader protection.”
OANDA’s CFD Forum membership Is effective immediately.
“I am pleased to welcome Louis Cooper and look forward to his thoughtful contributions,” said Tamas Szabo, Chairman of the Australian CFD Forum. “We welcome OANDA to the Forum, and are currently in discussions with additional brokers. Together, we are working to transform trader’s rights in Australia.”
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