Cyprus based Forex Broker FxPro moves to the agency model (or ECN) in all jurisdictions, and no longer has a conflict of interest with the clients as in the market maker model.
The move follows an adoption of this model in the UK and is a significant change. A “no dealing desk” model means that orders are transferred directly to liquidity providers, without any intervention from the broker.
More details are in the press release here:
FxPro Group Announces Move to Agency Model – A No Conflict Model
London, 9 July 2012: FxPro Group Ltd (FxPro), a leading global forex broker announced today a major milestone for its business with the move to an agency model across all jurisdictions.
FxPro has made transparency the cornerstone of its business model, and as one of the leading global brokers in the market has campaigned to encourage this in the wider forex industry.
As retail FX clients have become more sophisticated and experienced, FxPro believes that the demand for a transparent and trusted execution model has become the key driver in the industry.
Following on from last year’s successful launch of FxPro cTrader (ECN platform), the full transition from market making to an agency model on all of FxPro’s platforms is the final step in totally aligning its interests with those of its clients.
Client orders are sent directly to FxPro’s global pool of liquidity providers with spreads from 0 pips on cTrader ECN – with upfront commissions, and spreads with small mark-ups on MT4 – with no commissions. The execution model is seamless and FxPro’s clients can trade with the confidence that their broker is working with them and for them at all times.
FxPro which has over 15,000 clients in more than 150 countries is authorised and regulated by the Financial Services Authority (FSA), the Cyprus Securities and Exchange Commission (CySEC) – operating under the EU Markets in Financial Instruments Directive (MiFID) – and the Australian Securities and Investment Commission (ASIC).
Charalambos Psimolophitis, CEO of FxPro commented: “I believe today is the most important day in the history of FxPro. After years of promoting transparency and integrity, we have now managed to totally align our interests with the interests of our clients. The new model does away with any potential conflict of interest between FxPro and our clients. Our efforts will now be concentrated on educating our clients and assisting them in becoming better traders. We have complemented “No Dealing Desk Intervention” with “No Conflict” in the truest sense of the term, something that is paramount in order to be truly transparent and client centric in everything we do. We want to encourage other brokers to follow this path and align their interests with those of their clients – because this would make a good industry great.”