We'd like to inform you that from Friday 13 May 2011, Deutsche Bank will no longer provide dbFX, its online FX trading platform for individuals and small institutions. dbFX has made arrangements that will allow existing clients to open an account with FOREX.com, one of the largest providers of retail foreign exchange in the market. http://www.dbfx.com/
In a very surprising move Deutsche Bank, a very large forex liquidity provider, and one of the few ‘retail fx banks’ has announced that it is ceasing to provide dbFX (its retail forex arm). This effectively leaves forex traders with only one forex bank trading option – CitiFX Pro. Gain Capital is the big winner here as it acquires client assets (of those who’ll agree to this move) of dbFX’s current clients while FXCM loses what’s probably its largest White Label. In the latest chapter of the battle between two largest US forex brokers Gain Capital takes the upper hand.
This is what dbFX had to say about the reason for this step: “dbFX has been a strongly performing business for Deutsche Bank but has reached a point where in order to reach its full potential it requires significant investment in specific resources which are not consistent with Deutsche Bank’s current strategic initiatives.” If I read between the lines then what I can gather is that perhaps the White Label relationship with FXCM has become too expensive or non-competitive, perhaps of the ever reducing spreads and/or increased competition and regulatory scrutiny in the US. Another good reason would be that by June this year dbFX would probably be required to become an RFED due to its foreign bank status which would require major restructuring and additional compliance – which probably wasn’t worth it for Deutsche Bank.
http://forexmagnates.com/dbfx-is-exiting-the-retail-forex-market-transfers-clients-to-gain-capital-forex-com/
In a very surprising move Deutsche Bank, a very large forex liquidity provider, and one of the few ‘retail fx banks’ has announced that it is ceasing to provide dbFX (its retail forex arm). This effectively leaves forex traders with only one forex bank trading option – CitiFX Pro. Gain Capital is the big winner here as it acquires client assets (of those who’ll agree to this move) of dbFX’s current clients while FXCM loses what’s probably its largest White Label. In the latest chapter of the battle between two largest US forex brokers Gain Capital takes the upper hand.
This is what dbFX had to say about the reason for this step: “dbFX has been a strongly performing business for Deutsche Bank but has reached a point where in order to reach its full potential it requires significant investment in specific resources which are not consistent with Deutsche Bank’s current strategic initiatives.” If I read between the lines then what I can gather is that perhaps the White Label relationship with FXCM has become too expensive or non-competitive, perhaps of the ever reducing spreads and/or increased competition and regulatory scrutiny in the US. Another good reason would be that by June this year dbFX would probably be required to become an RFED due to its foreign bank status which would require major restructuring and additional compliance – which probably wasn’t worth it for Deutsche Bank.
http://forexmagnates.com/dbfx-is-exiting-the-retail-forex-market-transfers-clients-to-gain-capital-forex-com/
