all was ve?confirm them if hotspot has the the following attributes: (1) when a retail customer enters an order on the FDM's platform, the FDM automatically (without human intervention and with no exclusion) enters into the exact same trade with another counterparty, making an offsetting position in its own name; (2) that the FDM confirms into the retail customer the price where the order has been implemented, that's the identical price where the FDM entered into the offsetting place; (3) that the FDM doesn't profit from any consequent market movement because its offsetting transaction will result in the exact same profit or loss since the retail customer's trade; and (4) that the FDM's sole manner of reimbursement is a commission charge on each trade.
Or the Subsequent customer disclosure:THE FOREIGN CURRENCY TRADING You're ENTERING INTO IS NOT CONDUCTED ON AN EXCHANGE. [MEMBER] IS ACTING AS A COUNTERPARTY IN THESE TRANSACTIONS AND, THEREFORE, ACTS AS THE BUYER WHEN YOU SELL AND THE SELLER WHEN YOU BUY. THE PRICES [MEMBER] OFFERS MIGHT NOT BE THE BEST PRICES AVAILABLE.
ALTHOUGH [MEMBER] IS THE COUNTERPARTY TO EACH OF YOUR TRADES, [MEMBER] LIMITS RISK TO ITSELF BY INSTANTANEOUSLY OFFSETTING THE TRADES AND POSITIONS IT ENTERS INTO WITH YOU WITH A BANK OR INSTITUTIONAL MARKET MAKER. AS A RESULT, [MEMBER] DOES NOT PROFIT WHEN YOU LOSE MONEY ON A TRADE. RATHER, [MEMBER] EARNS COMMISSIONS ON EACH TRADE IT ENTERS INTO WITH YOU. THE AMOUNT OF COMMISSIONS CHARGED IS DISCLOSED ON PAGE [x] OF THE CUSTOMER AGREEMENT.
http://www.nfa.futures.org/news/news...ArticleID=2104