Between the CFTC, and NFA rules and standards FXCM allowed itself to left exposed to catastrophic draw down. How on Earth was this possible. Were they circumventing the rules? Will anyone be charged with non-compliance? This seems so incorrect. If someone destroys you property they are held accountable. While these guys through their reckless poor management could cost you thousands of dollars, if not more and no one is held accountable? It's like 2008 all over again. What has really changed?
It just goes to show that even after the GFC there are still practices going on out there that aren't properly regulated. We were told that the small investor would be protected from the institutions but this clearly shows that there are gaps in regulatory oversight and risk management.
