Can a fair and honest broker become bankrupt??

[ddeeen]

Let's imagine that there are some broker that always hold their words, very fair, and honest. Can they become bankrupt??
explain please..

[leebelisar]

In most cases, I think, it would be very impossible to a fair and honest broker to become bankrupt. If a certain broker is like the one that being mentioned, good things will happen to this firm. It will attract more sign ups and clients then. The more sign ups, the better and the more money for this particular broker.

[robotengineer]

Market makers: Yes, if they dont have enough customers coming to their artificially created market. After all their business model is to have a closed in environment. Since they are not passing your order to the real market there may be a chance of them going out of business due to their customers losing their account.

ECN: Not likely, Their business model is to take a small percentage from orders passed on to the real market with buyer side and seller side. It is in their interest to have winning clients. If the clients dont keep winning and buying lots then they cannot continue to get their small percentage.

[orni308]

there are very feeble chances as they are already charging brokerages for trading and there pretty good as there are thousands of transaction take place.

[fxsatria]

Originally Posted by leebelisar

In most cases, I think, it would be very impossible to a fair and honest broker to become bankrupt. If a certain broker is like the one that being mentioned, good things will happen to this firm. It will attract more sign ups and clients then. The more sign ups, the better and the more money for this particular broker.

You are right sir,, i think that the fair broker will be more exist and more famous in the world. All trader will more interest in.

[orni308]

There is no relation between being fair and being bankrupt, most of the brokers get bankrupt due to their wrong policies and not because they are fair.

[goldtrader]

i think broker can't bankrupt. they can offer to you 100% bonus i pay for you comission. but they always has profit with postion of trader. they always has spread. this is big imcome of them. as my broker is mayzus. they give your high bonus, high prize with demo contest, when you have friend with your affiliate. they can't bankrupt becuase when you bing more client they have m ore profit.
you can ok about it.

[mocharifin]

Originally Posted by leebelisar

In most cases, I think, it would be very impossible to a fair and honest broker to become bankrupt. If a certain broker is like the one that being mentioned, good things will happen to this firm. It will attract more sign ups and clients then. The more sign ups, the better and the more money for this particular broker.

I think so..
you are right sir,
There are many broker that collapse and sold their company stock to others businessman.

[vic84]

no i dont think so, a good broker will always have good policies to manage and getting bankrupt wont be that easy.

[fxarms]

chances are there. if market react like the snb announcement that happened on january 2015, it can go bankrupt

[DirkNannes]

I am not interested to continue any other business besides Forex. Because, it is enough income source for my trading life. For making more money by Forex I have chosen GCI Financial where I got 20% welcome bonus that makes my trading balance larger. So, I am able to trade in a high lot. Therefore, I am getting 4% interest monthly in my trading account.

[Nedftucker]

Originally Posted by leebelisar

In most cases, I think, it would be very impossible to a fair and honest broker to become bankrupt. If a certain broker is like the one that being mentioned, good things will happen to this firm. It will attract more sign ups and clients then. The more sign ups, the better and the more money for this particular broker.

If they are as honest as you say they will tell their customers about that. If not they are not honest so will show signs and changes which are not good. Either way you will be able to identify such brokers.

[cessna]

I think it is hard to tell which broker will go bankrupt as many brokers turned into scam in the past and stopped paying their traders. It is good idea to choose a reputed broker but i guess we should keep the necessary capital with our broker and the profits should be withdrawn regularly.