Consider your accounts very carefully as rumours start flying of brokers in trouble

Already the rumours are flying around of brokers going belly up after the SNB moves today and even those not affected by Swiss trades need to keep close watch on you accounts and brokers.

One has been rumoured in the comments section and news is just hitting from Forex Magnates that IG group is facing a £30m loss after this mornings events

“The precise level of the impact will be partially dependent on the Company’s ability to recover client debts, but in total it will not exceed , from market and credit exposure,” the company said in a statement.

The potential losses were accrued because they filled client orders at better levels than they could get from their liquidity providers and I would assume that’s mainly going to be on guaranteed stop loss orders. For the company it’s potentially bad news but for traders it’s good news if they stood behind their promise on those stop loss orders.

I’ve had this come through from one of my MT4 brokers

Dear Trader,

Today the Swiss National Bank unexpectedly announced that it was ending its minimum exchange rate of 1.20 Swiss franc per euro.

The policy has been in place for more than three years and the action of the SNB in this regard was wholly unexpected.

Additionally, it also announced that the central bank was lowering the interest rate on deposit account balances to -0.75% from -0.25%.

This has led to unprecedented volatility in the trading of any CHF-linked currency pair or product.

Due to this volatility in the market we have been experiencing a high volume of client enquiries, which may result in delayed responses as we work through the backlog.

We apologise for any inconvenience this might cause.

We’re always here to help, so if you have any questions please contact our Client Services team

What I’m going to point out is that this is still not a time to panic and start pulling your money out of of accounts. I’ll repeat, check your brokers terms and conditions and do some research to give yourself peace of mind.

If there are any problems with brokers we’ll hear soon enough.