Worldspreads

[Doomberg]

Ok cheers, and i meant World Spreads when i said CS, been a long day lol

 

[MajorDutch]

You claim to offer 0 spread on EURUSD without dealer intervention. I think you will find this is impossible. Even if you are using the ICAP EBS interbank trading platform you will not have access to zero spread FX spot rates therefore there must be some sort of intervention.

I have used CS in the past with their 1 pip fixed spread on EURUSD. All that happens is when you open an order you are immediately down over 1 pip instantaneously. This really is just nonsense.

I would love to hear an explanation on how you are able to offer zero spreads without dealer intervention when they are not available on the ICAP EBS interbank.

,


Dear Doomberg,

Naturally, I cannot comment on how CS operate, although, from all I hear anecdotally, they are a good company.

A general point I would make, however, is that we are the only company in the industry offering Zero Spreads, and hence we may not always be doing 'like for like' comparisons.

On your specific points, there are presently no restrictions on clients trading on Zero Spreads. The trades of all of our Zero Spreads clients are processed automatically, with no dealer intervention, unless we identify a client who is only interested in dealing on internet prices that are a nano-second behind the market/exchange prices.

We have hundreds of clients doing thousands of trades per day at Zero Spreads and there are no issues with these. Some of these clients make money, some of them lose money - none are treated any differently, regardless of whether they win or lose.

We have clients with 5 year winning track records, so there is no basis for saying that winning accounts are closed down.

I hope this clarifies the position, but please feel free to come back with other questions.

Regards,

Conor Foley
CEO
WorldSpreads.

 

[top trader]

I believe their after market spread is wider, correct me if I am wrong.
I trade with Captialspreads with 1 pip spread all the time on up to £30/point without any problems, including scalps .

 

[gle101]

Sadly enough I have to join the choir. Anyway it is admirable to see Conor Foley stand up for his company. Nevertheless he is fighting a losing battle as long as they stick to the policy of putting traders on constant referral to a dealer. This is client discrimination and manipulation, it is not a practice that is allowed according to the EU financial directives MiFID.

I just don't understand why WS do not abandon the Zero spread gimmick and start repairing their Goodwill. Are really the larger account deposits worth the price they are paying at the moment? Move up to let us say 1 point spread again and start executing fairly and stop putting clients on referral. Cityindex are doing a good job of it so could WS. I am afraid otherwise Conor Foley have to automate the process of sending out email to every "short term traders" that joins them, and in the process ruin the company's reputation totally.

 

[stevespray]

I just don't understand why WS do not abandon the Zero spread gimmick and start repairing their Goodwill. Are really the larger account deposits worth the price they are paying at the moment? Move up to let us say 1 point spread again and start executing fairly and stop putting clients on referral. Cityindex are doing a good job of it so could WS. I am afraid otherwise Conor Foley have to automate the process of sending out email to every "short term traders" that joins them, and in the process ruin the company's reputation totally.

I wholeheartedly disagree with that; If WS have a product which they wish to offer ("Zero Spreads") then they need to find a way to offer the product fairly to all clients. I have absolutely no problem with the DR process so long as the process doesn't financially favour the firm. To be honest, and this is what Conor really needs to get a handle on, it is very easy to provide a dealing methodology which means the clients cannot be picked off using price movements inside the DR processing time.

Steve.

 

[tar]

I believe their after market spread is wider, correct me if I am wrong.
I trade with Captialspreads with 1 pip spread all the time on up to £30/point without any problems, including scalps .

Capitalspreads has dealer referral issues/policy as well ...

 

[stevespray]

Dear Steve,

Thank you for taking the time to set out your perspective. I am equally happy to debate it in this forum.

Would you mind sending me your Account number to [email protected] and I will discuss your account with the Traders.

The explanation given as to why you were put on Dealer Referral, at least on the surface, does sound unreasonable, but I will be able to assess that better when I speak to the Traders.

A couple of general points:

1. We don't close winning accounts. We never have. Like other offers of transparency that I have made on this Forum, I am happy to have this independently verified.

2. There seems to be a perception that when trades have moved against the client on Dealer Referral that they are immediately accepted, whereas those that have moved in favour of the client are rejected. There is no point in me even trying to respond to that, because I would rightly be accused of "Well, you would say that, wouldn't you?". Our core dealers have been together about 5 years now, and, I am aware of how conscious they are of this potential allegation. I may be wrong, but I genuinely do not believe that is how they behave and I can assure you there is no company policy to behave in that manner. In fact, I would like to think we are one of the fairer-minded companies in the industry. I will highlight this with them again.

I note your suggestion on DR and will raise it at the next Traders meeting.

Regards,

Conor Foley
CEO
WorldSpreads

Conor,

Thank you for your in depth reply. A few points in response if I may;

I've never suggested that WS 'closes the accounts of winning clients'. I just wanted to set that one straight from the outset. However, what I am suggesting is that you may utilise the DR process to 'put clients off' because, despite offering 'zero spreads' your dealing methodology is not without hidden costs to the clients (who are placed on DR).

You mention that you are conscious of potential allegations arising from the DR process and that your dealing staff are very aware of this. With that in mind I can tell you that off the last FORTY odd trade refusals which I've had (under DR) absolutely NONE of them have been in my favour. However, refusals made by your computer in the second or so after I've submitted a buy / sell order are running at about 50/50 which obviously I feel is very fair. How can there be such a disparity between your two methods of checking orders? Also, how is it possible for a clients order to pass the computer check (which is made more than a few 'nano-seconds' after submission) and not pass the manual DR check which is made many seconds after order submission? Surely, if your dealing methods are fair, the two seperate checks should yield EXACTLY the same outcome since 'price' is a scaler quantity (in the size I deal at)??? You mention that you have some clients who deal on prices which are nano seconds out of date yet you allow your dealing staff to accept or reject orders based on prices which are many seconds out of date - your advantage in being able to do this is clearly fair greater than any advantage a client may have in using a "super fast price feed".

In my opinion you should be investigating EVERY instance where a clients order passes the first computer check of price but is subsequently knocked back by a dealer because I would suggest that each instance of this happening is pretty much a clear cut case of client abuse given that a price (at the moment of submission) is either right or wrong and that you have two seperate tests, several seconds apart, which test exactly the same thing.


On the upside I'm pleased to hear that you'll be raising the subject of 'price improved fills' at your next meeting. Hopefully you'll move this matter forward quickly and you'll be able to lay this matter to rest once and for all.


Steve.

 

[Ross Spur]

Perhaps it would help if Conor could explain how zero spreads could be viable for a SB provider, unless the execution policy makes it impossible for any client to trade short-term while making a profit. Also, how does WS identify the 'unfair advantage' traders?

 

[tar]

I wholeheartedly disagree with that; If WS have a product which they wish to offer ("Zero Spreads") then they need to find a way to offer the product fairly to all clients. I have absolutely no problem with the DR process so long as the process doesn't financially favour the firm. To be honest, and this is what Conor really needs to get a handle on, it is very easy to provide a dealing methodology which means the clients cannot be picked off using price movements inside the DR processing time.

Steve.

Not because you are not affected by the DR then no one is , most short term traders would be affected by it . I think dealing desk is an old fashioned way to do business , these days we have instant execution , no dealing desk ... etc , and i think it is misleading to say that they offer zero spreads if they intend to put you on DR ,in reality you are not getting zero spread the real spread with the DR process time delay could be 10 pips not zero .

 

[Ross Spur]

Conor,

Thank you for your in depth reply. A few points in response if I may;

I've never suggested that WS 'closes the accounts of winning clients'. I just wanted to set that one straight from the outset. However, what I am suggesting is that you may utilise the DR process to 'put clients off' because, despite offering 'zero spreads' your dealing methodology is not without hidden costs to the clients (who are placed on DR).

You mention that you are conscious of potential allegations arising from the DR process and that your dealing staff are very aware of this. With that in mind I can tell you that off the last FORTY odd trade refusals which I've had (under DR) absolutely NONE of them have been in my favour. However, refusals made by your computer in the second or so after I've submitted a buy / sell order are running at about 50/50 which obviously I feel is very fair. How can there be such a disparity between your two methods of checking orders? Also, how is it possible for a clients order to pass the computer check (which is made more than a few 'nano-seconds' after submission) and not pass the manual DR check which is made many seconds after order submission? Surely, if your dealing methods are fair, the two seperate checks should yield EXACTLY the same outcome since 'price' is a scaler quantity (in the size I deal at)??? You mention that you have some clients who deal on prices which are nano seconds out of date yet you allow your dealing staff to accept or reject orders based on prices which are many seconds out of date - your advantage in being able to do this is clearly fair greater than any advantage a client may have in using a "super fast price feed".

In my opinion you should be investigating EVERY instance where a clients order passes the first computer check of price but is subsequently knocked back by a dealer because I would suggest that each instance of this happening is pretty much a clear cut case of client abuse given that a price (at the moment of submission) is either right or wrong and that you have two seperate tests, several seconds apart, which test exactly the same thing.


On the upside I'm pleased to hear that you'll be raising the subject of 'price improved fills' at your next meeting. Hopefully you'll move this matter forward quickly and you'll be able to lay this matter to rest once and for all.


Steve.

It's like bookies watching for the horses to run half the race before deciding whether to honour your bet or not.

 

[gle101]

I wholeheartedly disagree with that; If WS have a product which they wish to offer ("Zero Spreads") then they need to find a way to offer the product fairly to all clients. I have absolutely no problem with the DR process so long as the process doesn't financially favour the firm. To be honest, and this is what Conor really needs to get a handle on, it is very easy to provide a dealing methodology which means the clients cannot be picked off using price movements inside the DR processing time.

Steve.

Steve, when something is "too good to be true" it usually is. I would say Zero spread is too good to be true as the company's interest rate asset will not cover up for the loss on hedged positions. If this offer is genuine and fair, every serious SB and CFDs trader trader would stand in line trading with WS.

 

[Chubbardo]

Quote:
Originally Posted by laptop1
When you start winning money worth talking about they will changed tact. You're not beeing red flagged not making enough money to concern them, under the radar so to speak. I can speak from experience I have traded with them and been placed on referred to dealer continuously they would not take me off it, even though I could be in some trade for up to 2 hours, so please don't reply and say I was taking advantage of their slow prices.

...this is from page 1 of this thread... 4 years ago. Seems WS have taken the art of dealer referral to another level... i.e. put everyone on it! lol
I for one have closed my account with them. I'd rather pay Capital Spreads 1 pip spread and actually get into a trade, than suffer RSI from repeated clicking on the mouse trying to get an order through... not to mention the 5-10 pips missed as price moves away from the entry level.

 

[brasil2000]

Worldspreads finally Removing the countdown timer:clap:

3. Removing the countdown timer

At the moment, when you open a dealing ticket it only remains open for 180 seconds before it closes automatically. But customers told us they want the dealing ticket to remain open so they can react to the market faster:-0. So we’re removing the countdown timer so you don’t than have to open a new dealing ticket, saving you valuable seconds and helping you maximise potential profits.


http://view.s4.exacttarget.com/?j=f...5787012&jb=ffcf14&ju=fe6d15747164027c7714&r=0

 

[Ross Spur]

Will they ever get all the windows showing the same prices, though? I assume the platform crashed for everyone when the US news came out at 1.30?!

 

[AC007]

zreo spread , zero catch= cheats= worldspread. watchout for more ducks.

 

[DJS1]

Any large spread-betting clients may wish to consider iBet Financials, a division of Kyte Group.

iBet is a new spread betting service, which allows traders to take advantage of a zero-tax regime when placing spread bets on market movements, with the speed and efficiency critical to trading futures.

No additional spread - All of our prices are IDENTICAL to the underlying exchange.

Professional software - We offer a range of leading execution platforms . This allows traders a wide choice of ways in which to place orders, from ‘one-click’ trading to auto-spreading tools.

We offer spread betting on a wide range of financial and commodity contracts listed on major exchanges:

NYSE Liffe
Eurex
CBOT
CME
ICE
NYMEX

For further details on iBet Financials, please contact [email protected]

Hi iBet Financials,

Love the concept, actually looked at your service myself, but recommend any traders to read the fine print. Where are iBet Financials actually licensed....your operating in the UK so obviously regulated by FSA but what financial services license do you have??

This will determine the security of client funds....which coincidently on your website confirms that client funds WILL NOT BE SEGREGATED!!! Think your preaching to the wrong crowd posting here on a WorldSpreads thread where security of client funds is absolutely of utmost importance!!!

http://www.kytegroup.com/support/pdf/ibet.pdf

 

[ibetfinancials]

Hi iBet Financials,

Love the concept, actually looked at your service myself, but recommend any traders to read the fine print. Where are iBet Financials actually licensed....your operating in the UK so obviously regulated by FSA but what financial services license do you have??

This will determine the security of client funds....which coincidently on your website confirms that client funds WILL NOT BE SEGREGATED!!! Think your preaching to the wrong crowd posting here on a WorldSpreads thread where security of client funds is absolutely of utmost importance!!!

http://www.kytegroup.com/support/pdf/ibet.pdf

As recent events have shown, two high profile organisations who allegedly segregated client funds have recently collapsed.

The most important thing is to look at the company you are dealing with, how they operate, and the risks involved in their operations. Kyte Group does not have a proprietary trading arm, nor do we take the other side of clients positions.

The Kyte Group (parent company to iBet Financials) is an integrated clearing and brokerage provider for professional traders and investors around the world.

We are happy to discuss iBet with any traders that deem themselves to be 'professionals or experts' as classified by the FSA .

For further details on iBet Financials, please contact [email protected]