Manhattan Global Markets is legally registered in New Zealand, United Kingdom, Hong Kong and St. Vincent & The Grenadines.
Recently there has been an increase in the number of brokerages coming out of Saint Vincent & The Grenadines. This has somehow created the perception that Saint Vincent has a relaxed approach toward regulating Forex brokers. It’s not quite as simple as that.
While it is true that the Financial Conducts Authority has a “limited” regulatory view (as of today) of Forex brokers registered in Saint Vincent, it definitely does not mean that its a “let it loose” type market.
Every entity registering a Forex business in Saint Vincent is required to register with the Financial Conducts Authority and make some affirmations as to the compliance with the local laws and regulatory framework. Yes, it sounds like a simple registration but before a registration is granted, the people behind the company are vetted for criminal background among other checks that the Saint Vincent Company’s Office conducts.
Depending on the services provided by the brokerage, it may also need to apply for additional licenses which require FCA approval.
Compared to some other jurisdictions, Saint Vincent is definitely faster and easier in terms of establishing a Forex brokerage. However, that’s not why we chose Saint Vincent as the jurisdiction to register our brokerage business.
Manas Kumar, CEO
Being a kiwi, my obvious first choice for setting up the brokerage was New Zealand. The fact that it’s faster and easier to do it here only made it a bonus.
Disclosure: Please be advised that our FSPR in New Zealand is currently pending. However, given that we are legally registered in other markets, we have the legal right to operate a forex brokerage without any hindrance. Its just that we cannot accept traders with a residential address from New Zealand at this time.
Being registered in a country with a limited view on regulation does not mean we can relax in our obligations to our traders as a transparent, ECN/STP broker.
You need to have an approved live account with us before you can deposit funds into your trading account. As soon as your live account is setup, you’re ready to deposit real money into your account.
You can then deposit money either using a bank transfer. We do not offer any other means of making deposits into your trading account.
Once the deposit is processed we simpluy move that amount directly to the Liquidity Provider's account and allocate it under your MT4 account.
Win or loose, all your trade outcomes are actually translated into the liquidity providers' account until such time that you request a withdrawal. That's when we actually move money which is controlled by the LP, out to you.
We offer you a maximum of 200:1 leverage. However, the leverage we receive from our liquidity provider is much lower than that because banks don’t dish out leverage like brokers do. So, during highly volatile times or at the discretion of our liquidity provider, if our leverage ratios change below a comfortable level, we will reduce the leverage we offer you.
This will impact your margin requirements and could cause your trades to be closed out to service any margin imbalances as a result of such changes.
Secondly, because we are not covering for your trades, our margin call and stop out levels are rather tough. You will get a margin call at 100% and trades will be stopped out at 95%. No special considerations will be made in this case.
In our commitment to being a transparent broker, we feel it is important for us to let you know certain things upfront so there are no disappointments in the future.
Running an honest brokerage is actually more expensive than running a dealing desk. But its the choice we’ve made. We don’t charge you any commission on your trade. Our revenue comes just from the spread. So it’s going to be a tad higher than what you’re used to. Our spreads are most competitive on FIX API & Institutional Accounts.
As professional traders that have been there, done that, bought the T-shirt…we know the clear and present danger of using leverage when it comes to trading. So we have to maintain a good balance. However for certain instruments such as Gold, we will not be able to provide you with leverage above 50:1. Respect the market & be cautious with leverage.
Unlike dealing desk brokers and some market makers, we have no other way of generating income from this brokerage other than the spread we charge you when you trade. Our credit card processing costs are high and we have to pass those to you accordingly. It could be anywhere between 1% to 3% depending on the country in which your card was issued in.
Our transparency shouldn’t be taken for granted and we will not tolerate any abuse of trading conditions on part of any trader, no matter how big or small. We will always try to keep your best interest in mind and as long as you do the same, mi casa es su casa (Spanish: My House is Your House). Trade any strategy you want. We won’t stop you. Just don’t abuse our business.
Talk to us. Ask anything you want. We will be happy to answer all your questions as quickly as we can.
As Chief Financial Officer at Manhattan Global Markets, it is my role is to ensure strong governance and regulatory compliance, not just in financial administration but across the business as a whole. Feel free to ask me a question and I’ll be happy to respond in as much detail as possible.