Regulatory Disclosure Benchmarks

ASIC has issued 7 disclosure benchmarks for Over the Counter (OTC) foreign exchange products. Their objective is to help retail investors understand the potential risks involved in trading foreign exchange products, examine their probable advantages and benefits and decide whether trading in foreign exchange products is suitable for them. More information about the disclosure benchmarks contained in our Product Disclosure Statement (PDS) can be found in ASIC Regulatory Guide 227 (RG227).
The following table outlines the disclosure benchmarks and how FXGiants meets each one:
Disclosure benchmarks through FXGiants
Benchmark Meets Additional Information
1. Client Qualification Partially FXGiants meets this requirement in regards to Australian residents during the account opening procedure. FXGiants does not meet this requirement in regards to Non Australian residents. Please see section 3.1 of the PDS for more information.
2. Opening Collateral No This benchmark states that an issuer should generally only accept cash or cash equivalents as opening collateral when establishing an account and where credit cards are used, then no more than $1,000 should be accepted as the initial payment. In addition to bank transfers, FXGiants accepts credit card payments for initial funding in order to maximize payment flexibility for clients and not restrict your choice of funding method. Please see section 3.2 of the PDS for more information.
3. Counterparty Risk – Hedging Yes FXGiants maintains and applies a written policy to manage its exposure to market risk due to client positions. The Company does not use client money to hedge any of its positions. In case the company hedge some positions then these positions will be funded by the Company’s own funds. Please see section 4 of the PDS for more information.
4. Counterparty Risk – Financial Resources Yes FXGiants maintains and applies a written policy to ensure the ongoing maintenance of adequate financial resources as required under its AFSL. Please see section 4.2 of this PDS for more information.
5. Client Money Yes FXGiants maintains and applies a written policy to ensure the ongoing maintenance of adequate financial resources as required under its AFSL. Please see section 3.4 of the PDS for more information.
6. Suspended or Halted Underlying Assets Yes FXGiants does not allow Clients to open new positions when there is a trading halt in an underlying asset. FXGiants may exercise its discretion to determine a value to Close Out a transaction. Please see section 3.9 of the PDS for more information.
7. Margins Calls Yes FXGiants will contact the Client in regards to a Margin Call. FXGiants reserves the right to Close Out positions when it deems it necessary at its own discretion. Please see section 3.7 of the PDS for more information.