96world finance | nov–dec 2012

MARKETS | FOREX AND BROKERAGE

Mauritius-based Forex brokerage looks to expand

As far as versatile brokers go, FX Primus has it all: from mobile trading facilities to intelligent solutions for all levels of traders

The world of Forex is in a constant state of fl ux. Not only does it inherently fl uctuate in response to outside factors, but new regulations, new tools and technologies, as well as new trade strate-gies, are constantly revolutionising the industry. A good trader will have a handle on all of these factors and be able to use them in his or her fa-vour because smart and successful trading is not all about tools and gadgets, but about a deeper understanding of the industry. FX Primus, a Fo-rex brokerage fi rm, offers a range of tools and services to equip everyone, from the most novice

traders to the most senior white label partners, and to help them work the market in their favour with ease and agility.

Based in Mauritius, and regulated under the stringent Financial Services Commission (FSC) of the island, FX Primus offers com-pletely remote services to any country in the world. Because adequate compliance to regu-lation is arguably the most important tool for a Forex brokerage fi rm, FX Primus adheres to the severe international standards. “Since our inception we have taken exhaustive measures to ensure that we are fully compliant with all rules and regulations set forth by our regulator, the FSC of Mauritius,” explains Terry Thompson, President of FX Primus. “Whenever the FSC makes any changes or modifications to their rules, we are alerted by our third party admin-istrator and make immediate modifi cations in

protocol.” It has also been the company’s policy to remain abreast of new rules and regulations in other key jurisdictions and to comply with them as much as possible. “In addition to regu-lation by the FSC, we’re continuously investigat-ing new jurisdictions to become regulated in,” says Thompson. “We’re planning by year’s end to add an additional jurisdiction, and by the end of 2013 to add at least two others. This is important from both a risk management perspective but also from a marketing perspective as well.”

A good grasp of the ever-evolving legisla-tion landscape is not everything in the world of Forex. The arrival of smartphones and mobile internet devices brought with it the possibility of mobile trading on an industry-wide level. The market for mobile trading tools is boom-ing. Over 15 percent of FX Primus’ trade volume is conducted through its iPhone, Android and

Port Louis, capital of Mauritius, where FX Primus is headquartered. The company has benefi tted from the country’s unrestrictive markets

Interview withTERRY THOMPSONPRESIDENT, FX PRIMUS

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MARKETS | FOREX AND BROKERAGE

97world finance | nov–dec 2012

WebTrader apps, according to Thompson, “and that number is growing each month. Trading remotely over mobile phones is becoming in-creasingly popular, and in this day and age it is required to allow clients to trade while on the move.”

Tools of the tradeFX Primus also offers a range of other tools for both experienced and novice traders. Its aim is to empower everyone to conduct successful trades, either through educational software, teaching inexperienced traders the ins and outs of the business, or through cutting edge tools that let white label partners navigate the markets more efficiently. Two popular tools for beginner traders are Mirror Trader and Autochartist, both of which are designed to en-hance the trader’s experience. Mirror Trader, true to its name, allows less experienced trad-ers to mimic, or ‘piggy back’, other successful trading strategies developed by other traders. “This is especially useful for clients who want to get involved in trading, but may not have the expertise to make their own trading decisions,” says Thompson. “It gives them the freedom of adjusting their lot sizes based on their risk ap-petite. By the end of this year, we’ll also be offer-ing Zulu Trader, which provides a similar trade following service to Mirror Trader.”

Thompson is keen to emphasise that less ex-perienced and beginner traders are just as im-

portant to FX Primus as money managers and white label partners; so in addition to Mirror Trader and Autochartist, the fi rm also offers a full tutorial and coaching service in order to bet-ter equip these traders. “The FX Primus Coach is quite a revolutionary service,” says Thomp-son, “in that it allows clients who sign up for it to receive access to an exclusive live chat service

where they can ask and receive trading advice or inquire about specifi c technical indicators. They can even ask about how certain economic events will impact the markets.” The tool has al-ready proven invaluable to scores of beginners looking to break into Forex markets. It is best applied when used in conjunction with the FX Primus SMS Text Alert service, which sends out periodical notifi cations when favourable or spe-cifi c trade conditions arise. The SMS text alerts can be extremely useful for traders without the know-how to make financial decisions unas-sisted, or for those without the time who want to supplement their trading strategies. “Over the past three months our trade alerts have yielded a 36 percent return,” says Thompson.

FX Primus is also keen on encouraging its affi liate customers to expand their online re-ferral networks to new levels. “We understand that not everyone has the experience or techni-cal know-how to attract more business online,” Thompson says, “but that should not exclude them from being able to trade effectively and successfully.” With that in mind, FX Primus of-fers a free e-business builder to all its affi liate partners. The service offers simple and effi cient online marketing strategies that can be deployed by traders, such as copy-and-paste marketing strategies for Facebook and Twitter, and other tools that can be implemented on the affi liate’s blog or website. “We want to make it easy for our affi liate partners to reach out to prospective customers about our brokerage and the products and support we offer,” explains Thompson.

Segregated fundsThere is also much concern about the well be-ing of and equipment provided to white label partners trading through FX Primus. The fi rm understands how important it is for its partners to provide prospective customers with the as-surance that their funds are safe and secure, and to safeguard their investments in the case of a collapse of the brokerage fi rm, due either to

compliance issues or misappropriation of funds. This has led FX Primus to take unprecedented steps and launch independently administered segregated funds for all white label partners. An industry fi rst, the service entails that all segre-gated customer accounts are independently ad-ministered by a third party custodian, Ninety East Financial group, which acts as a signatory to all client segregated accounts. Ninety East Fi-nancial must approve all movement in the funds, and thus guarantee the safety of the investment. The service is even more complete for white label partners that trade exclusively with FX Primus. “They have the option to offer their customers a Trust Account, where customer funds are com-pletely segregated from the assets of our com-pany, and are also safeguarded by Ninety East Financial,” says Thompson. Both schemes are extremely costly for FX Primus, but the com-pany strongly feels that its partners deserve the additional care afforded to them, and that by generating additional trust, the move eventually gives it a competitive edge.

Because FX Primus is based in Mauritius and is regulated by Mauritian authorities, its partners have the added advantages of, as Thompson puts it, “knowing that FX Primus is being regulated by a world-renowned body in the FSC. At the same time, clients are not bogged down by copious amounts of paper-work and requirements to open an account which may be the case in other jurisdictions.” A less bureaucratic system means that clients can open and fund accounts within one business day, ensuring that not a minute of trades and transactions is lost. The ‘Mauritius Advantage’, as the fi rm warmly refers to it, also means that partners can often carry out trading strategies that might be restricted in other markets. “We are able to offer our clients up to 1:500 leverage and also provide the ability to hedge, which, is not allowed in many other global jurisdictions,” explains Thompson.

Though it is headquartered in Mauritius, FX Primus operates offi ces in Mongolia, Peru and Nigeria. “Within the next 12 months, we have a mandate to open six additional offi ces through-out Asia and Europe,” says Thompson. It is im-portant for the fi rm to create awareness around its brand in emerging markets and its strategy to achieve that is to establish an actual physical presence in the countries. “We feel it’s neces-sary to connect with the people of the respective countries in which we operate and really leave a lasting footprint,” Thompson explains. “One of the many ways FX Primus attempts to ac-complish this is through our charitable work. In early 2011, we established Primus Child Foun-dation, which assists underprivileged children throughout Southeast Asia, where we have quite a large presence. Again, we plan on expanding this charitable work into these new countries we are entering.”

Smart and successful trading is not about tools and gadgets, but about a deeper understanding of the Forex industry

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