Offshore forex brokerage XSpot has become the latest member of Hong Kong-based external dispute resolution (EDR) organization Financial Commission (FinaCom), the EDR said in a notice. The broker has become an A-category member with effect as of 30 January.
As a result, each X Spot client gains access to up to $20,000 compensation in case of unresolved dispute with the broker.
FinaCom acts as a third-party mediator in case of complaints and disputes between its members and their clients in cases when the involved parties cannot solve themselves. The organization helps facilitate a simpler, swifter resolution process than through typical regulatory channels.
“We are pleased to see new brokers continuing to join the Financial Commission and proud to welcome A category member X Spot as our latest approved member and the most recent brokerage to join the Financial Commission,” FinanCom chairman Peter Tatarnikov said. “Our ongoing membership growth reflects the importance of efficient dispute resolution, and companies and their clients value when it’s provided by a neutral 3rd party,” he added.
XSpot is a brand of X Spot International Ltd., an entity registered in Saint Vincent and the Marshall Islands. The broker offers a wide range of more than 1,500 trading instruments, including forex, contracts for difference (CFDs), indices, commodities, equities, and exchange-traded funds (ETFs). It offers the renown trading platforms MetaTrader 4 (MT4) and xStation.
The rest of FinaCom’s members are forex and binary option brokers, as well as independent service providers (ISPs). The EDR organization has two membership categories, depending on the amount of compensation to which investors are entitled. Clients of A-category member get up to to $20,000 and those of B-category members receive a compensation of up to $5,000.
FinaCom’s members include Alpari, Amarkets, Grand Capital, RoboForex, Mtrading, Olymp Trade, Forex Club, FXOpen, among others. In addition, as part of the membership application process the FinaCom certifies the technology solutions used by candidate members and members.