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Dear Valued Client,
You might be Conscious of the recent changes in U.S. regulations concerning off-exchange retail foreign exchange. The new regulatory rules-implemented from the Commodity Futures Trading Commission (CFTC), the U.S. government agency responsible for the regulation of retail overseas exchange-apply to retail FX trades that are offered or entered into by entities filed with CFTC under the Commodity Exchange Act (CEA).
Tadawul FX Ltd. is regulated by Cyprus Securities and Exchange Commission (CySec) and complies with all applicable European Union laws and regulations, including those under the European Markets In Financial Instruments Directive (MiFID). Though, Tadawul FX doesn't have any offices or surgeries in the US and isn't subject directly to the licensing laws of U.S. regulators, farther to our compliance checks it seems that the CFTC does not allow retail FX trades to be provided to U.S. clients by entities not registered with the CFTC.
On account of the regulatory restrictions from the U.S., it's with good sorrow we inform you that Tadawul FX will no more be able to accept any trades from U.S. citizens from 8th July 2011.
Process for USA resident customers
By 8th of July 2011 (22:00 CET) all open positions and pending orders must be shut. Any positions left open will be automatically closed at the last available price, and all pending orders will be cancelled.
All capital from the trading account needs to be pulled to the initial source. To collect all remaining balances from the trading accounts, you are kindly asked to send a withdrawal form, which is processed after it's received. In case you've recently sent funds to your trading account, the money will be sent straight back to your original source, as soon as these are obtained. As of Wednesday 6th July 2011, no deposits will be processed out of U.S. residents.
The status of the trading account will be altered to Browse Only, allowing you to access your account with your current login details, just to see history and generate reports as you require.
We sincerely apologize for any inconvenience this may cause you, but sadly changes in U.S. regulations are outside our control. Nonetheless, we will continue to reevaluate the U.S. laws and would be happy to accept U.S. residents from the future, if the regulations and laws change. We've thoroughly enjoyed working with you and would like to thank you for your organization. Please don't hesitate to seek independent legal advice to further ascertain how the regulations affect you or your business.
If you have any queries, please don't hesitate to get in touch with us and will be very pleased to assist you.
Best Regards,
Tadawul FX