Exclusive FNG… FNG has learned that trading company The Funded Trader has stopped payments to its clients.
Miami-based The Funded Trader is one of the leading trading firms serving retail clients who were forced to stop using their MetaTrader trading platforms (MT4 and MT5) amid a crackdown by MetaTrader developer MetaQuotes on brokers (and importers) who take over the US. retail customers, without being duly authorized to do so.
However, the transition to new platforms (and often new execution brokers) has not been smooth sailing for all support firms.
Prop company comparison service Propfirmmatch.com earlier posted that The Funded Trader has suspended its website. Propfirmmatch.com said the suspension was due to a significant number of complaints and cases of payment refusals reported on Trustpilot, via social media and directly to Propfirmmatch.
Funded Trader subsequently posted that it has activated a “self-imposed internal audit” of all payments. The trading company said it will “ensure that all payments comply with our Terms of Service” and do not violate the company’s gambling policies.
The company said that because of the [trading platform] migration, in which mistakes were made, created a large ticket backlog for the company to resolve, including payments. Funded Trader said it is actively working to resolve everything and will focus on attention to detail right now to ensure customers have the experience they deserve now and in the future. The company claims to have sent $150 million in payments to date and expects to send many more.
Regarding his suspension from Propfirmmatch.com, The Funded Trader posted: “We’ll be back. Quick decisions do not promote long-term success. Our story will be told. “
And on the trading platform migration issues, The Funded Trader separately reported that it “made mistakes” when migrating to DXtrade that cost its traders time and virtual money. The company said it was “reviewing the issues” and additional compensation would be forthcoming. If you [i.e. clients] no longer wish to support TFT, then the company said it will “accept this decision from you” and continue to focus on improving our merchant experience.
Belgium’s FSMA recently became the first major EU regulator to issue a warning against prop trading companies, warning retailers that prop companies are there to make money by selling Challenges to retailers, with the potential “reward” of a profit share from a funded transaction the account is not always implemented.