proposed changes to cfd legislation, page-15

Alanmcg u accuse me of of miss information when infact it was sputnick and then lgm who made the wrong statement which I showed in the link . I only added blah blah blah cause as a general rule I don't cut and paste companies complete statements . I however did provide the relevant comment and the link for the complete article to show sputnick what he didn't understand or hadn't bothered to read .
Same goes for lgm .

As for your statement that DMA providers do not profit from your losing posi it is complete and utter garbage . When u lose money the cash goes from your bank acct into theirs . When u win it goes from theirs to yours . Not only that they use your cash to hedge your posi which means they enter into an opposing posi with their hedging counter party which u also face a risk of going broke so once again u lose .
As for the opened posi being in the market lets get this straight . U open a posi with your dma provider and they transact that posi in the market . You own a CFD u don't own the shares /index/commodity or whatever. How they decide to hedge that position is completely up to them . FP makes the statement they take no risk with open posi's and how could they cause the trader under the current guidelines allows them to use their own cash to trade against themselves . Absolutely moronic and u want them to continue this practice ?

peterpumpkinhead it is not a margin loan and nuffin like it . Whether dma or mm u open a posi and u infact trade against the dealer . DMA may give the impression that u transact in a real market but it is in fact your provider that deals in the real market and not u . You own a CFD with your provider , nuffin more and nuffin less . If a DMA or MM provider hedges your posi whether through a bank or another market maker which may transact on a real market then your open posi becomes a 0 sum game in the market .