Administors release advice to Alpari UK customers – Will be looking to recover negative client balances
KPMG, the administrators for Alpari UK customers have released an FAQ on the current situation.
Here’s the key points
- Client money held in segregated accounts where there are sufficient funds to repay all eligible clients in full will be returned to clients. One of the immediate priorities of the special administrators will be to establish the claims against the segregated accounts.
- The costs and expenses of dealing with and distributing client assets (which include client monies) are paid out of client assets. Other costs and expenses are paid out of the firm’s assets
- Q. What does this mean for retail clients with open positions/cash balances? A. All clients with any open positions had their position closed out as at the close of the markets on Friday 16 January 2015. On administration, there is a pooling event under the FCA’s Client Asset rules, which means that all clients are entitled to share on a pro-rata basis in the client money pool.
- Q. Does Alpari (UK) Limited have a client money deficit? As far as the special administrators are aware, Alpari (UK) Limited does not have a client money deficit, however the special administrators need to reconcile the position before they can confirm this
- Q. What if I owe Alpari (UK) money? A. You will be asked to pay that money. We will write to you with details of where the money should be paid.
The full article is here KPMG Alpari UK Frequently asked questions
Thanks to hans in the comments for the links
As the Alpari website is closed bar the front page message, if anyone needs copies of the client documentation then you can access it here