I have been involved in forex transactions for about three years and I have to sincerely admit that I have not been able to know any real, serious and performing USD provider until now. Moreover, without having been authorized or at least unable to produce an authorization, most so called USDPs' representatives or mandates pretended to receive lists/packages of documents about the EURO providers including sensitive details such as account numbers, source of funds, etc.
As I know banks do not need intermediaries to perform their forex transactions. However, there are a lot of companies and private investors interested in maximizing their profits through forex transactions and they may need such information for a preliminary DD. My question is: could anyone, without proving that they are formally authorized by their provider, be entitled to request sensitive details about other companies or persons? Thank you.

answer is: No

These transactions are mostly fake and phishing expeditions with the intention of fraud and abuse, some relate to sting operations.

The real ones are either government related or operations cleaning up the background of past transactions, include considerable risk and almost no reward for a broker which is not part of the inner circle.The rewards in existing transactions are not that big, but as they say "nut by nut" fills the stomach.The diligence requirements and all the details pushed around the net are fake. The amounts in question on transaction lines with banks have all very high level clearing, are known by the players and when the call for such transaction is made it is performed on an "fok" basis (fill or kill, meaning done or the file is , no running around, no searching etc).  Real transaction partners have bank  facilities to handle this and they are known to the players. Brokers are only used for non-liquid markets or when there is no forex market at all, meaning if the market liquidity of a currency is so low that there is no T+0 or even T+3 or even a T+10 is possible because of the amount (lets say the market liquidity is 10M daily for all and you have 1B) or a currency is not even exchange quoted.

The discount  in these cases is related to the credit and liquidity risk and can be substantial, especially when there are political and inflation related considerations in the transaction.

The other part of these transactions is financial warfare and some are easy straight forward money laundering affairs.

It is not a market you entertain without a safety network, without extreme financial resources and compliance knowledge of banking all around the world. In other words, its nothing for the usual broker. The chance to make it in that market without the prerequisites is lower than to be stricken by lightning without injuries.

 

Constantine,


The cost of recovering and printing US dollar bills is 6 to 8 cents US.

Ireguardless of denomination ( face value ) the costs are still the same.

Transport, paper, ink, whatever the print costs and audit costs the

same amount in a US$1.00 or a US$100.00 bill.

There is oly USD 700 billion in circulation worldwide in physical bills.

Joker brokers, fraudsters and clowns think it is a 6% to 8% discount and

offer trillions when that does not exist.

If a swap is done on a mega level, it is done by supra nationals, central

banks BIS and so forth.

will

I do appreciate it.

Both you and Richard are perfectly right. I do appreciate your sincere and professional comments and opinions.