NEW YORK, May 8, 2015 (GLOBE NEWSWIRE) -- Scott+Scott, Attorneys at Law, LLP filed a class action complaint in the United States District Court for the Southern District of New York on behalf of all purchasers of FXCM Inc.’s (“FXCM” or the “Company”) common stock between June 11, 2013 and January 20, 2015, inclusive. The action seeks remedies under the Securities Exchange Act of 1934.
FXCM provides online foreign exchange (“FX”) trading and related services to retail and institutional customers worldwide. The Company acts as an agent between retail customers and a collection of global banks and financial institutions by making foreign currency markets for customers trading in foreign exchange spot markets. FXCM provides its customers access to over-the-counter FX markets through its proprietary technology platform.
The complaint alleges that the Company issued materially false and/or misleading statements regarding the Company’s business operations and the strength of its financial prospects, while concealing significant weaknesses concerning its core business. According to the complaint, the truth was that: (1) the Company’s agency model did not insulate the Company from financial risk from its heavily leveraged clients; (2) the Company did not disclose the true potential risk posed by market volatility; (3) the Company did not maintain sufficient regulatory capital reserves; and (4) the Defendants’ positive statements about the Company’s business, operations, and growth lacked a reasonable basis.
You can view a copy of the complaint here: Case Summary and Complaint
If you purchased FXCM stock during this time period and wish to serve as a lead plaintiff in the action, you must move the Court no later than July 7, 2015. Any member of the class may move the Court to serve as lead plaintiff through counsel of its choice or may choose to do nothing and remain an absent class member. If you wish to discuss this action or have questions concerning this notice or your rights, please contact Scott+Scott (scottlaw@scott-scott.com, (800) 404-7770, (860) 537-5537) or visit the Scott+Scott website for more information: http://www.scott-scott.com.
There is no cost or fee to you.
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide.