All client funds we receive are held by AxiTrader. Where required, client funds will be paid into a trust account maintained by us with an authorised deposit- taking institution (ADI).
When you establish an account with CMG you are identified as a retail client. This means that we provide you with information concerning the risks, benefits and features of the products traded on your account, as well as, the treatment of monies lodged with us (e.g., your initial margin deposit – ‘client monies’).
At a certain point of a client’s trading if the value of the financial products held in their account reaches AUD 500,000 equivalent (determined by the total leverage amount available from your initial and subsequent margin deposits and in accordance with regulations), they may be reclassified as a wholesale client.
This may affect you because there are different rules for the handling and use of our clients’ monies for retail and wholesale clients. As a retail client AxiTrader is limited in the uses of those monies, while as a wholesale client AxiTrader is allowed to utilise client monies more widely. It is important to remember in either case, retail and wholesale client monies are pooled separately in segregated accounts with an Authorised Deposit-Taking Institution (ADI).
Clients should take care to understand that our holding of client monies in one or more Segregated Accounts does not afford them absolute protection and that in the event of CMG becoming insolvent clients become unsecured creditors. A further discussion on this topic is available in the Product Disclosure Statement and the Client Agreement.
Client funds are currently held in Client Segregated Trust Accounts with the following Banks:
Lloyds Bank plc
Suite 305, Griffith Corporate Centre
1510, Beachmont, Kingstown
St. Vincent and the Grenadines
Trading name of AXI Trader Limited
(Business Company Number 25417
Risk Warning: CMG is a trading name of AxiTrader Limited, which is incorporated in St Vincent and the Grenadines, number 25417 BC 2019 by the Registrar of International Business Companies, and registered by the Financial Services Authority, and whose address is Suite 305, Griffith Corporate Centre, 1510, Beachmont Kingstown, St Vincent and the Grenadines. Over-the-counter derivatives are complex instruments and come with a high risk of losing substantially more than your initial investment rapidly due to leverage. You should consider whether you understand how over-the-counter derivatives work and whether you can afford to take the high level of risk to your capital. Investing in over-the-counter derivatives carries significant risks and is not suitable for all investors. When acquiring our derivative products you have no entitlement, right or obligation to the underlying financial asset. CMG is not a financial adviser and all services are provided on an execution only basis. Information is of a general nature only and does not consider your financial objectives, needs or personal circumstances.
All clients: Important legal documents in relation to our products and services and contact details for further information are available on our website at www.cmgau.com. You should read and understand these documents before applying for any CMG products or services and obtain independent professional advice as necessary.
Cryptocurrencies like Bitcoin are extremely volatile and can move or jump in price with no apparent reason due to lack of liquidity and ad hoc news. There is little or no fundamental reasoning behind its pricing and as such trading CFDs in Bitcoin pose a significant risk to Retail Clients. While CMG only quotes Bitcoin during the week, it can trade over the weekend, meaning there could be a significant price change between Friday and Monday. It should only therefore be traded by those clients with sufficient experience to understand that they risk losing all their investment, or more, in a short period of time, and only a very small part of their portfolio should be used.