February 15th 2021, The Financial Commission announces continued monthly growth in submitted complaints, as well as compensation sought and awarded to traders for January 2021 as part of its monthly Complaints Digest. The organization recorded a significant increase in compensation sought, percentage of awarded compensation, complaints ruled in favour of traders and several other key metrics while achieving an average dispute resolution time of just 5.7 days.
Key monthly highlights for January 2021:
- New complaints up 34% to 70 total complaints filed
- Compensation sought by traders rose 92% to $1,035,346 MoM
- Compensation awarded increased 48% to $14,158 MoM
- Disputes ruled in favour of traders up 190% MoM
- Average complaints value up 43% to $6,090
- Average resolution time decreased 7% to 5.7 days
Month Over Month Comparison
- The Commission experienced a sizeable increase in newly filed complaints for January 2021 to 170, which represents a 34% rise from December 2020
- The amount of compensation sought by traders was significantly higher in January at $1,035,346 which is a rise of 92% from December 2020
- The total amount awarded to traders grew by 48% to $14,158
- The average value of complaints filed in January was 43% higher than December at $6,090
- Complaints in January were resolved in 5.7 days on average, which is an improvement of 7% from the previous 6.1 days in December
Renewed focus on equities markets, as well as commodities, continued to garner trader interest and provide for solid trading volumes across different asset classes. The continued interest in trading has supported the demand for dispute resolution services, as highlighted by several key metrics of the Financial Commission, including new complaints filed, average complaints values and total compensation sought by traders. While financial-related complaints continued to dominate, trading complaints jumped 27% in January, suggesting investors are having more issues with regards to trade executions and pricing than at the tail end of 2020. At the same time, the Dispute Resolution Committee (DRC) was able to once again rule a significantly higher number of complaints in favour of trades in January, as cases ruled in favour of clients jumped 190% month-over-month.
About Financial Commission
Founded in 2013, the Financial Commission is a leading independent member-driven external dispute resolution (EDR) organization for international online brokerages, exchanges and Blockchain firms that participate in global foreign exchange (forex), derivatives, CFD and digital asset markets.
The Financial Commission provides efficient compliance solutions to its members, alongside its External Dispute Resolution (EDR) mechanism that serves as an effective channel for processing complaints from clients of member firms.
For more information please contact us at [email protected].