FXCM US Reaches Settlement with the CFTC for $6 Million

FXCM Inc (NYSE:FXCM) or the Company, a global online provider of foreign exchange (forex) trading and related services to retail and institutional customers worldwide, announces that its U.S. subsidiary, Forex Capital Markets LLC ("FXCM US"), has entered into a settlement with the Commodity Futures Trading Commission ("CFTC"). The settlement principally addresses allegations regarding FXCM US's failure to monitor and maintain its trading systems prior to August, 2010. FXCM US had previously settled with the NFA for allegations regarding mainly the same underlying issues.

Under the terms of the settlement, FXCM US has agreed, without admitting or denying any of the allegations, to pay a fine of $6 million to the CFTC. As disclosed on August 11, 2011, during FXCM's Second Quarter Earnings Conference Call and in its related filings with the SEC, the Company established a reserve in anticipation of the fine associated with the CFTC and the NFA settlement. Certain partners of FXCM Holdings, LLC have already reimbursed FXCM Inc. the expense in substantially the amount of such reserve, resulting in no negative impact to the net income of FXCM Inc. In accordance with the NFA's offer of settlement, FXCM US has credited all accounts that were affected during the time period agreed upon with CFTC and NFA.

"We are pleased to have reached an agreement that resolves the CFTC's concerns," said Drew Niv, Chief Executive Officer of FXCM. "FXCM has previously enhanced its execution system to pass along all price improvements on every order type and remain committed to providing the most robust forex trading platform available. We are happy to have settled all our regulatory matters in the US, to have this behind us and to see this come to an end. "

About FXCM, Inc.

FXCM Inc., a publicly traded company listed on the New York Stock Exchange (NYSE: FXCM), is a holding company and its sole asset is a controlling equity interest in FXCM Holdings, LLC. Forex Capital Markets, LLC ("FXCM US") is a direct operating subsidiary of FXCM Holdings, LLC. All references to "FXCM" in this press release refer to FXCM Inc.

At the heart of FXCM's client offering is No Dealing Desk forex trading. Clients benefit from FXCM's large network of forex liquidity providers enabling FXCM to offer competitive spreads on major currency pairs. Clients have the advantage of mobile trading, one-click order execution, and trading from real-time charts. FXCM's UK subsidiary, Forex Capital Markets Limited, also offers CFD products with no re-quote trading and allows clients to trade forex, oil, gold, silver, and stock indices on one platform. In addition, FXCM offers educational courses on forex trading and provides free news and market research through DailyFX.com.