Financial Commission Returned $1,495,474 to Traders in 2020

​The Financial Commission, a leading independent external dispute resolution (EDR) organization for the retail trading industry, announced that it has released the 2020 Complaints Summary, showing a significant annual growth in several key metrics.

According to its latest annual report, the number of new complaints filed in 2020 rose 32 percent year-over-year, reaching a record of 1340.

Likewise, the amount of compensation sought increased 48 percent to $10.9 million from the previous year. In addition, the amount of total compensations awarded to traders totaled $1,495,474, significantly increasing 148 percent from 2019.

Overall, the commission experienced another record-setting year in 2020 with an average complaints value of $8,812 (20% growth YoY) and average dispute resolution time of 6.97 days (3% growth YoY).

“The majority of complaints in 2020 were related to financial issues with 55% of the total, while trading related disputes accounted for 25%. The most popular topics for complaints dealt with funds withdrawal (31%), agreement breach (17%), price check (14%), and account blocking (6%). Of all resolved complaints, 52% were resolved 'in favor of the broker' and 18% resolved 'in favor of the client', while 30% were found to be outside the organization's jurisdiction,”the commission stated.

The organization managed to expand its membership ranks with twelve new members and set up new partnerships with industry media and liquidity and pricing providers, including The Industry Spread and Advanced Markets.