Amenda adopts a 100% agency model; therefore, Amenda's finances are in no way affected by the profits or losses generated by client trades.
By adopting a 100% agency model Amenda also provides legal guarantee to a certain extent. This is because Amenda's license issued by the FCMC (Fianancial and Capital Market Commission), which conducts financial supervision, authorizes Amenda to operate only on an agency model.
Whether Amenda is operating within the boundaries of its license is not only subject to the FCMC's supervision, but it is also monitored by a law firm, a supervisory committee, an internal auditor, and an external auditing firm.
Market Maker (MM) brokers generally take a loss when client trades generate profits. This is because the revenue model adopted by MM brokers is dependent on the profits and losses of client funds.
For example, when a client holds a buy (sell) position, the MM broker will hold a sell (buy) position. In other words, Market Maker brokers take a loss when profits are generated from client transactions, while they profit when their clients take a loss. The financial condition of MM brokers can deteriorate quickly when clients unilaterally generate profits from a rapid change in the market.
Amenda is a broker that uses a 100% agency model (STP/DMA/ECN/NDD), and since all client orders are relayed to the cover destination, Amenda would never hold a position opposite to that of the client. Furthermore, Amenda's finances are never exacerbated by profits generated from client transactions in the event of rapid change in the market.