ESMA considers product intervention in forex, binaries, CFDs, UK's FCA postpones decision

Discussion in 'Wall St. News' started by mlawson71, Jul 1, 2017.

  1. mlawson71

    mlawson71

    ESMA, the European Securities and Markets Authority, said it is considering the use of its product intervention rights under Article 40 of MiFIR in regards to the offering of CFDs, rolling spot forex and binary options to retail clients.

    According to the regulator's statement, the monitoring and supervisory convergence it has been exercising so far, seem to be insufficient in curbing the risk to consumers and stricter measures are needed.

    In that connection, UK's Financial Conduct Authority, which has been holding consultations on stricter measures for retail client protection like lower leverage cap on CFDs for inexperienced traders and restrictions on bonuses, said it is postponing its final decision, in anticipation of ESMA's.
     
  2. Yes, we'd like the numpties to trade on the exchanges please. More liquidity, cut out the internalisers.