Forex

Market News

AFCA: The new EDR for all Australian forex brokers

The federal executive government of Australia announced it will introduce a comprehensive package of measures to strengthen the accountability and competition in the country’s financial system. These include setting up of a single external dispute resolution (EDR) body for the financial services companies – the Australian Financial Complaints Authority (AFCA).

 

According to a document published on the site of the Australian Treasurer Scott Morrison, AFCA will replace the two existing EDR authorities, approved by ASIC - the Financial Ombudsman Service and the Credit and Investments Ombudsman. All financial firms that deal with consumers, including forex and CFD brokers, will be required by law to be members of AFCA.

 

The task of the new one-stop shop will be to deal with all financial disputes, substantially improving outcomes for individuals and businesses and ensuring that consumers have access to free, fast and binding dispute resolution. The initial plans for AFCA envisage a monetary limit of AUD 1 million and a compensation cap of at least AUD 500,000 for financial disputes.

 

The AFCA will be under the oversight of the Australian Securities and Investments Commission (ASIC), which will require financial firms to report on their internal dispute resolution activity.

 

Australia has become a popular forex hub due to the well-balanced regulation of financial service providers. The Australian watchdog exercises effective supervision and applies certain to licensed brokers such as a minimum capital requirement of AUD $ 1 million, reporting standards and the obligation to keep client money in segregated accounts. The only thing that seems to be missing is a compensation scheme in case a regulated company becomes insolvent.

TAGS: Australia  regulation  ASIC  dispute resolution 

Related forex news

Broker Country Regulation Platform Min Deposit Review
Cyprus CySec MT4, MT5, Web $5 Review Website
Cyprus, Australia CySec, ASIC MT4, Web $100 Review Website
UK, Cyprus, Hong Kong FCA, CySEC, SFC MT4, Web,
PrimeTrader
$100 Review Website
UK, Australia, Singapore FCA, ASIC, MAS, BaFin MT4, Web,
ProRealTime,
2Dealer
$0 Review Website
UK, Australia FCA, ASIC MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus FCA, CySec MT4, MT5 $5 Review Website
UK, Cyprus FCA, CySEC MT4, MT5,
cTrader,
SuperTrader,
FxPro Markets
$100 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus CySec MT4, Web, Gwasy $100 Review Website
Belize IFSC MT4, MT5, Web $1 Review Website
Cyprus CySEC MT4, MT5,
cTrader
$300 Review Website
Seychelles FinaCom MT4 $10 Review Website
UK, Cyprus, Bulgaria FCA, CySec, FSC Web $150 Review Website

More Forex Market News

UK's FCA warns of HBC Broker

Jul 26 2017 13:43:33

 UK's Financial Conduct Authority (FCA) has issued a warning against the offshore forex and CFD broker HBC Broker.   The regulator says it believes that the broker, owned by MPG Partners, with an address in Scotland, is providing financial services and products without authorization. Read more

FinaCom warns of forex broker FX Group

Jul 26 2017 11:34:36

 The Financial Commission (FinaCom), the independent external dispute resolution (EDR), whose members include forex, CFD and binary options brokers has warned of the forex broker FX Group. Read more

Canada's MSC warns of GTOptions

Jul 25 2017 07:24:48

Canada's provincial regulator, the Manitoba Securities Commission (MSC) has issued a warning against the binary options broker GTOptions.   According to the publication, “GTOptions, www.gtoptions.com, and MJ Vents Ltd. Read more

Forex

Spain's CNMV warns of GSI Markets, Top4Fx

Jul 24 2017 10:46:52

 Spain's financial markets regulator CNMV has warned of two unauthorized forex brokers: GSI Markets and Top4Fx. In the entry for GSI Markets the regulator lists three companies: Media Soft Limited, Netsoft Limited and Netmedia Markets OU. Read more

CySEC authorizes ProbusFX

Jul 24 2017 09:10:31

 The Cyprus Securities and Exchange Commission (CySEC) has published a notice that it has authorized a new forex broker operating from the domain www.probusfx.com. The brokerage is owned by Aspide Financial Limited and is based in Limassol, Cyprus. Read more

CSSF warns of unauthorized broker Luxembourg Capital Finance

Jul 24 2017 08:42:41

Luxembourg's Commission de Surveillance du Secteur Financier (CSSF) has published a warning against the broker Luxembourg Capital Finance, operating the website www.luxembourg-capital-finance.com. Read more

Are women better traders?

Jul 21 2017 13:25:09

 The age-old gender inequality is not going away fast, despite the deliberate attempts to make companies give equal pay and the requirements that an X number of women sit on the company board.   The financial sector is one fine example of gender inequality in terms of numbers, at least. Read more

ASIC warns of 72Option, LCG clone

Jul 21 2017 07:45:45

 The Australian Securities and Investment Commission (ASIC) has updated its warning list of unlicensed entities with the addition of the binary options broker 72Option and a clone of the forex broker London Capital Group (LCG). 72Option, also known as Epic Ventures Ltd. Read more

Binary Options vs Digital Options

Jul 20 2017 14:07:23

The binary options industry continues moving forward. One of the rather new products which is available are the so called “digital options”. Though they may appear similar in nature to the classic binary options, there are several differences worth pointing out. Read more

Are forex trading contests good for you?

Jul 20 2017 09:47:11

You may nor have heard about them, if you have been living under a rock, but there are many forex trading contests nowadays. They are offered by brokers, as a means to attract new clients. Read more

Forex