de | cn | ru

Brokers News

AvaTrade pays €175,000 in settlement with Belgium’s FSMA

The Financial Services and Markets Authority (FSMA) has announced on Wednesday it has reached a settlement with Irish forex brokerage AvaTrade for a payment of EUR 175,000. According to the regulator, the broker has been providing financial services in Belgium without meeting all the legal requirements.

 

Specifically, FSMA says that AvaTrade has been offering CFDs to Belgium residents without the requisite prospectus, which must include complete information about the type of investment instrument, the issuer, and the risks associated with the investment. Besides, the regulator states that the broker did not submit for approval to the FSMA any advertisement or other documents relating to the said public offers.

 

AvaTrade is a major forex brokerage, whose units are regulated in Ireland, Australia and Japan. As it is regulated in the EU, AvaTrade is entitled to operate in all EU Member States, Belgium included. However, the situation with Belgium is a bit tricky, as FSMA banned the public marketing of OTC derivatives (CFDs and binary options) on August 18, 2016.

 

The announcement of FSMA’s website also outlines a settlement with binary options broker iCFD Ltd. that agreed to make a payment of EUR 200,000 to the commission for targeting Belgium investors.

 

In addition, both brokers are required to change information on their websites, indicating that their offering is not intended for Belgian residents. Besides, they have to contact all their Belgian clients to offer them discontinuance of their trading account and reimbursement of their current balance.

 

This is not the first case when Belgium’s financial regulator “punishes” a major forex broker for lack of prospectus. In April this year major brokerage Plus500 had to pay €550 000 in settlement for that reason.

 

 The Financial Services and Markets Authority (FSMA) is one of the harshest EU financial regulators. Apart from the ban of public marketing of OTC financial products introduced previous year, it regularly issues warnings against unregulated companies operating in the country. Most recently it warned against several boiler room scams.

TAGS: AvaTrade  FSMA  regulation 

More news about AvaTrade

Broker Country Regulation Platform Min Deposit Review
Cyprus, UK, Mauritius CySec, FCA, IFSC MT4, MT5, Web $10 Review Website
Cyprus, Australia CySec, ASIC MT4, Web,
Mobile app
$100 Review Website
Australia, Cyprus ASIC MT4, MT5,
IRESSTrader
$100 Review Website
UK, Cyprus, Australia FCA, CySec, ASIC MT4, MT5 $5 Review Website
UK, Australia, South Africa FCA, ASIC, FSCA MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
Markets,
cTrader
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus, UK, South Africa, UAE CySec, FCA, FSCA, DFSA MT4, MT5, Web $5 Review Website
Cyprus, UK CySEC, FCA MT4, MT5 $1 Review Website
Australia ASIC MT4, MT5 $100 Review Website
UK FCA MT4, Web, MT4
for Mac
$100 Review Website
Australia, UK ASIC, FCA MT4, MT5,
cTrader
$200 Review Website

More Forex Brokers News

Vantage Prime will no longer service non-Australian clients

May 20 2019 13:36:39

  Vantage Prime, which is a part of the Vantage FX group, announced it will no longer service non-Australian clients, online media Finance Magnates reported today. The broker’s decision is taken due to regulatory concerns. Read more

Dukascopy warns it has no cooperation with shady broker GCG Asia

May 16 2019 13:29:47

  Swiss forex brokerage and bank Dukascopy has repeatedly warned investors that it is has no cooperation Guardian Capital Asia (GCG Asia) and that the latter is likely involved in a fraudulent scheme. Read more

$75 mln forex Ponzi scam revealed in the US

May 03 2019 16:46:08

The Commodity Futures Trading Commission (CFTC) in the US has filed charges against Florida based Oasis International Group, Oasis Management and Satellite Holdings along with their owners for running a 75 million USD Ponzi scheme, concealed as forex investment program. Read more

Australians lost $86 mln to investment scams in 2018

May 02 2019 17:04:18

Australians lost over 86 million USD to investment scams in 2018 alone – the biggest portion of the almost 490 million USD  in losses from over 378 000 scam reports, the latest report of the Australian Competition and Consumer Commission’s (ACCC) reveals. Read more

FXTM now offers a deposit bonus of up to $5 000

Apr 25 2019 11:10:24

  Global award-winning brokerage FXTM has launched their biggest deposit bonus promotion ever. The broker is now offering an extra 30% back from every amount their traders deposit over a period of 30 days, up to a total of $5,000. Read more

FXTM appoints Han Tan as a Market Analyst for Southeast Asia region

Apr 19 2019 13:28:36

  Global award-winning forex broker FXTM has just announced the appointment of Tan Chung Han (Han Tan) as a Market Analyst. Read more

FXTM gets a license from Mauritius’ FSC

Mar 28 2019 09:59:36

  Award-winning forex brokerage  FXTM (ForexTime) continues its ongoing global expansion. The broker announced it has acquired a license from the Financial Services Commission (FSC) of the Republic of Mauritius previous week. Read more

Fortrade is the first broker to get an ASIC license in nearly 2 years

Mar 20 2019 15:03:35

  Fortrade acquired a financial services license from the Australian Securities and Investments Commission (ASIC), which hasn’t been very welcoming of new retail forex broker applicants lately. Read more

FP Markets launches a suite of cutting-edge MT4 tools for traders

Mar 06 2019 14:31:42

  FP Markets, a market-leading Forex and CFD provider, launches MT4 Trader Toolbox, a suite of twelve online trading tools which will take their clients’ trading to the next level. Read more

Major broker IG launched its US website

Jan 31 2019 13:15:37

  Global brokerage IG launched its website intended for US retail clients (www.ig.com/us). Residents of the US (with the exception of those in Arizona or Ohio) can now register on the broker’s website in less than 5 minutes and start trading. Read more

de | cn | ru