Information published on the website of FinFX reveals that the retail clients and the brand of the brokerage have been acquired in a strategic move. The firm has published a statement publicizing that as part of a restructuring plan, with the brand and the client base acquired by “Best Choice FBC limited”. The broker is a brokerage regulated by the Cyprus Securities and Exchange Commission (CySEC).
The firm is currently operating the brokerage BCFXBroker.com. The official announcement made by the company states that the CySEC regulated broker will operate under the “FinFX” brand.
Speaking to Finance Magnates reporters, the Chief Business Development Officer of the company Stan Klebaner said that current management will remain actively involved in running the firm and emphasized that the move is strategic.
Asked about the reasons for the move, Mr Klebaner said, “The impetus for the client disposition is to provide a regulated counterparty for our retail client base. We feel that regulatory transparency, client asset protection as well as more robust operation framework is an absolute must for today’s retail FX participant. By partnering with CySec regulated BCFX, we know that the main beneficiary will be our clients.”
“FinFX will continue to operate in the FX marketplace and will be the trademark for both the CySec as well as the FinFX Oy (Finnish) entity. We will concentrate on liquidity provisioning and will be very much hands-on in assisting our partners in Cyprus as it pertains to day-to-day operations in catering to the client base. Additionally, we will also expand our product offering to encompass, CFD’s, spot commodities and futures in the near term,” he explained.
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As to the institutional client base of FinFX, Mr Klebaner said, “The institutional client base will continue to transact w/FinFX Oy. We have submitted our application to the Finnish FSA are on track to become the first regulated broker in Finland within the next few months. Our objective will be to concentrate on sourcing our liquidity to ECP (professional) clients in targeting brokerage firms, asset managers corporates and funds.”
The reason cited for the move is that the clients of the brokerage will have the ability to trade with an officially regulated entity. This could signify that the company’s brand and clients transfer is merely shifting to a Cyprus regulated entity.
A spokesperson for the company has shared with Forex Magnates reporters that the buyer company has a different ownership. Best Choice FBC Ltd got its license in May 2014, but only started operating couple of months ago.
The move will be effective from the opening of business on Monday, June 1st 2015. All trading accounts and open positions of the retail clients of FinFX will be transferred to the above mentioned broker.
Additional information on this matter will be sent to all the clients via email.