CySEC Extends CIF License Suspension of Best Choice FBC

The Cyprus Securities and Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Commission (CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term) today announced that it has continued the suspension of the Cyprus Investment Firm Best Choice FBC Ltd, which holds the license number 234/14.

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As reported by Finance Magnates in August, Best Choice FBC, a broker founded in 2014, was initially flagged for non-compliance and had its license temporarily suspended by CySEC following several allegations of multiple violations.

Today the regulator announced that the company authorization continues to be suspended due to suspicions of possible non-compliance and an alleged violation of section 28(1) of the law due to the company’s possible non-compliance with section 12 (persons who effectively direct the business of a CIF), section 13 (CIF shareholders) and section 18(2)(j) of the law relating to the protection of clients’ funds.

A visit to the Best Choice FBC website now shows the following message. However, this has yet to be updated to reflect the continuation of the suspension.

CySEC reached its decision as the aforementioned alleged violations may possibly endanger the company’s clients’ interests or the investor interests or generally the regular operation of the capital market.

Finance Magnates also reported on Best Choice FBC in 2015 when the company acquired the retail business of the Finish forex broker FinFX .

Best Choice FBC is obliged to take action in order to comply with the necessary provisions within one month. But while the license suspension is in force, the company is not permitted to enter into a business relationship with any person, accept any new customer or provide any services.

More specifically, pursuant to section 26(5) of the law, the company cannot receive, transmit and execute any orders from clients for buying financial instruments, cannot provide any investment services in Cyprus or outside Cyprus, and is not allowed to advertise itself as an investment services provider.

In addition, Best Choice must, if existing clients so wish, close any open positions in relation to clients’ contracts (on time or earlier if the client wishes so). It will be also required to return to existing clients all of their funds and profits earned, if and when the clients so wish.