Exclusive: easyMarkets Closes Polish Branch ‘Easy Forex Trading Sp Zoo’

easyMarkets told traders in ‎Poland that its headquarters in Limassol, Cyprus ‎will handle their trading ‎operations‎.

CySEC-regulated forex broker easyMarkets has ‎announced that it will be exiting the Polish ‎market effective June ‎‎30, 2018, and will be withdrawing registration of its ‎Polish branch Easy Forex Trading Sp. Zoo., located at Warsaw Financial Center.‎

In an email sent to clients this morning, easyMarkets told traders in ‎Poland that its headquarters in Limassol, Cyprus will handle their trading ‎operations, including the reception and transmission of ‎orders, as of 31st of May 2018.‎

Join the iFX EXPO Asia and discover your gateway to the Asian Markets

Back in December, the Polish Ministry of Finance has ‎submitted a draft of a new law that ‎introduces sweeping changes to its FX regulations, including the imposition of maximum ‎leverage on forex trading accounts to 1:50. ‎

Suggested articles

Going Past the Great Wall: Things to Consider When Entering the Asian MarketGo to article >>

The draft of new propositions, however, allows brokerage ‎firms to raise the maximum permitted leverage to 100:1 ‎only if the customer made at least 40 transactions during ‎the last 24 months.‎

Earlier in July, Polish authorities announced plans to cut the maximum leverage from the current 1:100, with a margin of 1 percent, to 1:25 with a margin of 4 percent.

The efforts reflected Poland’s ongoing clampdown on the ‎high-risk retail trading products. It also places the ‎country’s regulations on par with other European nations, ‎notably the UK’s FCA, which has proposed a maximum ‎of 50:1, and Cyprus’ CySEC, which has made similar ‎limitations but added a provision for experienced traders to ‎access higher leverage levels.‎

Recently, reports provided to the Polish Financial ‎Supervision Authority (KNF) by the nation’s regulated ‎brokers showed that 36.1 percent of clients investing in ‎currency derivatives made a profit, down from 39.5 ‎percent in the previous quarter. Reports provided to the ‎KNF last year showed that the percentage of investors ‎making money from trading in the OTC market averaged ‎‎20.7 percent in the period from 1 January 2016 to 31 ‎December 2016. But ultimately, 80 percent of the ‎profitable traders made losses in the long run.‎

Got a news tip? Let Us Know