The UK subsidiary of online foreign exchange and CFDs brokerage Exness is fully committing to its FCA-regulated operation. Despite the changes that the UK Financial Conduct Authority has been contemplating recently, the company was not deterred from applying for a full principal license.
Exness Europe Limited (EEL) has acquired the necessary permissions to operate as a principal, an effort which requires a substantial investment. The UK subsidiary of Exness can now act as a market making counter-party for its clients.
The news serves as proof that despite the upcoming regulatory changes by the FCA, brokers remain keen to be regulated by the UK watchdog. The UK body is attractive to brokers which target clients not only in Europe, but also in the MENA and APAC regions.
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Commenting on the news, the CEO of Exness Europe Limited, David Morris, stated: “This is an important step in the development of the UK arm of the Exness Group. The upgraded license will afford the company greater flexibility in its business model and will further increase transparency in pricing and execution for its clients.”
Last year the company acquired a matched principal FCA license and stated that it is preparing to expand into the B2B area.
A New Direction for Exness
The new subsidiary of Exness is likely to begin operation under a completely different business model to the operator of Exness.com. The main website of the group is operated by a company which is registered in Saint Vincent and the Grenadines and offers unlimited leverage on accounts with less than $1000 of equity.
With leverage offerings of up to 1:2000 for $3000 accounts and 1:1000 for $10,000 accounts, Exness regularly reports trading volumes that are not in line with the rest of the industry. In its official announcement, the company states record trading volumes for the month of March, standing at $313.7 billion.