The UK’s position as one the most sought-after centers for financial markets continues as leading Limassol-based currency derivatives provider, IronFX, boosts its overseas network. The firm reported that it had enhanced its authorization under the UK financial watchdog, the Financial Conduct Authority (FCA). The firm has extended its capabilities to accept clients’ funds and deal as a principal. The move highlights the importance of strong regulatory standards brokers have adopted in light of the recent problems impacting the forex markets, coming on the back of issues such as the FX rates fixing cases.
IronFX Global UK Limited, the Cypriot broker’s UK entity, received an upgrade of the type of services it can provide to traders under the authorization of the FCA. The company reported the changes which were officially added to the company’s profile page on the FCA register. The UK arm, initially received authorization on the 18th of April, 2013.
The firm’s Chairman & CEO, Markos Kashiouris, commented about the new adoption in a statement: “We are delighted with the decision of the Financial Conduct Authority (FCA) to grant us with the variation of permission and to extend the scope of our current license. With this enhanced licence, we can extend a greater range of services to our valued clientele within the secure and regulated environment offered by IronFX.”
Mr. Kashiouris is registered with the FCA as an individual who holds controlled functions, also registered as a CF1 Director, CF3 Chief Executive as well as a CF30.
Firms authorized by the FCA can make a request with the regulator to change the way they carry out their business. In order to make any amendments, firms are required to submit an application form known as the ‘Variation of Permission’, regulated firms submit their data online.
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IronFX’s change gives the firm greater powers in the way they deal with their clients, the firm formerly held a license known as “Exempt CAD firm (may receive & transmit orders),” permission allowing that firm to introduce clients to a regulated firm. The current permission enables IronFX to deal directly with clients and accept their funds and act as a principal (STP) broker-dealer.
Jude Bahnan, Owner of Trading Compliance, stated that firms submit their details online but may be required to provide additional details, he said: “The FCA often asks for additional documentation, particularly when firms are upgrading their permissions to areas such as dealing and accepting of client funds.”
According to the FCA’s website, the process to gain a variation in permission can take up to six months; a London-based compliance consultant who remains anonymous explained to Forex Magnates that the FCA is taking a more stringent view on financial derivatives trading with retail investors and anticipates that the regulator will increase the monitoring and oversight of the sector.
IronFX’s latest development adds to its diverse offering for global traders, the firm already established in a number of developed and developing countries across the world. Mr. Kashiouris added: “This new licence also enforces our goal to offer the highest protection to all of our clients by being authorized and regulated by the most reputable financial regulators in the world.”
Data from LinkedIn shows that the firm has made a number of hires recently in its sales and account management divisions.