CommexFX's License Suspended for Endangering Clients’ Interests
- CySEC has given CommexFX Ltd fifteen day to take actions in order to comply with the Directive, ‘Safeguarding of clients’ funds’
The Cypriot financial watchdog took action today against CommexFX, a broker operating mainly in Egypt and China as well as other Asian markets.
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) has just announced that the authorisation of the Cyprus Investment Firm ‘CommexFX Ltd’ (CIF number 153/11) has been suspended, pursuant to the Investment Services and Activities and Regulated Markets Law, as there are suspicions of an alleged violation of the law, due to the Company’s possible non compliance with the Law: ‘Operational requirements – Clients’ funds’, as specialized in the Directive, ‘Safeguarding of clients’ funds’.
The commission says that the suspension decision was taken due to the fact that the aforementioned alleged violation might possibly endanger the company’s clients’ interests and in general the smooth operation of the capital market. CySEC has given CommexFX Ltd fifteen day to take actions in order to comply with the aforementioned provisions, otherwise the suspension might become permanent.
According to the securities law in Cyprus, a CIF authorized company has to suspend its services if the regulator suspends its license. The local law states that a CIF is not allowed to provide the services to which the license suspension is related until further notice. Furthermore, the company must, if clients so wish, close all open positions in relation to clients’ contracts and return clients all of their funds and profits earned.
Online traders' forums called CommexFX a scam, because of its owner's previous company going under, and encouraged wronged clients to turn to CySEC and file complaints against the firm. This very likely was the trigger for the watchdog's investigation.
The Cypriot financial watchdog took action today against CommexFX, a broker operating mainly in Egypt and China as well as other Asian markets.
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) has just announced that the authorisation of the Cyprus Investment Firm ‘CommexFX Ltd’ (CIF number 153/11) has been suspended, pursuant to the Investment Services and Activities and Regulated Markets Law, as there are suspicions of an alleged violation of the law, due to the Company’s possible non compliance with the Law: ‘Operational requirements – Clients’ funds’, as specialized in the Directive, ‘Safeguarding of clients’ funds’.
The commission says that the suspension decision was taken due to the fact that the aforementioned alleged violation might possibly endanger the company’s clients’ interests and in general the smooth operation of the capital market. CySEC has given CommexFX Ltd fifteen day to take actions in order to comply with the aforementioned provisions, otherwise the suspension might become permanent.
According to the securities law in Cyprus, a CIF authorized company has to suspend its services if the regulator suspends its license. The local law states that a CIF is not allowed to provide the services to which the license suspension is related until further notice. Furthermore, the company must, if clients so wish, close all open positions in relation to clients’ contracts and return clients all of their funds and profits earned.
Online traders' forums called CommexFX a scam, because of its owner's previous company going under, and encouraged wronged clients to turn to CySEC and file complaints against the firm. This very likely was the trigger for the watchdog's investigation.