Weekly Recap: IG Launches Campaign to Revive UK Stock Market; Plus500 Secures Canadian License

IG wants to help the struggling UK stock market

In the recent past, there has been an exodus of the number of listed companies in the UK, and IPOs are equally on a decline. In a bid to change the situation, IG Group launched a campaign to encourage British people to invest in local companies.

According to the Group, the British public has a savings-first mindset that discourages investment in businesses. IG is also calling for an end to stamp duty on UK share purchases and wants the government to “reward those who back Britain.”

Plus500 adds Canadian License

Meanwhile, Plus500 entered the Canadian markets by obtaining a licence from the Canadian Investment Regulatory Organisation. The Canadian licence came in around two months after the Israeli broker gained a licence in the United Arab Emirates.

The broker wants to use the local license to offer services within the country’s over-the-counter market. It now has 15 regulatory authorisations, including the latest approval in Canada.

Cypriot watchdog fines Purple Trading, FTX Cyprus

In Cyprus, CySEC announced this week a €150,000 settlement with L.F. Investment, the operator of the contracts for differences (CFDs) broker Purple Trading, for “possible violations” of several regulatory requirements.

The agency alleged a possible conflict of interest between the broker and its clients. It also raised questions over the broker’s compliance with restrictions on the marketing, distribution, and sale of CFDs to retail clients.

Besides that, the Cypriot entity of the collapsed crypto exchange FTX (now renamed Trek Labs Europe under new ownership) also settled with CySEC , paying a total of €200,000 for “possible violations” of regulations.

The Cypriot regulator suspended FTX EU’s CIF licence in 2022 after the collapse of its Bahamas-based parent company.

XM owner buys Cyprus’ newspaper

And after deciding to purchase a bank, Costas Cleanthous, co-founder and majority owner of contracts for differences (CFD) broker XM, bought Cyprus’ newspaper group, Phileleftheros.

With the acquisition, Cleanthous gained a controlling stake in the publishing group. It also appears that he bought the newspaper in a personal capacity.

Why are retail FX brokers changing hands?

Also this week, Irish trading broker AvaTrade agreed with a group of investors for a capital injection into the company. Reports from Israel suggest a local businessman is set to acquire about 50 per cent of the firm in a deal that would value it at roughly half a billion dollars.

The growth potential of the Middle East is another motivating factor behind the deal—just this week, AvaTrade’s CEO referred to its “growing base of investors across the GCC.”

Capital.com adds $1M EU client fund insurance

Capital.com, regulated by the Cyprus Securities and Exchange Commission, stepped up its efforts to protect client funds in the European Union with a new private insurance policy.

The cover safeguards client accounts up to $1 million in the event of broker insolvency and supplements the €20,000 already protected under CySEC’s Investor Compensation Fund.

Geopolitical tension in the Middle East

Meanwhile, markets are still reeling despite a ceasefire reached between Israel and Iran, which eased geopolitical tension in the Middle East.

After the US struck Iran, there were threats around the Strait of Hormuz, investors weighing geopolitics against portfolio stability, and the potential for soaring oil prices.

Although elevated geopolitical risk has become the norm, the scale of the upheaval caused by President Trump’s trade war has taken even experienced market watchers by surprise.

There is an argument to be made that the uncertainty in financial markets created by random and inconsistent US tariff policies has placed investors in uncharted territory, especially when we consider that around two-thirds of global portfolios have the greenback as their base currency.

Executive moves of the week

And in the executive move segment, this week, Revolut appointed Béatrice Cossa-Dumurgier as the CEO of its newly established Western Europe headquarters in Paris, signaling the fintech’s intent to strengthen its presence in the region and pursue a full banking license in France.

At the same time, CFI Financial Group, a forex and contracts for differences (CFDs) broker with the Middle East as its stronghold, shuffled its top management.

It appointed Ziad Melhem as the new Group Chief Executive Officer, while the two co-founders, Hisham Mansour and Eduardo Fakhoury, stepped down as Managing Directors to become Chairman and Vice Chairman, respectively.

Elsewhere, Edgewater Markets has named Paul Allmark as its Chief Technology Officer. Based in the firm’s London office, Allmark will oversee all technology functions and report directly to Edgewater’s founders. His appointment is part of a broader leadership expansion as the firm positions itself for continued growth across products and regions

Germany’s business sentiment

Germany’s business sentiment hit a two-year high as the economy showed rare signs of life amid global gloom, powered by a fiscal boost and cautious optimism.

Somewhere between Fed rate anxiety, Chinese property meltdowns, and global political mayhem, Germany—the economy everyone loved to call the “sick man of Europe”—is, improbably, feeling better.