FCA Issues Statement Detailing Impact of Brexit on Financial Regulation
- The financial watchdog has issued a statement outlining its reaction to the Brexit Leave vote.
The UK’s Financial Conduct Authority (FCA) has issued a statement following the UK’s decision to leave the European Union which is expected to have far-reaching implications for the country.
The FCA is monitoring developments in the financial markets.
The financial watchdog has stated that it is in very close contact with the firms it supervises, as well as the Treasury, the Bank of England and other UK authorities, and that it is monitoring developments in the financial markets.
It added: “Much financial regulation currently applicable in the UK derives from EU legislation. This regulation will remain applicable until any changes are made, which will be a matter for Government and Parliament.”
Obligations
The FCA has urged that firms continue to abide by their obligations under UK law, including those derived from EU law and continue with implementation plans for legislation that is still to come into effect.
In addition, consumers’ rights and protections, including any derived from EU legislation, are unaffected by the result of the referendum and will remain unchanged unless and until the Government changes the applicable legislation.
The Future
The longer term impacts of the decision to leave the EU on the overall regulatory framework for the UK will depend, in part, on the relationship that the UK seeks with the EU in the future. The FCA will work closely with the government as it confirms the arrangements for the UK’s future relationship with the EU.
Traders
To assist traders with keeping track of the current status, Finance Magnates recently published a guide listing the margin and Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term changes across most of the key players in the trading industry.
The tightening of the trading conditions was a mandatory step to help ensure that their clients are provided with better protection against the predicted Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term surrounding this event. In light of the referendum results, traders can access a list of brokers that have since updated their trading requirements here.
The UK’s Financial Conduct Authority (FCA) has issued a statement following the UK’s decision to leave the European Union which is expected to have far-reaching implications for the country.
The FCA is monitoring developments in the financial markets.
The financial watchdog has stated that it is in very close contact with the firms it supervises, as well as the Treasury, the Bank of England and other UK authorities, and that it is monitoring developments in the financial markets.
It added: “Much financial regulation currently applicable in the UK derives from EU legislation. This regulation will remain applicable until any changes are made, which will be a matter for Government and Parliament.”
Obligations
The FCA has urged that firms continue to abide by their obligations under UK law, including those derived from EU law and continue with implementation plans for legislation that is still to come into effect.
In addition, consumers’ rights and protections, including any derived from EU legislation, are unaffected by the result of the referendum and will remain unchanged unless and until the Government changes the applicable legislation.
The Future
The longer term impacts of the decision to leave the EU on the overall regulatory framework for the UK will depend, in part, on the relationship that the UK seeks with the EU in the future. The FCA will work closely with the government as it confirms the arrangements for the UK’s future relationship with the EU.
Traders
To assist traders with keeping track of the current status, Finance Magnates recently published a guide listing the margin and Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term changes across most of the key players in the trading industry.
The tightening of the trading conditions was a mandatory step to help ensure that their clients are provided with better protection against the predicted Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term surrounding this event. In light of the referendum results, traders can access a list of brokers that have since updated their trading requirements here.