Cypriot financial regulator Cyprus Securities and Exchange Commission (CySEC) has announced that at its meeting held on the 1st of July 2024, it decided to impose an administrative fine of €200,000 to the CIF IC Markets (EU) Ltd. The fine was for non-compliance with article 42 of Regulation (EU) no. 600/2014 on markets in financial instruments, as specified in paragraph 5 of DI87-09, for the restriction on the Marketing, Distribution or Sale of Contracts for Differences (CFDs) to Retail Clients.
CySEC stated that IC Markets participated in activities that resulted in the circumvention of the requirements of paragraph 4(1)(a) of DI87-09, and specifically the requirements regarding the payment of initial margin protection as defined in Annex I of Directive DI87-09.
With regards to the CySEC action, FNG received the following response from an official spokesperson at IC Markets: