FCA sees 'serious risk of harm' in CFD products

In a letter addressed to the chief executives of CFD providers and distributors, the UK watchdog highlighted several areas of concern

Navigating rules and regulations
The review focused on processes, policies, controls and oversight arrangements at sample firms, which were then compared against relevant requirements in the FCA handbook

The Financial Conduct Authority warned consumers “may be at serious risk of harm” from poor practices in the contract for difference sector, in a so-called ‘Dear CEO’ letter to major providers in the sector.

The letter, published on January 10, follows a 12-month review conducted by the regulator between July 2015 and June 2016.

Now, the UK watchdog highlights a series of “areas of serious concern” and asks providers to consider whether their firms comply with the FCA’s requirements for

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact customer services - www.fx-markets.com/static/contact-us, or view our subscription options here: https://subscriptions.fx-markets.com/subscribe

You are currently unable to copy this content. Please contact info@fx-markets.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to FX Markets? View our subscription options

You need to sign in to use this feature. If you don’t have a FX Markets account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: