CySEC the Cyproit financial regulator has granted four new Investment Firm licences, this has been confirmed by Cypriot law firm ‘MAP. S’ who acted on behalf of the four aforementioned firms.
The four firms to have gained CySEC licence are as follows:
- Prodigit Investments Ltd. who were granted CIF licence number 200/13.
- Admiralex Ltd. who were granted CIF licence number 201/13.
- AVA Trading Ltd. (better known AVA FX) who were granted CIF licence number 204/13.
- FXGlobe Litd. who were granted CIF licence number 205/13.
Readers may be familiar with both FX Globe and AVA FX, who both already operate in other jurisdictions. Currently the AVA brand is regulated in both Australia by ASIC and in Ireland by the Central Bank of Ireland. Sister company Ava Capital Markets Ltd. who currently operate with a CIB licence and it is not clear whether Ava’s European operations will move to the new Cypriot based company, as the granting of this licence means the company has two MiFID regulated entities. FX Globe meanwhile are currently registered as a Financial Services Provider in New Zealand, with the gaining of a CySEC licence being the companies first foray into the marketplace as a regulated firm.
Admiralex Ltd. is a subsidiary of Admiral Markets the Estonian based Foreign exchange brokerage, who recently also received a licence from the UK’s FCA. This means that Admiral Markets has regulated firms in three separate MiFID jurisdictions, on receiving the FCA licence the company stated the UK regulated entity was going to primarily marketed to those in the UK and Western Europe. So the role for the newly regulated CySEC firm currently remains unclear.
I have been unable to find any information regarding Prodigit Investments Ltd., so it will be interesting to see what services the newly licensed firm will offer.
The granting of these licences demonstrates how the jurisdiction is likely remain to a hotbed for retail Forex firms, even after the recent financial crisis which took place on the island. Cyprus continues to attract overseas Foreign exchange firms, with the jurisdiction offering low rates of corporation tax and the ability to offer services to those throughout the European Union through MiFID’s outbound passport. The island also boasts a pool of highly qualified staff to recruit from, ensuring that Cyprus will be a desirable jurisdiction to operate from for years to come.