CySEC Reaches €100k Settlement with Institutional Broker BCS Cyprus | Finance Magnates

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BrokerCreditService
(BCS) Cyprus, an institutional broker and investment firm, has paid
€100,000 to the Cyprus securities watchdog to settle ‘possible violations’ of the
European Union’s market abuse laws and Cyprus’ market
rules. The Cyprus
Securities and Exchange Commission (CySEC) announced the settlement today
(Wednesday), noting that the decision on the fine was
reached in late April.

CySEC said
it probed BCS Cyprus for compliance
with the EU rules on the prevention and detection of market abuse between 2019
and 2021. It also scrutinized the firm’s compliance with the authorization
condition prescribed by Cypriot’s financial market laws.

BCS Cyprus,
a member of the Association for Finance Markets in Europe, was licensed as a
Cyprus Investment Firm (CIF) in 2004. The company offers institutional
brokerage, investment banking and portfolio management services. In 2012, BCS
expanded its services to include the execution of orders in forex spot trading
transactions.

“[BCS
Cyprus] provides electronic access through its trading system (CQG) for sale
and purchase of derivatives on world major exchanges CME, Globex and CBOE,” the
CIF wrote on its website. “US equities (NASDAQ, NYSE, AMEX) are available via
placing voice orders to traders.”

Recent
Enforcement Actions by CySEC

As the watchdog of Cyprus’s
financial markets, CySEC regularly punishes firms utilising fines and settlements. Since
the start of the year, the regulator has withdrawn at least five CIF
licenses.

Last month,
CySEC imposed a €50,000 administrative fine on FXBFI
Broker Financial Invest Ltd, the operator of the now-shuttered CFDs broker brand, 101investing. The
monetary penalty is said to settle the company’s lapses in complying with anti-money laundering and terror
financing prevention requirements.

In the same month, CySEC subjected four CIFs to a symbolic fine of €100 for
failing to submit their quarterly statistical reports for either the third or
fourth quarter of 2022. The implicated firms are TriangleView
Investments Ltd, Eight Plus Capital Ltd, Ayomi Financial Services Ltd, and IWG
International Wealth Group Ltd.

Recently,
CySEC announced that it plans to conduct on-site
visits and
desk-based reviews of selected CIF firms that provide investment services to
retail clients. Through the visits, the regulator will evaluate how companies are complying with marketing communication rules prescribed by the
Markets in Financial Instruments Directive II (MiFID II).

MiFID II, a European Union legislation that came into force in 2018, seeks to improve the
transparency of the political bloc’s financial markets as well as boost investor
protection.

eToro’s CFDs fees; hirings at Exinity, Scope Markets; read today’s news nuggets.

BrokerCreditService
(BCS) Cyprus, an institutional broker and investment firm, has paid
€100,000 to the Cyprus securities watchdog to settle ‘possible violations’ of the
European Union’s market abuse laws and Cyprus’ market
rules. The Cyprus
Securities and Exchange Commission (CySEC) announced the settlement today
(Wednesday), noting that the decision on the fine was
reached in late April.

CySEC said
it probed BCS Cyprus for compliance
with the EU rules on the prevention and detection of market abuse between 2019
and 2021. It also scrutinized the firm’s compliance with the authorization
condition prescribed by Cypriot’s financial market laws.

BCS Cyprus,
a member of the Association for Finance Markets in Europe, was licensed as a
Cyprus Investment Firm (CIF) in 2004. The company offers institutional
brokerage, investment banking and portfolio management services. In 2012, BCS
expanded its services to include the execution of orders in forex spot trading
transactions.

“[BCS
Cyprus] provides electronic access through its trading system (CQG) for sale
and purchase of derivatives on world major exchanges CME, Globex and CBOE,” the
CIF wrote on its website. “US equities (NASDAQ, NYSE, AMEX) are available via
placing voice orders to traders.”

Recent
Enforcement Actions by CySEC

As the watchdog of Cyprus’s
financial markets, CySEC regularly punishes firms utilising fines and settlements. Since
the start of the year, the regulator has withdrawn at least five CIF
licenses.

Last month,
CySEC imposed a €50,000 administrative fine on FXBFI
Broker Financial Invest Ltd, the operator of the now-shuttered CFDs broker brand, 101investing. The
monetary penalty is said to settle the company’s lapses in complying with anti-money laundering and terror
financing prevention requirements.

In the same month, CySEC subjected four CIFs to a symbolic fine of €100 for
failing to submit their quarterly statistical reports for either the third or
fourth quarter of 2022. The implicated firms are TriangleView
Investments Ltd, Eight Plus Capital Ltd, Ayomi Financial Services Ltd, and IWG
International Wealth Group Ltd.

Recently,
CySEC announced that it plans to conduct on-site
visits and
desk-based reviews of selected CIF firms that provide investment services to
retail clients. Through the visits, the regulator will evaluate how companies are complying with marketing communication rules prescribed by the
Markets in Financial Instruments Directive II (MiFID II).

MiFID II, a European Union legislation that came into force in 2018, seeks to improve the
transparency of the political bloc’s financial markets as well as boost investor
protection.

eToro’s CFDs fees; hirings at Exinity, Scope Markets; read today’s news nuggets.

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