The Estonian entity of the Admiral Markets Group, Admiral Markets AS has responded to the recent €32,000 fine imposed on it by the Estonian financial regulator, Finantsinspektsioon.
Tallinn, Estonia based Admiral Markets AS said that it has received a notification from Finantsinspektsioon on Tuesday, imposing a fine of €32,000 due to lack of transparency in changing the terms of financial instruments following the crash of crude oil prices in April 2020.
Finantsinspektsioon says the brokerage did not give any prior notice to its clients and also the decision was not in their interest. However, Admiral Markets AS thinks the regulator did not take all market-specific circumstances into account in making the decision before imposing the penalty.
Admiral Markets AS Response to Estonian Regulator’s Fine
According to Admiral Markets AS, the brokerage firm has always cooperated with Finantsinspektsioon and has constanly acted in the best interests of the client.
In April 2020, for the first time, an event took place in the global financial markets, as a result of which the international financial platforms were not ready to reflect negative prices and calculate credit limits. The CEO of Admiral Markets AS, Sergei Bogatenkov confirmed that the firm acted in the best interests of its customers and ensured that customers could continue to trade in global financial markets.
“We have always been committed to ensuring that the interests of our customers around the world are protected. In this situation, we stood up to reduce the potential impact on our customers,” Bogatenkov said in response to Finantsinspektsioon.
“The goal of Admiral Markets is always to be a quality leader, to offer the best service and open communication with its customers and cooperation partners. We informed our customers early on of possible anomalies in the financial markets and asked them to be vigilant.”
These statements rebut almost all the bases on which the Estonian regulator penalized the broker, hence therefore the company will decide on contesting it in the near future. At the moment, however, the decision to challenge the regulator fine is yet to be finalized.
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