Indication Investments Ltd Pays €160,000 to Settle Violations with CySEC

Cyprus Securities and Exchange Commission (CySEC) has reached a settlement agreement of €160,000 with Indication Investments Ltd. The regulator said the company might have violated ESMA’s rules regarding the leverage limits and the margin closeout.

02 June, 2020 | AtoZ Markets – Indication Investments Ltd held CIF license since 2012. Its license number is 164/12. Moreover, it operates two CySEC approved and It also offers retail financial markets and online trading services. According to its website, it has about 2.2 million customers.

CySEC Reached Settlement Agreement With Indication Investments Ltd

Cyprus regulator CySEC announced that it had reached a settlement agreement with Indication Investments Ltd, alleging that Indication Investments may violate Investment Services and Activities and Regulated Market Law. CySEC stated:

CySEC, under article 37(4) of the Cyprus Securities and Exchange Commission Law of 2009, may reach a settlement agreement regarding any violation or possible violation, act or omission for which there is reasonable ground to believe that violates the provisions of legislation used by CySEC to supervise its obliged entities.

Earlier, the regulator was conducting an investigation which took place at Indication Investments’ premises on 9 November 2018. According to the regulator, The company may have violated:

  • CIF’s obligation to execute orders on the terms that are most favourable to the customer.
  • CIF’s obligation to organizational requirements
  • ESMA Temporary Intervention Powers, in particular, offering maximum leverage (up to 1:30) to retail customers on certain products, margin closeout protection, CFD sales and distribution to retail customers.

According to CySEC, the company has settled over 160,000 euros for possible violations of CIF regulatory obligations.

In April, CySEC suspended the Belight Capital Group’s CIF license. The company is a CFD trading broker. The regulator also said the broker violated the CIF prudential and organizational requirements. Moreover, the broker did not provide any investment services in the past six months.

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