Edition:
India

UK's FCA Confirms Permanent Ban On The Sale Of Binary Options To Retail Consumers


Friday, 29 Mar 2019 

March 29 (Reuters) - UK's FCA::FCA CONFIRMS PERMANENT BAN ON THE SALE OF BINARY OPTIONS TO RETAIL CONSUMERS.UK'S FCA- CONFIRMING ALL FIRMS ACTING IN OR FROM THE UK ARE PROHIBITED FROM SELLING, MARKETING OR DISTRIBUTING BINARY OPTIONS TO RETAIL CONSUMERS.UK'S FCA - FCA’S RULES ARE IN SUBSTANCE SAME AS ESMA'S EXISTING, EU-WIDE TEMPORARY RESTRICTIONS ON BINARY OPTIONS.UK FCA'S - ESTIMATES PERMANENT BAN ON BINARY OPTIONS COULD SAVE RETAIL CONSUMERS UP TO £17M A YEAR, MAY REDUCE RISK OF FRAUD BY UNAUTHORISED ENTITIES.UK'S FCA- THE NEW RULES TACKLE WIDESPREAD CONCERNS ABOUT THE INHERENT RISKS OF THESE PRODUCTS, AND THE POOR CONDUCT OF THE FIRMS SELLING THEM.UK'S FCA - FCA IS ALSO APPLYING ITS RULES TO SO-CALLED ‘SECURITISED BINARY OPTIONS’ THAT WERE EXCLUDED FROM ESMA’S PROHIBITION.UK'S FCA- THE FCA’S RULES ON BINARY OPTIONS ARE PERMANENT AND COME INTO FORCE ON 2 APRIL 2019.