The Cyprus Securities and Exchange Commission (CySEC) has announced the withdrawal of two Cyprus Investment Firm (CIF) authorizations.
CySEC Withdraws CIFs for Two Firms
On 11th November 2024, CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term revoked the CIF authorization of Arumpro Capital Ltd. This decision follows the company’s explicit renouncement of its authorization under the Investment Services and Activities and Regulated Markets Law of 2017.
In a statement on their website, Arumpro Capital Ltd said, “We regret to inform you that Arumpro Capital Ltd has made the difficult decision to renounce its license and cease offering investment services and activities. We value our customers and investors and appreciate the trust you have placed in us over the years.”
The company further added, “Please note that, as communicated, all positions have been closed and access to trading accounts has been terminated.”
Finance Magnates has contacted Arumpro Capital for a comment. At the time of writing, the company has not yet responded.
On 4th November 2024, CySEC also withdrew the CIF authorization of Greenpost Trading Europe Ltd, following the company’s similar decision to renounce its authorization under the same legal provisions.
CySEC Reminds CIFs of UKNF Guidelines
Meanwhile, CySEC has reminded CIFs about the Polish Financial Supervision Authority’s (UKNF) position on referral and affiliate programs, as reported by Finance Magnates.
In its October 2023 guidance, the UKNF prohibits clients of investment firms or unregulated intermediaries from engaging in personalized client acquisition activities under such programs.
CySEC highlighted in a web release that the UKNF’s position restricts individuals or entities outside the firms from undertaking actions to attract clients or potential clients for investment services.
Additionally, the UKNF guidance limits the dissemination of information regarding the scope of services offered by investment firms. According to the position, only the firms themselves or their tied agents are authorized to perform such activities.
This reminder highlights the importance of compliance with regulatory expectations in cross-border activities involving affiliate or referral-based client acquisition.
