Exness, a forex brokerage house regulated in Cyprus, has strategically obtained through its subsidiary Exness Europe Ltd. a license in the UK by the Financial Conduct Authority (FCA), the broker said in a notice published on Friday. Exness Europe is set to launch operations by the end of 2016. Through the newly-licensed company, Exness intends to expand its operations across Europe. Authough a Cyprus license also serves the purpose, it seems Exness shows serious intends to expand across the continents with its Exness Europe unit.
“This is a very important milestone in the global expansion of the group and reinforces Exness’ unwavering commitment to adhere by the highest international regulatory standards and to protect its clients’ best interests”, said David Morris, CEO of Exness Europe Limited.
The brokerage intends to build on its already existing client base, parallel to expanding in new locations. It is currently focused on the markets in Asia, the Middle East, and Africa.
In addition to this, Exness intends to diversify its product portfolio with business-to-business (B2B) solutions. The broker provided no specific details.
“Beyond just B2C plans, Exness Europe Limited is also looking into B2B opportunities and will be working closely with other businesses that wish to leverage on Exness’ first-class technology and systems,” the notice read.
A UK license provides access to the financial markets of all countries in the European Economic Area (EEA) and ensures licensees comply with the standards of the European Markets in Financial Instruments Directive (MiFID). The FCA is renowned for its strictest standards and supervision. To acquire a license from the UK financial watchdog, brokers need to provide proof of their financial stability, to meet certain criteria, and to comply with a number of strict rules and requirements. Under the local regulations, investors’ funds are kept in segregated bank accounts separated from the company’s operating funds.
Exness was set up in 2008 and has grown to become a global forex broker. It offers trading in more than 120 currency pairs via Mini, Classic and ECN accounts, using the MetaTrader 4 (MT4) and MetaTrader 5 (MT5) trading platforms. The brokerage holds a license issued by the Cyprus Securities and Exchange Commission (CySEC) and used to have a license from the Belize International Financial Services Commission (IFSC), but no longer does. The group companies are also registered with the relevant regulatory bodies in Germany, the Netherlands, Poland, Spain, Italy, and Sweden.