ESMA has introduced a number of measures for the provision of contracts for differences (CFDs), including a ban on the sale or marketing of binary options to retail investors.
Following a consultation as announced in January, European Securities and Markets Authority (ESMA) has introduced leverage limits and negative balance protection on CFDs, while also banning the marketing, distribution or sale of binary options to retail clients and restricted sales to retail clients of CFDs, including rolling spot forex and financial spread bets. FCA's crackdown on use of CFDs in retail market CFDs are contracts between an investor and an investment bank or a spread-betting firm, which see the parties exchange the difference between the opening and closing prices of ...
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