Response to FCA's Dear CEO letter

RNS Number : 5317B

Plus500 Limited

10 January 2018

 

10 January 2018

Plus500 Ltd.

("Plus500" or "the Company")

Response to FCA's 'Dear CEO' Letter

Plus500, a leading online service provider for retail customers to trade CFDs internationally, takes note of the contents of a "Dear CEO letter" that the Financial Conduct Authority ("FCA") has today issued as a public announcement following its review of the CFD market.

The announcement highlights the FCA's concerns regarding firms who offer and distribute CFDs to retail customers on either an advisory or discretionary portfolio management basis.

Whilst the FCA issued this "Dear CEO letter" to all CFD providers, Plus500 did not receive any individual communication on the review findings as it does not and has never offered its products via these routes.

Asaf Elimelech, Chief Executive of Plus500 said:

"The guidance contained in the FCA's letter today is not directly applicable to our business model. However, we take note of the FCA's comments and guidance and we continue to ensure best practice compliance with the current regulatory regimes in all the jurisdictions in which operate.  

"We continue to believe that these and other changes will enhance the CFD trading landscape and ultimately reduce the number of providers to a core of higher quality operators, of which we intend Plus500 to be amongst the leaders."  

Enquiries:

Plus500
Elad Even-Chen, Chief Financial Officer	[phone] [e-mail]
Liberum - Nomad and Broker
Clayton Bush, Neil Elliot, Josh Hughes	[phone]
Berenberg (Joint Broker)
Chris Bowman, Mark Whitmore	[phone]
MHP Communications
Reg Hoare, Tim Rowntree, Kelsey Traynor	[phone]

About Plus500

Plus500 operates an online trading platform for retail customers to trade CFDs internationally over more than 2,200 different underlying global financial instruments comprising equities, indices, commodities, options, ETFs, crypto currencies and foreign exchange. Retail customers of Plus500 can trade CFDs in more than 50 countries and in 32 languages. The trading platform is also accessible from multiple operating systems (Windows, smartphones (iOS, Android and Windows Phone), tablets (iOS, Android and Surface), Apple Watch and web browsers).

Plus500 retains operating licences and is regulated in the United Kingdom, Australia, Cyprus, Israel, New Zealand, South Africa and Singapore.  Customer care is integral to Plus500: customers cannot be subject to negative balances, there are no commissions on trades. Plus500 does not utilise cold calling techniques and does not offer binary options.  A free demo account is available on an unlimited basis for platform users and sophisticated risk management tools are provided free of charge to manage leverage and stop losses to help customers protect profits and limit capital losses.

www.plus500.com

 

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