Following consultation feedback, the Financial Conduct Authority (FCA) is confirming new rules restricting the sale, marketing and distribution of CFDs and CFD-like options to retail customers.
The rules address harm to retail consumers by making the European Securities and Market Authority’s (ESMA’s) temporary restrictions of contracts for difference (CFDs) sold to retail clients permanent.
For CFDs and CFD-like options sold to retail clients, firms will be required to: • Limit leverage to between 30:1 and 2:1. • Close out a customer’s position when their funds fall to 50% of the margin needed to maintain ...
ASIC to Ban CFDs