ESMA’s Worst Nightmare is Coming True: Clients Move Offshore

[kreslik.news]

It has been almost three months since the new regulatory framework for retail clients of forex and CFDs brokers got implemented by the European Securities Markets Authority (ESMA). The immediate result from the move was a sharp decline in trading in August.

Brokerages across different spectrums of the industry shared with Finance Magnates that the decline in client activity was brisk. So brisk that it led to a series of downgrades in the outlooks of major publicly-listed brokerage companies.

Coincidence or not, several weeks into the new regulatory environment the CEO of IG Group, Peter Hetherington resigned. ... (read more)