CySEC fines EuropeFX broker Maxiflex €370K for possible violations

The Cyprus Securities and Exchange Commission (CySEC), Cyprus financial regulator, announced that it has reached a settlement with licensed FX brokerage firm Maxiflex Ltd. Maxiflex will pay a fine of €370,000 to CySEC for possible violations of Τhe Investment Services and Activities and Regulated Markets Law of 2017.

The possible violations by Maxiflex, reportedly occurring between January 2019 and September 2020, were regarding the organisational requirements with which a Cyprus Investment Firm (CIF) is required to comply, conflicts of interest, the general principles and information to clients, the assessment of suitability and appropriateness and reporting to clients, and the obligation to execute orders on terms most favourable to the client.

Maxiflex Ltd operates mainly through the Retail FX broker brand EuropeFX, at website europefx.com. Maxiflex was one of three CySEC licensed brokers for which in June the UK regulator FCA announced the removal of these firms' permission to sell contracts for difference (CFDs) to UK consumers.

CySEC is the financial regulatory agency of Cyprus. As an EU member state, CySEC's financial regulations and operations comply with the European MiFID financial harmonization law.