FCA Bans EverFX Offering CFDs to UK Clients

The United Kingdom's Financial Conduct Authority (FCA​) has acted against Cypriot-based firm, ICC Intercertus Capital Ltd, which trades as EverFX, and ordered the company to stop offering high risk contracts for differences (CFDs) to UK investors.

According to the press release, the FCA alleged that many consumers were subsequently induced to transact with overseas members of the EverFX Group, which had no authorisation to provide regulated services in the UK.

The FCA identified serious concerns with the sales and marketing practices of the EverFX Group. The broker allegedly used misleading financial promotions and failed to inform consumers about the nature and risks of CFDs. Additionally, the broker pressed clients for investments, instructed clients on which trades to make, and failed to allow customers to withdraw funds. This has led to some consumers losing very significant sums of money.

The FCA has stopped ICC Intercertus from conducting any regulated or marketing activities in the UK and has also ordered the firm to close all trading positions and return the money to customers.

ICC Intercertus was operating in the UK under the Temporary Permission Regime (TPR), put in place for firms who used to operate in the UK under the EEA passporting regime and who wished to continue to operate here following the UK's exit from the European Union.