France’s Financial Markets Authority (AMF) announced that it had fined the Polish broker X-Trade Brokers Dom Maklerski EUR300,000 for violations related to the activities of its French branch “XTB France“.
According to the Commission, XTB France sent commercial banners related to the provision of investment services in CFDs to retail clients, ignoring AMF’s ban on this type of activity. The regulator also found that several XTB advertisements did not contain a visible, clear, and precise mention of the capital loss risks associated with CFD trading. It also considered that the branch had bypassed the restrictive measures taken by the European Securities and Markets Authority (ESMA) to sell CFDs to retail clients by deliberately changing the categorization of clients. AMF also found that XTB France did not always guarantee the proper execution of customer orders.