Online foreign exchange and CFDs brokerage company ATC Brokers has obtained a variation of permission from the FCA. The UK regulator has been actively which are holding a European 125K license to upgrade to 730K.
According to a company spokesperson, the process of variating the permit has taken ATC Brokers about a month. The move represents a further commitment to the operations of the company in the EU.
ATC Brokers has been established as an agency model brokerage and will continue to operate as one after obtaining the new permit. That said, the company is also taking additional steps to safeguard its global business.
Cayman Islands Subsidiary
In addition to its , ATC Brokers has also established a regulated subsidiary on the Cayman Islands. Regulated subsidiaries offshore have been rising in popularity since the new regulatory regime in Europe took hold at the beginning of August.
Several brokers regulated in the EU, namely in Cyprus and the UK now have offshore subsidiaries. The move facilitates onboarding of clients from outside of the EU who are willing to use high leverage.
Under current ESMA rules, the brokers are not permitted to advise their EU clients to switch offshore. Many customers which couldn’t reclassify to professionals are taking the leap to move their money .
ATC Brokers Services
A spokesperson for ATC Brokers described the moves as important for the company’s goal to continue offering its services to clients worldwide. Those include the company’s PAMM Plus, which is an all-in-one multi-account manager software and a turn-key infrastructure for white label solutions.
The subsidiary of ATC Brokers on the Cayman Islands will be run by current directors Jack Manoukian and Jen Claudio.
The Cayman Islands Monetary Authority (CIMA) has a regulatory framework that includes brokerage services and a securities law. CIMA’s rules will be client relationships with the Cayman Islands subsidiary of ATC Brokers would be governed by CIMA rules rather than by FCA rules.
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