ADVFN UK Market News

Tag: Regulation

  • Top Forex Brokers in Spain for 2025: The Ultimate Guide

    Top Forex Brokers in Spain for 2025: The Ultimate Guide

    Spain’s forex market is mature, tightly regulated, and well served by global brokers. Whether you’re just starting or optimizing your trading setup, picking a safe, well‑regulated, competitively priced broker is the most impactful decision you’ll make.

    This guide covers:

    • How forex & CFD trading is regulated in Spain (CNMV, ESMA, MiFID II)
    • What to look for in a broker (platforms, spreads, safety, tools)
    • A curated list of top brokers that accept residents of Spain
    • How to verify authorizations on the CNMV register
    • Practical FAQs, risk management tips, and a due‑diligence checklist

    Risk warning: CFDs are complex instruments and carry a high risk of rapid loss due to leverage. A significant share of retail accounts lose money with CFD providers. Assess whether you understand how CFDs work and whether you can afford the high risk of loss.

    1) Is Forex Trading Legal in Spain? Regulation 101

    Yes. Residents of Spain can legally trade forex and CFDs through brokers that comply with EU MiFID II and the supervisory framework of the Comisión Nacional del Mercado de Valores (CNMV), Spain’s securities regulator. Many international brokers serve Spanish clients under EU passporting or local authorization and must follow ESMA product intervention rules (leverage caps, standardized risk warnings, margin close‑out rules).

    Key guardrails Spanish retail traders should know:

    • Leverage limits: Typically 1:30 on major FX and 1:20 on minors/exotics for retail clients.
    • Investor compensation: Eligible retail clients may benefit from statutory investor‑compensation arrangements in the event of firm default.
    • Advertising & conduct: Spain enforces strict standards on retail marketing for CFDs; brokers must display clear loss‑rate disclosures and comply with conduct rules.

    Tip: Always cross‑check a firm on the CNMV public register and review recent CNMV warnings for clones or unauthorized entities before you fund an account.

    2) How We Picked the Best Forex Brokers in Spain (2025 Methodology)

    We evaluated brokers on the following criteria and selected those available to Spain‑based clients:

    • Regulatory safety: Presence of top‑tier licenses and Spain eligibility under EU rules.
    • Costs & execution: Typical EUR/USD spreads, commission structures, swaps, and non‑trading fees.
    • Platforms & tools: MT4/MT5, proprietary web/desktop, TradingView integrations, automation/APIs, social/copy trading.
    • Education & research: In‑platform analytics, tutorials, and Spanish‑language resources where available.
    • Service & funding: Localized support hours, payment methods, and withdrawal reliability.

    3) Best Forex Brokers in Spain for 2025 (Shortlist)

    Note: Availability, account types, and pricing can vary by jurisdiction and client classification (retail vs professional). Verify current terms on the broker’s website and on the CNMV register.

    Broker alphabeticalWhy It Stands OutTypical PlatformsNotes for Spain-Based Traders
    AvaTradeMultiple platforms, options trading, fixed‑spread offeringMT4, MT5, WebTrader, OptionsBroad education and tools; review fixed spread vs variable costs.
    CMC MarketsRich research, powerful proprietary platformNext‑Gen, MT4 (varies)Competitive FX pricing for active traders; strong analytics.
    eToroLeader in social/copy trading, beginner friendlyProprietary + social/copyIntuitive for newcomers; compare spreads vs features and copy fees.
    FP MarketsAggressive spreads, EA‑friendlyMT4, MT5Offers raw/standard pricing; confirm commissions and swaps.
    IGIndustry leader with deep markets & educationProprietary web/desktop, MT4Strong overall pick; excellent research & learning resources.
    Interactive BrokersInstitutional‑grade access and multi‑asset coverageTWS, GlobalTraderBest for advanced, multi‑asset traders; steeper learning curve.
    XTBxStation 5 and standout educationxStation (web/desktop/mobile)Great UX and learning path; €0 minimum on many accounts.

    4) Broker Mini‑Reviews (Spain Focus)

    IG

    • Best for: Traders wanting a trusted, full‑featured experience with top‑tier research.
    • Highlights: Robust proprietary platforms, abundant analytics & education, broad product range beyond FX.
    • Considerations: Minimum deposit and product availability can vary by entity; check Spain‑specific terms.

    XTB

    • Best for: Beginners to intermediates who value a clean interface and strong educational content.
    • Highlights: xStation 5 is intuitive, fast, and packed with tools; competitive overall pricing.
    • Considerations: Confirm your account type’s spread/commission structure.

    AvaTrade

    • Best for: Traders who want platform choice (MT4/MT5/options) and the simplicity of fixed spreads.
    • Highlights: Wide asset coverage and cross‑platform flexibility; good for strategy testing.
    • Considerations: Fixed spreads can be higher in quiet markets; compare effective cost to ECN‑style accounts.

    FP Markets

    • Best for: Cost‑conscious MT4/MT5 traders and EAs needing tight spreads.
    • Highlights: Low‑cost majors, choice of raw or standard pricing; strong for automation.
    • Considerations: Review commissions, swaps, and Spain‑serving entity protections.

    eToro

    • Best for: Social trading and beginners seeking copy features and community.
    • Highlights: CopyTrader ecosystem, simple account setup, broad asset exposure.
    • Considerations: Spreads may be wider than pro‑grade ECN offerings; weigh convenience vs cost.

    Interactive Brokers

    • Best for: Multi‑asset traders seeking institutional‑grade execution and margin rates.
    • Highlights: TWS depth, global markets, competitive pricing for active investors.
    • Considerations: Platform complexity; ideal if you plan to expand beyond FX.

    5) Spain‑Specific Buying Guide: What to Look For

    A) Safety & Authorization

    • Check the CNMV register entry (legal entity, authorization number, passporting status).
    • Prefer brokers with multiple tier‑1 licenses and robust client‑money segregation.

    B) Costs That Matter

    • Spread + commission on your pairs, overnight financing (swap), inactivity, deposit/withdrawal fees.
    • If you trade size, compare effective cost per million; for casual traders, focus on all‑in spread.

    C) Platforms & Tools

    • MT4/MT5 for EAs and automation.
    • Proprietary platforms for research, news, and seamless UX.
    • TradingView integrations for superior charting and social ideas.
    • Always test with a demo before funding.

    D) Spanish‑Friendly Service

    • Spanish‑language support and Iberia‑friendly funding options.
    • Reliable withdrawals and support during local hours.

    6) Step‑by‑Step: How to Verify a Broker with the CNMV

    1. Visit the CNMV company register (public search).
    2. Enter the broker’s legal name (check the entity name in the broker’s disclosures).
    3. Confirm authorization/registration number, date, and passporting details (if applicable).
    4. Review any CNMV warnings about the firm or potential clones.

    7) Costs & Features: Quick Comparison (Indicative)

    Values below reflect typical offerings and are subject to change. Always check live pricing and fees on the broker’s website.

    BrokerMin. Deposit (typical)PlatformsNotable Features
    IG~€250Proprietary, MT4Top‑tier trust, deep research, broad markets
    XTB€0xStation 5Excellent education, sleek UX
    AvaTrade~€100MT4/MT5/AvaOptionsFixed spreads, diverse platforms
    FP Markets~€100MT4/MT5Low spreads, EA‑friendly
    eToro~€50Proprietary + socialCopy trading, beginner friendly
    Interactive Brokers€0TWS, GlobalTraderInstitutional‑grade access, multi‑asset

    8) Risk Management & Best Practices for Spanish Traders

    • Start small, learn fast: Begin with micro‑lots; scale only after consistent results.
    • Respect leverage: ESMA caps exist to protect retail clients—consider using even lower leverage when testing.
    • Plan for rollovers: Understand swap/financing and its impact on swing positions.
    • Use guaranteed stops (if offered): Helpful for event risk.
    • Keep tax records: Maintain detailed statements; Spain taxes trading gains/losses.

    9) FAQs (Spain 2025)

    Q1) Do I need a locally authorized CNMV broker?
    Not necessarily. EU‑authorized brokers can serve Spanish residents under passporting; still verify the serving entity in the CNMV register and the protections that apply.

    Q2) What leverage can I get as a retail client?
    Generally 1:30 on major FX and 1:20 on minors/exotics. Professional classification may allow higher, but standards and risks increase substantially.

    Q3) What’s covered by investor compensation?
    Statutory schemes may cover eligible claims related to firm default (not market losses). Review the specific entity’s arrangements.

    Q4) Which platform should I choose—MT4/MT5, proprietary or TradingView?

    • MT4/MT5: Best for EAs and third‑party indicators.
    • Proprietary: Often stronger research, news, and seamless UX.
    • TradingView integration: Excellent charting and social ideas.
      Test with a demo to match features to your style.

    10) A 10‑Point Due‑Diligence Checklist (Copy & Use)

    1. Verify the broker’s legal entity on the CNMV register.
    2. Confirm client money segregation and top‑tier regulation.
    3. Compare EUR/USD all‑in cost (spread + commission).
    4. Check financing (swap) and inactivity fees.
    5. Test platforms (web/desktop/mobile) via demo.
    6. Review order types (GSLOs, partial close, OCO, advanced stops).
    7. Assess research & education (Spanish content if needed).
    8. Inspect withdrawal timelines & methods for Spain.
    9. Read the firm’s retail loss‑rate disclosure.
    10. Recheck for any CNMV warnings or clone alerts.

    11) Conclusion: Picking the Right Broker in Spain

    For 2025, Spain‑based traders are well‑served by a set of high‑trust, feature‑rich brokers. If you want:

    • Best all‑rounder & research: IG
    • Beginner‑friendly with education: XTB, eToro (social)
    • Lowest spreads for MT4/MT5: FP Markets (verify your entity’s pricing)
    • Multi‑asset powerhouse: Interactive Brokers
    • Platform choice & options: AvaTrade

    Regardless of your choice, your results will hinge on risk control, cost discipline, and ongoing learning. Start small, validate your edge, and only scale when performance and process are consistent.

    Risk warning: CFDs are complex instruments and carry a high risk of rapid loss due to leverage. A significant share of retail accounts lose money with CFD providers. Assess whether you understand how CFDs work and whether you can afford the high risk of loss.

  • Webull Enters EU Market

    Webull Enters EU Market

    Webull, the American trading app known for its commission-free investing platform, has officially launched its European operations by opening a new office in Amsterdam. This marks the company’s first direct entry into the European Union market, following its earlier expansion into the UK.

    The launch comes nearly a year after Webull Securities (Europe) B.V. received regulatory approval from the Dutch Authority for the Financial Markets (AFM) in September 2024. The company spent the intervening months preparing its infrastructure, compliance systems, and user experience for the European audience.

    What Webull Offers to Dutch Investors

    Dutch retail investors now have access to:

    • European and U.S. stocks, including fractional shares
    • European ETFs
    • U.S. options
    • Extended trading hours
    • Market news, educational content, and trading tools via the Webull mobile app

    The platform aims to attract users with competitive pricing and a user-friendly interface, positioning itself as a strong alternative to other retail investment platforms like Robinhood.

    Strategic Expansion Across Europe

    Webull’s Amsterdam office is just the beginning. The company plans to expand into other EU countries in the coming months, leveraging its existing infrastructure and regulatory experience. This move adds the Netherlands as the 14th market in Webull’s global portfolio, which spans North America, Asia Pacific, Europe, and Latin America.

    With over 24 million registered users globally, Webull is betting on the growing demand for low-cost, accessible investing in Europe. According to Andries van Luijk, CEO of Webull EU, the European public is increasingly seeking investment opportunities that are both affordable and internationally diversified.

    A Growing Footprint in Europe

    Webull’s European journey began in 2023 with its UK launch under the Financial Conduct Authority (FCA) license. The Dutch expansion reflects the company’s commitment to building a strong presence across the continent.

    Anthony Denier, Group President and U.S. CEO of Webull, emphasized the strategic importance of the EU launch:

    “This expansion establishes our presence in Europe and reflects our commitment to making investing more accessible worldwide.”

  • CySEC’s 2025 CFD Crackdown: What Retail Traders Must Know About New Leverage Limits and Compliance Rules

    CySEC’s 2025 CFD Crackdown: What Retail Traders Must Know About New Leverage Limits and Compliance Rules

    The Cyprus Securities and Exchange Commission (CySEC) has introduced a sweeping update to its regulatory framework for Contracts for Difference (CFDs), marking a significant shift in how retail investors can engage with these high-risk financial instruments. The directive, published in the Official Gazette on September 5, 2025, aims to bolster investor protection and align Cyprus more closely with stricter EU jurisdictions.

    Key Changes Introduced by CySEC

    1. Leverage Restrictions on Specific CFDs
      One of the most impactful changes is the imposition of a 10% notional value cap on CFDs tied to certain previously unlisted commodities and stock indices. This effectively limits the leverage retail investors can use, reducing their exposure to volatile and speculative assets.
    2. Expanded Oversight and Compliance Requirements
      CySEC is reinforcing its oversight mechanisms by integrating the new directive with its existing 2019 CFD framework. This dual-layered approach is designed to prevent regulatory arbitrage and ensure consistent enforcement across the financial sector.
    3. Sanctions Enforcement Framework
      In response to evolving geopolitical risks, CySEC has rolled out a new framework to enforce EU and UN sanctions more effectively. This includes the creation of the National Sanctions Implementation Unit under the Ministry of Finance, which will monitor transactions, identify breaches, and require firms to report suspicious activity.
    4. Capital Adequacy and Governance Rules
      Starting in early 2025, CySEC will implement European Banking Authority (EBA) guidelines for FX and CFD brokers operating as Cyprus Investment Firms. These rules clarify the group capital test under the Investment Firms Regulation, focusing on:
      • Capital adequacyRisk managementGovernance structures
    5. Low-risk firms may apply for reduced capital requirements, but CySEC retains the authority to revoke such permissions if conditions change.

    What This Means for Retail Traders

    Retail investors trading CFDs under CySEC-regulated brokers will face:

    • Lower leverage, especially on high-risk instruments
    • Stricter onboarding and compliance checks
    • Reduced marketing and promotional offers, as CySEC continues to discourage aggressive sales tactics
    • Greater transparency and risk disclosures

    These changes are part of a broader EU-wide trend toward de-risking retail financial markets, especially in speculative products like CFDs and forex.

    Industry Impact and Future Outlook

    CySEC’s move is expected to:

    • Raise operational costs for brokers due to enhanced compliance and reporting requirements
    • Shift retail trading behavior toward more conservative strategies
    • Encourage broker consolidation, as smaller firms may struggle to meet the new capital and governance standards

    With over 830 entities under supervision and a €17.5 million budget for 2025, CySEC is positioning itself as a leading regulator in the EU, ready to tackle challenges from digital transformation to MiCA and DORA compliance.

  • Robinhood Expands to MENA Region with Dubai DFSA License Application and Key Executive Hire

    Robinhood Expands to MENA Region with Dubai DFSA License Application and Key Executive Hire

    In a strategic move to broaden its global footprint, Robinhood Markets Inc. (NASDAQ: HOOD), the prominent U.S.-based neobroker, has initiated plans to establish operations in Dubai. The company has formally applied for a Category 4 license from the Dubai Financial Services Authority (DFSA), signaling its intent to serve clients across the UAE and the wider Middle East and North Africa (MENA) region.

    The license, once approved, will enable Robinhood to operate from the Dubai International Financial Centre (DIFC), a leading financial hub in the region. This expansion marks a significant milestone in Robinhood’s international growth strategy, which has recently seen increased activity in Europe and Asia.

    To spearhead its MENA operations, Robinhood has appointed Mario Camara as Senior Executive Officer. Camara brings extensive experience in the FX and CFDs industry, having previously served as Senior Vice President of Licensing & Government Relations at Equiti Group. His tenure at Equiti spanned six years, following earlier leadership roles at Saxo Bank, where he was Managing Director for the MENA region based in DIFC.

    Robinhood’s move into Dubai follows a series of international initiatives, including the launch of its Legend desktop trading platform in the UK and sponsorship of French football club OGC Nice. The company has also introduced innovative products tailored to European investors, such as US stock and ETF tokens and perpetual futures.

    While Robinhood has been relatively quiet about its plans for the MENA region, the recent developments suggest a rapid acceleration of its presence in Dubai. A formal announcement detailing its regional strategy is expected in the coming weeks.

    This expansion aligns with Robinhood’s mission to democratize finance globally, offering accessible and innovative trading solutions to a broader audience.

  • Ultima Markets Buys Tiger Brokers UK in Strategic FCA License Grab

    Ultima Markets Buys Tiger Brokers UK in Strategic FCA License Grab

    In a bold and unexpected move, offshore CFDs broker Ultima Markets has acquired Tiger Brokers (UK) Ltd, securing a coveted FCA license and marking its formal entry into the UK’s highly regulated financial services market.

    The acquisition comes at a time when several brokers are exiting the UK due to rising regulatory costs and competitive pressures, making Ultima’s expansion a notable exception in the current industry trend.

    The deal, finalized in July 2025, was initiated in late 2024 when Tiger Brokers, a subsidiary of Nasdaq-listed UP Fintech Holding Ltd (TIGR), began winding down its UK operations. Ultima Markets injected £658,000 into the business to cover operational expenses during the transition, ultimately acquiring the dormant entity and its valuable regulatory status.

    The firm has since been rebranded as Ultima Markets UK Limited, allowing Ultima to bypass the lengthy and complex process of applying for a new FCA license from scratch.

    Tiger Brokers UK had been largely inactive in recent years, reporting zero revenue from 2021 to 2024 and accumulating £4.6 million in losses. At the time of acquisition, the firm held no client funds and had ceased onboarding new customers.

    Despite its lack of commercial activity, the FCA license remained a strategic asset, offering Ultima Markets a fast-track route into one of the world’s most respected financial jurisdictions.

    Founded in 2016 and headquartered in Mauritius, Ultima Markets has built a strong presence across Asia-Pacific, particularly in China, South Africa, and Southeast Asia.

    Known for offering over 250 CFD instruments across forex, indices, commodities, and shares, Ultima operates on platforms like MetaTrader 4 (MT4) and runs a dedicated Trading Academy aimed at improving financial literacy and trading skills.

    The company also made headlines as the first CFD broker to join the UN Global Compact, signaling its commitment to sustainable finance and ethical business practices.

    With the acquisition complete, Ultima Markets plans to launch a localized UK offering in 2026, tailored to meet FCA compliance standards.

    This includes enhanced client onboarding procedures, transparent pricing models, and a renewed focus on trader education.

    A company spokesperson stated, “We believe we can find our space in this mature market and deliver value to UK traders. Becoming FCA-regulated reflects our long-term commitment to transparency and integrity.”

    Ultima’s entry into the UK contrasts sharply with the recent exits of brokers such as Tiger Brokers, Aetos, and Trive, who have cited high operational costs and regulatory burdens as key reasons for leaving.

    However, Ultima joins a small but growing group of firms—including GTN and Moneta Markets—that are betting on the long-term potential of the UK’s retail trading sector.

    The acquisition also reflects a broader trend of offshore brokers seeking legitimacy and global reach through regulatory approvals.

    For UK traders, Ultima promises a fresh alternative to legacy platforms, offering competitive spreads, fast execution, and a strong emphasis on responsible trading.

    As the UK financial landscape continues to evolve, Ultima Markets’ strategic acquisition of Tiger Brokers UK may signal a renewed wave of international interest in FCA-regulated operations.

    With its global experience and commitment to compliance, Ultima is positioning itself as a serious contender in the UK’s crowded but lucrative retail trading market.

  • Klarna Secures FCA Approval, Set to Launch Cashback and Balance Features in UK

    Klarna Secures FCA Approval, Set to Launch Cashback and Balance Features in UK

    Klarna, the global digital banking and payments innovator, has received official authorisation from the UK’s Financial Conduct Authority (FCA) to operate as an Electronic Money Institution (EMI). This milestone enables Klarna Financial Services UK (KFSUK), the company’s dedicated UK entity, to roll out two major features—Klarna Balance and Klarna Cashback—to its 11 million UK customers later this year.

    Already available in the US and 14 European markets, Klarna Balance will allow UK users to manage funds directly within their Klarna account. Customers can top up their balance via debit card, shop using Klarna, receive refunds, and earn cashback—all within a single, streamlined platform.

    The new Klarna Cashback feature offers up to 10% cashback on purchases made through the Klarna app. Unlike traditional rewards programs, this cashback is credited directly to the user’s Klarna Balance, ready to be spent anywhere Klarna is accepted—no points, no gimmicks.

    “This FCA authorisation marks Klarna’s evolution from a flexible payments provider to a full-fledged financial management platform,” said Abby Vickers, Head of Klarna Financial Services UK. “While legacy banks are still catching up, Klarna is empowering consumers with smarter tools to manage, spend, and earn—effortlessly.”

    The regulatory green light not only strengthens Klarna’s UK operations but also sets the stage for future product innovations. As Klarna continues to challenge traditional banking norms, it positions itself as a comprehensive solution for everyday spending and saving.

  • Markets.com Surrenders FCA License as CEO Steps Down Amid Strategic Shift

    Markets.com Surrenders FCA License as CEO Steps Down Amid Strategic Shift

    Online brokerage Markets.com has officially relinquished its license from the UK’s Financial Conduct Authority (FCA), marking a significant pivot in its regulatory and operational strategy. The move coincides with the departure of Chief Executive Officer Stavros Ch Anastasiou, who had led the firm since 2023.

    Anastasiou joined Markets.com from Safecap Investments Limited, where he served as Executive Director. His tenure at Markets.com was characterized by efforts to streamline operations and navigate evolving regulatory landscapes. The company has not yet announced a successor, and details surrounding its future leadership remain undisclosed.

    The decision to surrender the FCA license suggests a potential shift away from the UK market or a reconfiguration of the firm’s global compliance framework. Industry analysts speculate that Markets.com may be consolidating its regulatory footprint or redirecting resources toward jurisdictions with more flexible oversight.

    Finance Magnates, which first reported the development, noted that the company has yet to issue a formal statement regarding the rationale behind the license withdrawal or the CEO’s exit. The FCA has not commented on the matter.

    This development adds to a growing trend of brokers reassessing their regulatory affiliations amid tightening compliance requirements and shifting market dynamics. Observers will be watching closely to see how Markets.com repositions itself in the competitive online trading space.

    Markets.com is a global online brokerage offering CFD trading across forex, stocks, indices, commodities, and ETFs. Originally part of Playtech’s financial division, it now operates under the Finalto brand, which was acquired by Gopher Investments in 2022.

    The platform is known for its proprietary Marketsx interface, alongside support for MetaTrader 4 and 5, and integrates real-time sentiment tools, technical analysis, and fundamental data. It has held regulatory licenses in jurisdictions including Cyprus (CySEC), South Africa (FSCA), Australia (ASIC), and previously the UK (FCA), though it recently surrendered its FCA license amid strategic restructuring.