The UK Financial Conduct Authority (FCA) today posted a notice regarding Cyprus-based FXBFI Broker Financial Invest Ltd, trading as 101investing.

FXBFI has a temporary permission under the TPR. It provides consumers with the ability to trade CFDs using an online platform, accessible through its website, www.101investing.com.

Since September 2020, the FCA has received 39 complaints or expressions of concern about the activities of FXBFI. These complaints have increased in frequency in 2021. The complaints disclose serious misconduct by FXBFI including the use of misleading financial promotions, failures to inform customers about the nature and risks of CFDs, applying pressure to invest additional funds and failing to allow customers to withdraw funds.

As a result of FXBFI’s activities, some customers have lost very significant sums of money.

The FCA considers that the continuing provision of regulated activities by FXBFI to UK consumers presents unacceptable risks. As a result, the regulator considers that it is desirable to impose requirements on FXBFI which prevent it from conducting regulated activities in respect of, and marketing its products to, UK consumers and ensures that the effect of these measures is brought to the attention of its current and potential future UK clients.

The FCA has decided to impose a set of requirements on FXBFI with immediate effect. FXBFI must not conduct any regulated activities with, or in respect of, any client who is resident in the United Kingdom. FXBFI must not conduct any marketing activity to persons resident in the United Kingdom.

Any positive cash balance held by a client resident in the United Kingdom must be paid to a bank or payment account held in the client’s name as soon as practicable and, in any event, by 11 May 2021.

FXBFI must secure all books and records and preserve information and systems relating to regulated activities carried on by it, and must retain these in a form at a location, to be notified to the Authority in writing no later than 7 calendar days after the coming into force of these Requirements, such that they (or, so as not to hinder FXBFI’s performance of its business activities, true copies of them) can be provided to the Authority, or to a person named by the Authority, promptly on its request.

The Requirements will remain in force unless and until varied or cancelled by the Authority (either on the application of FXBFI or on the Authority’s own initiative).