8.7 C
Sofia
Friday, November 3, 2023

Cyprus Regulator Revokes Neo Premium Investments’ CIF License

The Cyprus Securities and Exchange Commission
(CySEC) has taken decisive action against Neo Premium Investments (NPI) Ltd.
The regulatory body announced the withdrawal of NPI’s Cyprus Investment Firm
(CIF) authorization today (Thursday).

Following the withdrawal of NPI’s CIF authorization,
the firm faces a series of challenges, including the cessation of its
activities as a CIF. According to the regulator, this action
is intended to ensure that the regulated companies adhere to the highest standards of
financial practices, mitigating risks and protecting investors.

CySEC’s Firm Stand on Compliance

CySEC ↗ maintains that companies must comply with the regulations, uphold their fiduciary responsibilities, and prioritize the
welfare of their investors. The decision to withdraw NPI’s license was officially reached during a meeting held on
October 23, 2023.

Source: CySEC

Last month, CySEC warned the Board Members ↗ of CIFs
to enhance performance and prioritize integrity and high ethical standards. Dr.
George Theocharides, the Chairman of CySEC, stressed that Cyprus remains open
for business but only for those entities that adhere to rigorous regulatory
standards.

Separately, CySEC issued a directive to CIFs ↗ in a recent notice, drawing their attention to the product intervention measures
established by the Comisión Nacional del Mercado de Valores (CNMV) in Spain.
These measures, effective from August 3, 2023, are designed to safeguard the
interests of retail investors in the country, mainly concerning contracts for difference (CFDs) and other leveraged products.

Regulatory Push to Safeguard Retail Investors

In light of advertisement restrictions, the CNMV
resolution prohibits the advertisement of CFDs and other leveraged instruments
to retail investors. This restriction is intended to limit the exposure of
retail investors to high-risk financial products. CySEC emphasized the importance of financial firms
adhering to the product intervention measures set by CNMV.

Besides that, the CNMV imposed restrictions on
specific remuneration policies and sales techniques related to CFDs and
leveraged products. These limitations are designed to prevent aggressive or
inappropriate marketing and sales tactics.

The Cyprus Securities and Exchange Commission
(CySEC) has taken decisive action against Neo Premium Investments (NPI) Ltd.
The regulatory body announced the withdrawal of NPI’s Cyprus Investment Firm
(CIF) authorization today (Thursday).

Following the withdrawal of NPI’s CIF authorization,
the firm faces a series of challenges, including the cessation of its
activities as a CIF. According to the regulator, this action
is intended to ensure that the regulated companies adhere to the highest standards of
financial practices, mitigating risks and protecting investors.

CySEC’s Firm Stand on Compliance

CySEC ↗ maintains that companies must comply with the regulations, uphold their fiduciary responsibilities, and prioritize the
welfare of their investors. The decision to withdraw NPI’s license was officially reached during a meeting held on
October 23, 2023.

Source: CySEC

Last month, CySEC warned the Board Members ↗ of CIFs
to enhance performance and prioritize integrity and high ethical standards. Dr.
George Theocharides, the Chairman of CySEC, stressed that Cyprus remains open
for business but only for those entities that adhere to rigorous regulatory
standards.

Separately, CySEC issued a directive to CIFs ↗ in a recent notice, drawing their attention to the product intervention measures
established by the Comisión Nacional del Mercado de Valores (CNMV) in Spain.
These measures, effective from August 3, 2023, are designed to safeguard the
interests of retail investors in the country, mainly concerning contracts for difference (CFDs) and other leveraged products.

Regulatory Push to Safeguard Retail Investors

In light of advertisement restrictions, the CNMV
resolution prohibits the advertisement of CFDs and other leveraged instruments
to retail investors. This restriction is intended to limit the exposure of
retail investors to high-risk financial products. CySEC emphasized the importance of financial firms
adhering to the product intervention measures set by CNMV.

Besides that, the CNMV imposed restrictions on
specific remuneration policies and sales techniques related to CFDs and
leveraged products. These limitations are designed to prevent aggressive or
inappropriate marketing and sales tactics.

James Mackreides
James Mackreides
'Mac' is a short tempered former helicopter pilot , now a writer based in Sofia, Bulgaria. Loves dogs, the outdoors and staying far away from the ocean.

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest Articles