Esma bans binary options, cracks down on CFDs
New measures aim to improve security and protection for retail FX investors
The European Securities and Markets Authority (Esma) has ploughed ahead with a ban on binary options and implemented a set of restrictions on contracts for difference (CFDs) offered to retail investors.
The regulator proposed the measures in January and finalised its decision on March 27.
The rules will have a significant impact on retail brokers offering CFDs, as they will impose strict limits on the maximum leverage ratios clients can take.
While tightening up regulations surrounding CFDs
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