Admirals Markets AS Fined by Estonian Regulator

M

mlawson71

The Estonian financial regulator Finantsinspektsioon (The Estonian Financial Supervision and Resolution Authority) fined Admiral Markets AS, which is a local subsidiary of the Admiral Markets Group with 32,000 euro for the way the company handled the oil crisis prices last year in its trading platform.

According to the regulator, the broker changed the terms of financial assets without notifying its users. To be more precise, the company changed the way by which calculates the prices of crude oil and it increased the overnight fees for a number of securities.

According to the regulator, these changes were not transparent and clients that had bought these specific assets had to restructure their trading operations and approaches from scratch, which led to a risk of losing their funds without them even knowing it.

All they had to do was to send an email - on time - to their clients, and yet they didn't even deign to do that. How disappointing.
 
zdreg said:
I guess 32,000 euro goes a long way in Estonia. The penalty is a slap on the wrist.
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No it doesn't. Doubt they have a very large number of customers though. Sounds like more of a signal that "we are watching" as fining companies is not as common.
 
d08 said:
No it doesn't. Doubt they have a very large number of customers though. Sounds like more of a signal that "we are watching" as fining companies is not as common.
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Unlike the US Estonia doesn't need to fine companies in a vain attempt to balance their budget.
 
d08 said:
No it doesn't. Doubt they have a very large number of customers though. Sounds like more of a signal that "we are watching" as fining companies is not as common.
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They have over 25,000 active accounts from more than 100 countries ...
 
mlawson71 said:
The Estonian financial regulator Finantsinspektsioon (The Estonian Financial Supervision and Resolution Authority) fined Admiral Markets AS, which is a local subsidiary of the Admiral Markets Group with 32,000 euro for the way the company handled the oil crisis prices last year in its trading platform.

According to the regulator, the broker changed the terms of financial assets without notifying its users. To be more precise, the company changed the way by which calculates the prices of crude oil and it increased the overnight fees for a number of securities.

According to the regulator, these changes were not transparent and clients that had bought these specific assets had to restructure their trading operations and approaches from scratch, which led to a risk of losing their funds without them even knowing it.

All they had to do was to send an email - on time - to their clients, and yet they didn't even deign to do that. How disappointing.
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IG and Hotforex were more responsible, I clearly remember letters from them about changing formula for WTI, after that WTI went flat on their platforms lol
 
Laura48 said:
That's a huge sum of fine, I hope the broker deals with the issues.
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You're aware that in most western countries the fines are in the tens of millions? Even for smaller violations.
 
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