Belgium – Plus500 reaches agreement with FSMA in BelgiumBy Phil - 26 April 2017
The Financial Services and Markets Authority (FSMA) in Belgium has agreed to a settlement with Plus500 of €550,000.
The Israeli-based online trading services provider Plus50 offered CFDs on Belgian territory without the requisite prospectus. In addition, Plus500 did not submit to the FSMA for approval any advertisement or other document relating to the public offer.
The FSMA said: “They offered certain investment services in Belgium under the freedom to provide services. For a public offer of investment instruments in Belgium, however, a prospectus is required. The prospectus must contain full information about the type of investment instrument and about the issuer, and must also describe the risks associated with the investment. Moreover, all documents and advertising relating to a public offer of investment instruments in Belgium must be submitted for approval to the FSMA before they may be distributed.
In addition to the payment of €550,000 and the publication of the agreed settlement by name, Plus500 will also contact all its Belgian clients to offer them the opportunity to terminate their contract at no cost and with reimbursement of the current balance due. Plus500 also closed down the website www.plus500.be and indicated on its other website that the products concerned are not intended to be offered to Belgian consumers.
Plus500 said the settlement ‘does not amount to an admission of guilt or non-compliance” by the company.’
It said it had believed it had it followed ‘all necessary procedures’ but said it was keen to ‘respect the authority of FSMA and to reach a swift and final clearance of the jurisdictional process.’