Admirals Markets AS Fined by Estonian Regulator

Discussion in 'Forex Brokers' started by mlawson71, Feb 14, 2021.

  1. 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.
     
    CALLumbus likes this.
  2. zdreg

    zdreg

    I guess 32,000 euro goes a long way in Estonia. The penalty is a slap on the wrist.
     
    CALLumbus likes this.
  3. d08

    d08

    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.
     
    Nobert likes this.
  4. zdreg

    zdreg

    Unlike the US Estonia doesn't need to fine companies in a vain attempt to balance their budget.
     
  5. CALLumbus

    CALLumbus

    They have over 25,000 active accounts from more than 100 countries ...
     
  6. thursday

    thursday

    Transparency is a kii, but damn such a high fine. Hope they can sort it out
     
  7. d08

    d08

    Doubt they were fined on their global accounts basis.
     
  8. kroxobor

    kroxobor

    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
     
  9. Laura48

    Laura48

    That's a huge sum of fine, I hope the broker deals with the issues.
     
  10. d08

    d08

    You're aware that in most western countries the fines are in the tens of millions? Even for smaller violations.
     
    #10     Feb 22, 2021