London-based broker Sova Capital announced that it is entering special administration. The broker is controlled by Russian banker Roman Avdeev.
Sova Capital’s special administrations regime is due to liquidity problems following a barrage of Western sanctions are aimed businesses with Russian ties hit.
The broker said that its team is working on stabilising the situation in order to protect its customers.
Its official statement said:
You will be aware that Sova Capital is experiencing some liquidity issues arising out of the unusual circumstances currently existing. We should like to inform you, however, that our team is making every effort to stabilise the situation and ensure that business continues smoothly.
UK Financial Conduct Authority (FCA), which regulates Sova Capital, said that the court had appointed Teneo as special administrators and would start assessing client money and custody assets.
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