Retail FX firm FX Primus has obtained a Cyprus Investment Firm license from the Cyprus Securities and Exchange Commission (CySEC), demonstrating that as 2014 draws to a close, Cyprus continues to attract new companies as well as established firms wishing to open an office on the island which is well renowned as a hub for retail FX businesses.
The license (number 261/14) was officially issued by the Cypriot regulator on December 22, 2014, with the entity receiving the regulatory permission named FX Primus Europe (CY) Ltd. It is worth noting that the company has yet to activate that license, which means that it has to prove to the national financial regulatory authority that it complies with the required criteria, including capital size, staff qualifications and physical presence in Cyprus.
FX Primus is an international Forex broker already, having offices across the globe. In terms of regulatory permissions, the firm holds licenses in New Zealand and Mauritius. FX Primus is a part of the portfolio of Prime Mantle Corporation PLC (PMC), an Irish financial services group that recently made an important step in the institutional FX space via the acquisition of Capital Market Services UK Ltd. Obviously, Europe holds a growing appeal for PMC and the Cypriot license of FX Primus adds momentum to the corporate growth ambitions in the region.
The newly obtained license by FX Primus provides one more piece of evidence of the unending power of Cyprus to attract online trading companies. The interest demonstrated by Forex brokers towards becoming regulated by CySEC gained speed in the latter part of the autumn, with well established firms such as Plus500 having been granted a Cyprus Investment Firm license.
Tax benefits, no leverage restrictions and mild capital requirements are all part of the perks that a CIF license brings along. Earlier this year, CySEC stunned many FX companies with rules that prohibited certain types of bonuses. However, this seems to have had little effect on the allure of the island for the FX industry.
You can check the full list of Cyprus Investment Firms here.