7 Best FCA Regulated Forex Brokers in Nigeria

The Role of the FCA

👉 Aside from safeguarding customers, the FCA also seeks to maintain and improve the integrity of the United Kingdom’s financial system and encourage healthy competition among financial service providers in the interests of consumers.

👉 When the Financial Services Authority was abolished on April 1, 2013, it was done so in order to acquire responsibilities for conduct and prudential regulation. The Financial Services and Markets Act 2000 and the Financial Services Act 2012 established the FCA’s statutory objectives.

👉 After the financial crisis of 2008-2009, the UK’s Financial Services and Markets Authority (FSMA) enacted the Financial Services and Markets Act of 2012 to overhaul the country’s regulatory framework for financial services organizations.

👉 As a rule-making and enforcement agency, the FCA has a wide range of tools at its disposal. Due to its independence and the lack of government backing, the FCA must be able to increase its fees.

👉 It is consequently necessary for FCA-authorized businesses to pay fees to the regulators and other organizations that oversee their activity.

👉 More than 59,000 financial services firms and financial markets are regulated by the Financial Conduct Authority (FCA) in the United Kingdom. Everyone, from consumers to small company owners, to the entire economy, should be able to participate in free and open markets.

👉 The Authority accomplishes this through safeguarding customers, safeguarding financial markets, and fostering competition. The Treasury and Parliament of the United Kingdom are in charge of the FCA.

Enforcing fair conduct

👉 The FCA’s primary responsibility is to prohibit financial services companies from engaging in unethical practices. But that’s not all. They’ll also investigate and prosecute a variety of other sorts of misbehaviour, including insider trading and shadow banking.

👉 Anti-competitive behaviour, such as monopoly formation, mis-selling of financial products, and other attempts at market manipulation, are also addressed by the regulators.

Regulation of entities

👉 In addition, the FCA lends respectability to financial services firms in Nigeria by issuing a seal of approval. In the case of a UK CFD broker, the most reputable firms would boldly proclaim that they are regulated by the Financial Conduct Authority (FCA).

👉 A corporation operating in Nigeria that is regulated by the Financial Conduct Authority (FCA) is trustworthy and adheres to strict ethical standards.

Providing regulatory advice

👉 An annual budget of £600 million and thousands of personnel make the FCA the largest financial regulator in the world. More than half of these resources go toward providing critical legal and compliance advice to 58,000 companies that the FCA is responsible for regulating.

👉 Smaller businesses in Nigeria may lack the capacity to effectively negotiate the regulatory landscape on their own, making this service incredibly valuable. The FCA’s guidance can be a lifesaver in a Nigerian business environment where only the biggest players can afford their own legal teams.