AFX Group and STO Forex have died. CySEC publishes guidelines for clients

Cypriot financial supervision, CySEC, has published a set of procedures that clients of the bankrupt STO Financial Services broker belonging to the AFX Group should follow.

AFX Group will not rise again

AFX Group, or rather AFX Capital Markets Ltd., which is the owner of the STO broker, lost its Cypriot license (actually it was suspended for 10 days) already at the end of July this year, about which we reported in a separate article here. Losing a license, even for a short period, almost always marks the beginning of the end. It's just that since then Cypriot oversight has hardly published any new announcements about the company.

Not much later, the British FCA regulator joined the action, which decided to take a similar step, but an administrative team was established at the end of September, which was aimed at solving the problem of recovering funds by clients who have accounts in the British branch of STO. This time CySEC enters the campaign by publishing its guidelines. What can we find in them?

CySEC guidelines

Customers have a problem because they can't contact the representatives of the STO broker and the AFX Group. For this purpose, a special form has been created in which you can file a relevant complaint. It is available here.

Based on standard procedures, Cypriot oversight recommends settling disputes directly with company spokespersons. The snag is that the procedure is ineffective, because no one from AFX answers. In this situation, customers should contact directly financial spokesperson from Cyprus. How long can the whole procedure take and will it have the expected effect of receiving a refund of customer deposits? At the moment, this question cannot be answered, although theoretically STO as a supervised broker belonged to a compensation fund (Investor Compensation Fund), which guarantees security up to 20 000 EUR.

The official CySEC message