Owner of the STO FS brand with the British license suspended by FCA

British financial supervision, FCA, suspended the license to provide financial services AFX Markets Limited, which includes, among others Forex broker STO Financial Services. In July, the Cypriot CySEC made the same decision, which we wrote about HERE. What will be the future of the broker and his clients?

No license, no income

With the suspension of the license, the investment company loses the opportunity to actively provide services, service orders and promote its activities. Most often it means the beginning of the end. This state of affairs continues in the AFX Group registered in Cyprus since July 19. From today also in a British subsidiary.

Although the suspension can only be temporary, according to FCA regulations, the broker must close client orders by 7 on August 2019. After closing the position, the broker is required to freeze client funds on segregated accounts. This information also appeared on the website www.stofs.com.

In the FCA statement, we read:

"The company may not, without the FCA's prior written consent, make payments of any cash representing balances to customers."

It is known that nothing is known?

It is still unknown what steps CySEC will take. The temporary 10 suspension of the Cyprus license has theoretically expired. However, there was no information about any possible extension of the sentence, or about the company's compliance with any conditions that would lead to its termination. The withdrawal option in the STO FS client panel is still not available, hence the broker's withdrawal of client funds is a big unknown.