Market share of CFD ads in France declines in first nine months of 2018

Maria Nikolova

The ads of online trading products like CFDs accounted for less than a quarter of all investment ads in the first nine months of 2018.

The share of ads of highly-speculative trading products like CFDs has declined when compared to the share these ads had in previous years, according to the latest Newsletter of the Households Savings Observatory, run by the French financial markets authority AMF.

The data reveals that, during the first nine months of 2018, the ads of CFDs and other highly speculative online trading products accounted for 24% of all the investment ads in France. This is way below than the higher share seen in previous years. Until 2016, the share of these ads was around 50%.

In addition, the ads for such products had become more restricted in their content and now focus on offers permitted under the Sapin II law. This law prohibited digital advertising of all sorts of high-risk products, including CFDs with high leverage.

The Newsletter also provided some information about crypto-asset ads. During the first nine months of 2018, these accounted for 12% of the ads of investment products. The percentage is higher than the level of below 3% for 2017, but is also below the level of 23% for the January-April period of 2018.

Let’s note that earlier this year, the AMF clarified its stance on the regulation of cryptocurrencies and the products related to them.

Following an analysis of the legal status of cryptocurrency derivatives, the AMF has reached the conclusion that the platforms offering these products must abide by the authorisation and business conduct rules, and that these products must not be advertised via electronic means. That is, such products fall within the ambit of the famous Sapin 2 law, which prohibits the digital advertising of binary options and certain CFDs which are deemed toxic for investors.

Read this next

Technology

STT doubles user base as Sterling OMS adopted by TradeZero, Avenue, Banco C6

Sterling Trading Tech (STT) has announced record growth of its order management system (OMS) offering, doubling its user base throughout the second half of 2022.

Retail FX

CMC Invest announces flexible stocks and shares ISAs amid changes in UK policy

In addition to a flexible ISA, the Plus plan provides members with a USD currency wallet for their general investment account (GIA), alongside the default GBP wallet that comes with all CMC Invest accounts. This means users will hold both a GBP wallet and a USD wallet. Saving customers money on FX fees.

Executive Moves

The Trading Pit snatches Skilling Daniela Egli from Skilling to lead Cyprus operation

“We feel privileged to have Daniela join The Trading Pit and bring her extensive expertise to our prop trading firm. We are confident in The Trading Pit’s ambition to provide the ultimate global trading environment for talented traders to enhance their skills and eventually become professional fund managers.”

Industry News

Worldpay taps SheerID to allow merchants to better target their audiences

SheerID verifies over 2.5 billion people via 20,000 authoritative data sources; provides global insights from hundreds of the world’s leading brands, and never shares or sells customer data.

Crypto Insider

Cardano (ADA) Price For 2022-23: Buy Cardano With NAGAX

Cardano (ADA) is probably one of the most renowned and well-known cryptocurrencies out there at the moment and is currently available on the majority of the crypto exchanges and platforms in the market.

Retail FX

ACY Securities recognized by Salvation Army NSW for its support to charity work

““Sitting in the backyard of those family friends, to see the devastation the floods had brought, was a real eye-opener, and a testimony to the Salvos who were on the ground helping every one of those in need during the recent NSW floods.”

Executive Moves

BNP Paribas announces senior executives of Global Markets Americas division

French bank BNP Paribas has appointed several senior executives to its Global Markets Americas division, demonstrating its ambition to grow its Global Equities, Global Credit, and Global Macro franchises in the region. 

Technology

Match-Trade expands partnership with Takeprofit Tech

California-based FX technology provider Match-Trade Technologies has expanded its partnership with fintech software developer Takeprofit Tech.

Institutional FX

Tradeweb’s trading volume hits $23.2 trillion in November

Tradeweb Markets, the operator of electronic marketplaces for rates, credit, equities and money markets, has just reported its aggregated trading volumes for November 2022.

<