Regulation

Henyep Capital Markets (UK) Limited (‘HYCM’) is authorised and regulated by the Financial Conduct Authority (FCA) under Company reference number 186171. To view our license please click here


About the FCA

The FCA is the single regulator for Financial Services in the UK, and has 4 statutory objectives:


  • Market Confidence
  • Consumer Protection
  • Financial Stability
  • The Reduction of Financial Crime

HYCM complies with all relevant and applicable regulatory requirements imposed by the FCA in relation to financial services undertaken on behalf of clients.


Benefits of FCA membership for HYCM clients.

Unlike many other FX brokers, by agreeing to the Client Agreement, you are a client of HYCM and given the full protections and benefits of FCA regulations including:


  • The FCA has very demanding capital standards, by which HYCM must keep capital within the Firm that can only be used to support the regulatory business.
  • The FCA has the authority to visit firms unannounced on an ad-hoc basis to check all their records, and client accounts, to ensure the firm is adhering to the highest standards of compliance.
  • The Firm has a full-time, qualified Compliance Officer who is independent of management. He reports directly to the Chairman of the Group and ensures compliance with all regulatory responsibilities and fair treatment of clients, including the resolution of clients’ complaints.
  • The FCA requires HYCM to maintain systems and controls for treating customers fairly.
  • It is mandatory for external auditors to independently review the accounts and client money procedures and report directly to the FCA. HYCM has appointed Moore Stephens who audit our books annually and report to the FCA our adherence to Client Money and Capital Adequacy Rules throughout the review period.
  • All the employees of HYCM who execute deals as per client requests must be approved by the FCA. A full list of all approved persons is contained on the FCA website.

Regulatory Trade Reporting

All firms that operate in the EU are under regulatory obligation to report every transaction that they enter into to a trade repository.


The European Market Infrastructure Regulation (EMIR) introduces an obligation to report all derivatives to trade repositories, including CFD’s. HYCM reports all clients’ executed trades through UnaVista, the LSE global hosted platform. Reporting includes financial and non-financial counterparties and covers all derivative transactions (both OTC and exchange traded derivatives) such as equity, interest rate, currency, commodity, credit and other.


These all add to your security in trading through HYCM as all your trades are reported to an external regulatory body.


Protection under FCA's Client Money Rules

By being regulated by the FCA, clients of HYCM get the assurance that they are protected under a world-leading financial jurisdiction. The FCA 'Client Assets Rules' require Henyep Capital Markets (UK) Limited to segregate daily all money due to you and hold these funds separately, as trustee. As such the bank or any other creditor of HYCM will not be able to claim these funds in case of liquidation of Henyep Capital Markets (UK) Limited.


This also means that your funds and other assets will be segregated from HYCM's own money and will not be available to us for use in the course of our business. We may hold your money and the money of other clients in a pooled bank account. Hence in the event of a default by the bank causes any unreconciled shortfall in the money held in the pooled account, then you may share proportionately in that shortfall.


Financial Services Compensation Scheme (FSCS)

All HYCM customers benefit from the FCA's FSCS scheme, the UK's compensation fund of last resort for customers of FCA authorised financial services firms. This means that FSCS can pay compensation under the protected investment business scheme to consumers if an authorised firm is, or is likely to be, unable to pay claims against it and so is in "default."Payments under this scheme are limited to a maximum of £50,000.00 per customer.


Full details of FSCS and its services are available at their web site: http://www.fscs.org.uk/