‘BTFX’ is the trade name of Brokersclub Limited. Brokersclub Limited is licenced and regulated by the Malta Financial Services Authority as a Category 2 investment services licence holder (Licence number: IS/52844) authorizing the Company to provide the investment services as detailed hereunder and to hold or control clients’ money or customers’ assets, but not to operate a multilateral trading facility or deal for their own account or underwrite or place instruments on a firm commitment basis.
The Company shall only offer its clients ‘Execution Only’ services in online Over-The-Counter (OTC) derivative products with an emphasis on non-deliverable rolling spot foreign exchange contracts taking the form of CFD’s where there will be no delivery of the currency, together with major stock market indices. The Company in this respect shall act as a market–risk-less intermediary broker which will execute the client’s self-initiated orders (‘Execution’). As a riskless principal the Company will be fully hedging its position by entering into back to back transactions where the Company will be involved in executing two matching trades (one with the client and one offsetting trade with another party) entered at the same time and price, with the company acting as counterparty to both transactions.
Malta Financial Service Authority (MFSA)
The Malta Financial Services Authority (MFSA) is the single regulator for financial services in Malta. It was established by law on 23 July 2002 taking over supervisory functions previously carried out by the Central Bank of Malta, the Malta Stock Exchange and the Malta Financial Services Centre. The Authority is a fully autonomous public institution and reports to Parliament on an annual basis.
The financial services sector incorporates all financial activity including that of credit institutions, financial and electronic money institutions, securities and investment services companies, regulated markets, insurance companies, pension schemes and trustees. The MFSA is also responsible for consumer education and consumer protection in the financial services sector.
Investor Compensations Scheme
Brokersclub Ltd is a member of the Investor Compensation Scheme (ICS), which is a rescue fund for customers of failed investment firms which are licensed by the Malta Financial Services Authority and pays such customers compensation if a licensed investment firm is unable or likely to be unable to pay claims against it. In general, this is when the licensed firm stops trading or becomes insolvent. The Scheme is based on the EU Directive 97/9 on investor-compensation schemes. For more information on the ICS please visit: www.compensationschemes.org.mt