The Forex industry in France is highly regulated and therefore very reputable. Many brokerages and traders are attracted to the country due to the extensive regulation but reasonable requirements. As well, the regulatory authorities operating in France are compliant with the European System of Central Banks (ESCB), the MiFID directive, and have adopted similar regulatory framework as other European regulatory authorities such as the CySEC and the FCA. However, one main difference is that France has a regulatory agency which is run by the government, while most other EU countries only have independent regulatory agencies.show more
One of the most prominent regulatory services in France is the Autorité de contrôle prudentiel et de resolution (ACPR), better known as the French Prudential Supervision and Resolution Authority. This regulatory authority operates under the French Central Bank, Banque de France and was established in 2010 by merging the French Banking Commission, the Mutual Insurance Supervisory Authority (ACAM), and the Committee credit institutions and investment firms (CECEI). The ACPR is not the main regulator of trading brokerages in France, but rather the AMF is. However, the ACPR does regulate the activities of banks, insurance companies, and some trading brokerages.
The ACPR is a regulatory agency who works directly with companies dealing in the Forex markets. The agency will conduct close supervision and inspection of their activities and business practices. They are responsible for ensuring the businesses they regulate carry out the business practices imposed on them. Also, the ACPR must issue warnings to these businesses and help them to comply if they are not following the guidelines laid out by the ACPR. As well, the ACPR is responsible for communicating and informing the public on information regarding best practices and brokerages.
ACPR regulation works to protect consumers by enforcing strict protocols to keep them safe. They enforce these protocols by supervising the brokers they regulate and helping them to comply and implement the business practices they see fit. As well, the ACPR will warn the public of fraudulent brokerages and scams in the industry. They also provide a guide for issuing complaints, however, they do not take any complaints themselves.
The ACPR requires all brokers regulated by them to provide fair, transparent, and secure trading services. They do this by providing brokers with a list of guidelines to follow so that they can competently offer trading services. Among these guidelines, brokers are required to submit periodic reports on their finances and services. As well, brokers must be audited by a trusted third party once a year and all brokers must hold their clients’ funds in segregated bank accounts. Brokers must also follow the employment and business standards provided for them by the ACPR.