In the last few days, the easyMarkets broker has been informing its clients about the cessation of the operations of the Polish branch registered as Easy Forex Trading Sp. Z o.o., which will be suspended on June 30, 2018.
At the same time, from 31 May 2018 (from Thursday) orders placed by customers will be carried out by the company’s main office located in Cyprus. People who have their accounts at the broker, however, do not have to worry. The transfer of accounts will take place automatically and the terms and conditions will not change.
“Please contact us if you have any questions or looking for a more detailed explanation. Thank you for the trust you place in easyMarkets and we look forward to continuing offering you an exceptional customer experience “- informs in a mail addressed to customers a broker operating in the FX / CFD retail industry.
What caused the decision? The broker does not provide this information, but you can speculate that it is about a tightening regulatory environment in the Polish industry. The financial leverage for novice investors is to be reduced to 50: 1. If you want to use the lever on the currently available level of 100: 1, the investor will have to make 40 transactions within two years – if this is not a problem for current investors, as historical results will be taken into account, beginners will have to open several dozen items on a smaller leverage to access higher. Probably these rules may become obsolete before they come into effect – all thanks to ESMA’s independent arrangements, which will cut the FX leverage to a maximum of 30: 1. However, the official date of introduction of unfavourable changes is not known.
Bottomline: Polish market is not an easy one for foreign brokers, and those who wish to consolidate their business may be tempted to withdraw from here leaving their market share to competitors. It doesn’t mean that it’s not possible or too hard to make it on the local market, yet it requires long term vision and robust Polish speaking team. Budget doesn’t have to be gigantic, in fact it’s easy to waste a lot of money on poor results in this industry. Precise targeting and proper partnerships will be more important than huge spendings. Polish traders are quite conscious and knowledgeable, while competition is tough. But in the end competitors have many weaknesses and traders’ conscousness works against those weaknesses favoring good brokers who are open for feedback and improvements.
