Broker fined £1.6m as FCA concludes cum-ex enforcement investigations

A City of London-based interdealer broker has been penalised £1.6m for breaches relating to cum-ex trading. The firm carried out suspicious transactions in Danish and Belgian equities with a value of £92 billion for 242 new clients that were onboarded without adhering to the firm's Compliance Manual, and the manual itself had not been updated to match the new business the firm was acquiring.

By Neasa MacErlean

The trades made up over 95 per cent of the activity of the specialist trading desk that handled these securities and 12 per cent of the firm's turnover overall.