Authorised and Regulated

Caxton FX Ltd is authorised and regulated by the Financial Conduct Authority under the Financial Services and Markets Act 2000 ('FSMA') as well as the Payment Services Regulations 2009 ('PSR'). Read below for details on what this means for you.

Financial regulations; security of your funds

As part of our permissions, we offer clients who use our services the protection of the FCA's client money rules. Click here to view our permissions.

How does it work?

Caxton FX offers "Client Money protection" on all currencies that we exchange. If you send money to us prior to a transaction taking place and if we hold money for you after an FX transaction has been completed or if we are holding money for you with respect to designated investment business as defined by the rules of the FCA, then we hold your funds under "Client Money protection".

Is my money safe?

Caxton FX holds all "Client Money" to the standard set out in the Financial Conduct Authority's Client Money rules. This means we segregate "Client Money" from the company's money and hold it separately in an EEA-regulated credit institution. The credit institution has specifically acknowledged that the money in these accounts belongs to our clients and they have no right of set-off with any of the firm's balances. This arrangement is designed to ensure that "Client Money" is not at risk in the unlikely event of Caxton FX getting into financial difficulties. These arrangements are checked and verified by our auditors.

Client Money has the specific definition of "money of any currency which, in the course of carrying on designated investment business, a firm holds in respect of any investment agreement entered into, with or for a client, or which a firm treats as client money in accordance with the client money rules." It is important to note that spot and forward foreign exchange transactions are not regulated activities. This means that, during the actual settlement process for your FX transaction, your funds are not held in segregated Client Money accounts and is not deemed to be Client Money at that time.

Financial Services Compensation Scheme

In respect of designated investment business only (see above), client money held by Caxton FX is also covered by the Financial Services Compensation Scheme (FSCS). For clarity, designated investment business does not include spot or forward FX transactions but does include currency options. Private investors, as defined by the FCA (which includes small companies), are covered by the scheme up to a limit of £50,000 per person per firm. For clarification, neither Foreign Exchange nor Payment Services are regulated investment products and so do not fall under the FSCS. Further details of the compensation scheme are available from the FSCS website www.fscs.org.uk.

If you need further clarification on this matter, please refer to our account management team on 0207 042 7629 or e-mail them on info@caxtonfx.com

Money laundering

Caxton FX is fully committed to protecting the integrity of its transfer system - find here our strict Anti-Money Laundering policy.

What am I asked to do?

When you apply for any Caxton FX product, you will be asked to confirm your identity and other personal details. Caxton FX has established special verification systems to confirm your identity.

When?

You will be asked to confirm your identity whether you are applying to be a new customer. If you have been a customer for some time we may also ask you to confirm your identity on a periodic basis. While our identity verification systems are designed to minimise any inconvenience for you, the verification process may take a day or two to complete.

Why?

Crime and terrorism need cash. Criminals turn the 'dirty' money made from drug smuggling, trafficking and other organised crime into apparently clean money by using false identities or taking the names of innocent people - like you. Making sure that people are who they say they are is essential in the fight against crime and terrorism. This does not mean in any way that suspicion is falling on you. Any information about your identity is held confidentially and will help stop your identity being used falsely.

Who is involved?

HM Government and all organisations involved in financial services - all are united in their determination to stop the spread of financial crime as part of the international effort to protect us all against crime and terrorism.

Your co-operation is vital to the successful fight against crime and terrorism.

What the UK law requires

• We are required to verify your identity and address.
• We are required to keep full records of all transactions together with the identification provided.
• We are required to monitor your account for any unusual or suspicious transactions.
• We have a legal obligation to report to the UK National Crime Agency (NCA) any suspicious or potentially suspicious transaction.

Payment Services and E-Money Regulations

The new Payment Services Regulations ('PSRs') came into effect on 13^th January 2018. These regulations build on an earlier version and are part of a Europe-wide directive that aims to harmonise the way that payments are made across the EEA, making them faster, easier and more transparent for the customer.

The regulating body in the UK is the Financial Conduct Authority (FCA). The PSRs require companies that offer "payment services" (ie transfer money for you) be either registered or authorised by the FCA.

All firms authorised under these regulations are required to abide by the Conduct of Business rules (COBs) which determine how companies may conduct their business with customers.

Authorised Payment Institutions and E-money Institutions must meet initial and ongoing requirements for maintaining certain levels of capital within their business and must comply with arrangements to safeguard their customer funds. They will also have to meet stringent criteria set by the FCA in terms of corporate governance, solvency and risk identification and management.

Caxton FX Ltd is regulated and authorised for the provision of payment services and E-money under number 900663. For a full list of our permissions please visit the FCA's website here: www.fca.gov.uk

Caxton FX Ltd is registered with HM Revenue and Customs as a Money Service Business registration number 12149429.

Authorisations

In addition to the above Caxton FX Limited is also authorised and regulated by the Financial Conduct Authority under the Financial Services and Markets Act 2000. The FCA authorisation number is 431844.

The information below sets out the classes of business that Caxton FX is authorised to undertake.

Client Money

• This firm must protect the money it holds and/or controls on behalf of customers. It cannot lend this money or use it to finance its own business.

Advising on investments (except on Pension Transfers and Pension Opt Outs)

• Customer Type
  • Retail (Non-Investment Insurance)
• Investment Type
  • Non-investment insurance contracts

Advising on investments (except on Pension Transfers and Pension Opt Outs)

• Customer Type
  • Professional
  • Retail (Investment)
• Investment Type
  • Future (excluding a commodity future and a rolling spot forex contract)
  • Option (excluding a commodity option and an option on a commodity future)
  • Rolling spot forex contract
• Limitation
  • Rights to or interests in (both).

Advising on P2P agreements

• Customer Type
  • Professional
  • Retail (Investment)

Agreeing to carry on a regulated activity

• Limitation
  • Limited to carry on regulated activity.
    

Arranging (bringing about) deals in investments

• Customer Type

Retail (Non-Investment Insurance)

• Investment Type
  • Non-investment insurance contracts

Dealing in investments as agent

• Customer Type
  • Retail (Non-Investment Insurance)
• Investment Type
  • Non-investment insurance contracts

Dealing in investments as agent

• Customer Type
  • Professional
  • Retail (Investment)
• Investment Type
  • Future (excluding a commodity future and a rolling spot forex contract)
  • Option (excluding a commodity option and an option on a commodity future)
  • Rolling spot forex contract
• Limitation
  • Rights to or interests in (both).

Dealing in investments as agent

• Customer Type
  • Professional
  • Retail (Investment)
• Investment Type
  • Future (excluding a commodity future and a rolling spot forex contract)
  • Option (excluding a commodity option and an option on a commodity future)
  • Rolling spot forex contract
• Limitation
  • Rights to or interests in (both).

Making arrangements with a view to transactions in investments

• Customer Type
  • Retail (Non-Investment Insurance)
• Investment Type
  • Non-investment insurance contracts

Making arrangements with a view to transactions in investments

• Customer Type
  • Professional
  • Retail (Investment)
• Investment Type
  • Future (excluding a commodity future and a rolling spot forex contract)
  • Option (excluding a commodity option and an option on a commodity future)
  • Rolling spot forex contract
• Limitation
  • Rights to or interests in (both).

Safeguarding and administration of assets (without arranging)

• Customer Type
  • Professional
  • Retail (Investment)
• Investment Type
  • Future (excluding a commodity future and a rolling spot forex contract)
  • Option (excluding a commodity option and an option on a commodity future)
  • Rolling spot forex contract
• Limitation
  • Rights to or interests in (both).

Caxton FX Ltd - Authorised and Regulated by the Financial Conduct Authority. Registered in England and Wales. Registered Office: Portland House, Bressenden Place, London SW1E 5BH.