London-listed broker IG Group is in the process of handing back its license for BrightPool, an entity regulated by the Cyprus Securities and Exchange Commission (CySEC).
The company set up the entity in 2016 to act as a market maker.
Its primary purpose was to make a market for the exchange the company was operating in Germany, called Spectrum Markets.
As reported on by TradeInformer at the end of last year, Spectrum was deemed not to have been growing fast enough and so was shut down by the brokerage group.
Spectrum Markets was a venue for trading in different derivatives products and was arguably something of a hedge against any further restrictions on CFD products in Europe.
A notice published on the BrightPool and CySEC websites indicates the winding down process began in May and will take approximately six months.
The firm stopped dealing in any securities in June.
It is unclear what will happen to the broker’s office in Cyprus. IG still employs a number of people in the country and works with others on a contractual basis.
