AETOS Withdraws FCA Licence and Winds Down UK Operations

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AETOS Withdraws FCA Licence and Winds Down UK Operations

Key Takeaways 

  • AETOS UK has ceased all regulated activities and surrendered its FCA licence
  • The firm’s UK exit reflects broader industry shifts away from retail brokerage
  • Traders should verify regulatory status before engaging with any broker
 
The UK division of AETOS, a global broker specializing in contracts for differences (CFDs), has officially surrendered its Financial Conduct Authority (FCA) licence, signaling a complete exit from the UK market.

End of Operations in the UK

According to the UK regulatory registry, AETOS voluntarily cancelled its FCA authorization last month. The firm is now prohibited from offering any regulated financial services or products in the country.
A statement filed with Companies House included a “Solvency Statement,” typically submitted during capital restructuring or when a company is preparing for dissolution. The FCA noted that the firm ceased trading due to administration, liquidation, or dissolution.

Offshore Ownership and Global Reach

AETOS’s UK entity was fully owned by a parent company registered in the Cayman Islands, which obtained its operational licence in 2021. The brand also holds regulatory approvals in Australia and Mauritius, and is controlled by Chinese entrepreneur Yongqiang Lu.
While operating under the FCA licence, AETOS UK offered CFD trading across various asset classes, including forex, metals, energy, and indices.

Revenue Decline and Business Shift

The decision to exit the UK market follows a period of stagnant brokerage activity. In FY2024, AETOS UK reported a turnover of £479,000, up from £399,000 the previous year. However, only £4,761 came from brokerage commissions, with the bulk of revenue derived from management service fees.
This marks the second consecutive year with minimal income from core trading services, suggesting a strategic pivot away from retail brokerage in the UK.

Industry Trend: Brokers Retreating from UK Retail Market

AETOS is not alone in scaling back UK operations. Other CFD brokers such as ADSS, TrivePro, and ICM.com have either exited the UK market or are in the process of relinquishing their FCA licences. Many firms now focus on serving professional clients or expanding into offshore jurisdictions.

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