The Financial Ombudsman Service, in a report to the ASIC, has urged the commission to increase protection for investors in CFDs. The ombudsman has called for more stringent minimum standards that would restrict CFD providers from allowing unexperienced clients to trade in the derivative products.

The Portuguese financial authorities and the CMVM have brought into force new rules regarding disclosure duties to the market with regards to cash-settled derivative contracts like CFDs and other financial instruments.

The City watchdog has brought forward plans to make investors disclose positions based on derivatives in a bid to prevent the instruments being used to silently build holdings in a company.

The City watchdog is pushing ahead with plans to force disclosure of derivatives that help investors stealthily build positions in target companies.