The Association for Forex Dealers (AFD) announced last Thursday its new relaxed rules concerning the country’s over-the-top forex dealers’ new ability to onboard clients from afar. Over-the-counter (OTC) FX dealers can, as of January 11th, integrate clients into their brokerages without the need of the user’s physical presence. This will be done through a remote verification process.
Bank of Russia regulated credit institutions and similar organizations can now carry out transactions with funds or properties by using the unified biometric system (UBS) to complete remote identification procedures.
The AFD disclosed that the law, in essence, allows
“…professional participants in the securities market, including forex dealers, to conclude contracts with clients without their personal presence in the office of the company,”
The AFD is a self-regulatory body established in 2015 by some of the major Russian FX players. The association’s main tasks revolve around the constant development and sustainability of standards for forex dealers and traders. There is also great importance put into resolving disputes arising between brokers and their clients.
Evgeny Masharov, chief of AFD, claims that the association looks to the trader first as, the “…AFD was created in the interests of consumers of financial services and we followed this goal, despite all the difficulties on his way” The new AFD rules already came into effect on the 11th January, after Vladimir Putin signed the amendment.