ADS Securities London Limited (ADSSL), the British subsidiary of Abu Dhabi-based brokerage group ADSS, has begun winding down operations in the United Kingdom. The company said in a message on its website that the move follows a “strategic decision” by the parent company to “refocus its resources on other entities within the group”.
According to the Financial Conduct Authority (FCA), ADSSL, which has been authorized to provide its services in the UK since 2012, applied to have its license revoked in June 2023. As a result, “the local entity will be closed in due course,” ADSS said in the letter, adding that the group “ You will cease operating and managing clients from this entity.”
“The ADSS Group remains well capitalized and continues to focus on its growth strategy,” ADSSS explained. “ADSSL will be terminated in an orderly manner in accordance with our FCA obligations and we remain on hand to answer any questions you may have.”
ADSS announces the UK’s exit
From pivoting to takeoff
Until the decision to resign, ADSSL provided trading services for Contracts for Difference (CFDs), including spread betting, to mostly retail and professional clients. This is because in recent years the broker has reduced its focus on institutional investors.
Meanwhile, the UK subsidiary reported a 362% jump in profit for the 2021 financial year that ended December 31. The company’s revenue also jumped 50% during this period, to £4.5m.
However, when income from the local entity’s transfer pricing activities is discounted, revenue is a 34% year-over-year decline. The downturn was the result of “a continued pivot from an enterprise-led proposition to one centered around professional customers”, ADSSL explains in its filing at UK Companies House.
Earlier this month, ADSSL executives Ash Elgarf, Head of Dealings, and Dan Benton, Chief Trader in Sales, left the company to join London Capital Group, a former rival that is now just an Introducing Broker.
ADS Securities London Limited (ADSSL), the British subsidiary of Abu Dhabi-based brokerage group ADSS, has begun winding down operations in the United Kingdom. The company said in a message on its website that the move follows a “strategic decision” by the parent company to “refocus its resources on other entities within the group”.
According to the Financial Conduct Authority (FCA), ADSSL, which has been authorized to provide its services in the UK since 2012, applied to have its license revoked in June 2023. As a result, “the local entity will be closed in due course,” ADSS said in the letter, adding that the group “ You will cease operating and managing clients from this entity.”
“The ADSS Group remains well capitalized and continues to focus on its growth strategy,” ADSSS explained. “ADSSL will be terminated in an orderly manner in accordance with our FCA obligations and we remain on hand to answer any questions you may have.”
ADSS announces the UK’s exit
From pivoting to takeoff
Until the decision to resign, ADSSL provided trading services for Contracts for Difference (CFDs), including spread betting, to mostly retail and professional clients. This is because in recent years the broker has reduced its focus on institutional investors.
Meanwhile, the UK subsidiary reported a 362% jump in profit for the 2021 financial year that ended December 31. The company’s revenue also jumped 50% during this period, to £4.5m.
However, when income from the local entity’s transfer pricing activities is discounted, revenue represents a 34% year-over-year decline. The downturn was the result of “a continued pivot from an enterprise-led proposition to one centered around professional customers”, ADSSL explains in its filing at UK Companies House.
Earlier this month, ADSSL executives Ash Elgarf, Head of Dealings, and Dan Benton, Chief Trader in Sales, left the company to join London Capital Group, a former rival that is now just an Introducing Broker.