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<p>The government has not made an assessment. Contracts for Difference (CfDs) and
other derivative products are regulated by the Financial Conduct Authority (FCA).
The FCA have expressed concerns about the distribution of CfDs to retail clients,
and the European Securities and Markets Authority (ESMA) have recently announced that
they are considering imposing restrictions on these CfDs. As the independent regulator,
the FCA have indicated that they are supportive of these proposals. As ESMA’s powers
are temporary, the FCA are considering appropriate permanent product intervention
measures, which the FCA indicated would take in to account any prospective ESMA measures.
The FCA continually reviews all financial products, including derivative products,
to assess the risks to investor protection.</p>
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