Denmark Follows U.K. to Ban Binary Option Sale to Retail Clients
The old stock exchange building, left, also known as Borsbygningen, and Christiansborg Palace, right, sit on the city skyline seen from the headquarters of the Danish central bank in Copenhagen.
Photographer: Carsten Snejbjerg/BloombergThis article is for subscribers only.
Denmark plans to ban the sale of binary options to retail customers, saying the securities are too complex and risky for non-professional investors.
The move mirrors similar measures under way in other countries, including the U.K. and Austria. Growing numbers of retail investors in Europe are losing money on the products, which are often sold online by companies that disregard investor protection rules, according to the Danish Financial Supervisory Authority.