FCA CFD Risk-Warning Rules: What Clients Should See Before Trading

The FCA’s COBS 22.5 rules require UK firms marketing CFDs and similar speculative products to display standardised warnings using a current provider-specific loss percentage.

Key facts

• The warning must use an up-to-date provider-specific loss percentage.
• The calculation is performed every three months over the previous 12 months.
• All fees, commissions and charges are included.
• The rules also restrict monetary and non-monetary incentives for retail clients.

What the FCA rules require

COBS 22.5 requires firms marketing leveraged CFDs, spread bets or rolling spot forex to retail clients in or from the UK to include a standardised risk warning. When the provider has sufficient activity, the warning includes the percentage of retail accounts that lost money with that provider.

The figure must be current, recalculated every three months and cover the preceding 12 months. The calculation includes realised and unrealised results plus fees, commissions and other charges.

What a reader should look for

The warning should be prominent and connected to the relevant provider. A generic statement hidden in a footer does not give the same information as the required provider-specific percentage.

What readers should do now

Use the warning as a trigger for deeper cost and product checks.

• Confirm the warning belongs to the entity opening the account.
• Check its update date and whether it appears across relevant pages.
• Compare spreads, financing, commissions and conversion costs separately.
• Do not rank brokers solely by small differences in loss percentages.
• Review appropriateness and professional-client implications before opting up.

What the June 2026 update adds

The current timeline shows new guidance effective June 26, 2026 for firms marketing leveraged derivatives with features similar to restricted speculative investments. It points firms to best-interests, fair-clear-not-misleading, appropriateness, Consumer Duty and product-governance obligations.

This is not a new permission for high-risk products. It reinforces that product design and marketing duties extend beyond the warning itself.

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Frequently asked questions

Sources and verification

• FCA Handbook COBS 22.5 — published Version viewed July 1; updated June 26, 2026; jurisdiction: United Kingdom; accessed August 25, 2026.

Last reviewed: August 25, 2026. Recheck dates, status, legal entities and live terms immediately before publication.

Image brief: Anatomy of a compliant CFD risk warning, showing prominence, loss percentage, calculation period and linked pages.

Disclosure

SafeGate Advisors is not a broker and does not accept deposits. This article is general information, not investment advice. SafeGate may receive compensation from some brokers through affiliate partnerships, but editorial assessments should follow the published methodology and verified evidence.