CySEC Introduces Mandatory ESG Disclosure Requirements for Regulated Brokers

The Cyprus Securities and Exchange Commission has issued new guidance that extends EU sustainability disclosure obligations to Cyprus Investment Firms, effective July 2026.

Cyprus is home to the European regulatory hub for dozens of global retail forex and CFD brokers, including major names like Exness, XM, FxPro, and many others. The CIF license is one of the most common regulatory designations you will see in broker footnotes across the industry.

What the rules require

Under the new guidance, regulated firms must disclose how they integrate sustainability risks into their investment decision-making processes, and where applicable, how the products they offer align with EU taxonomy criteria.

For most retail brokers, this is largely a disclosure exercise rather than a requirement to change products. CFDs and forex instruments are not typically classified as sustainable investments, and firms are expected to state that clearly rather than greenwash their offerings.

The rules also require that client-facing documentation is updated to reflect how ESG factors are considered in any investment advice provided by the firm.

What this means in practice

Most brokers will need to update their risk disclosures and terms of service before July. Firms that have been slow to engage with sustainable finance regulation should treat this as an early compliance checkpoint before the EU’s broader SFDR review in 2027.

We will note CySEC compliance status in broker regulatory sections as updates are published.