ASIC Suspends GFA Capital Markets Over Client Money and Reporting Failures

The Australian Securities and Investments Commission has suspended the financial services licence of GFA Capital Markets Ltd for five months after identifying shortcomings in the companys handling of client funds, derivative transaction reporting and compliance arrangements.

The suspension runs from July 23 to December 18, 2026. During this period, GFA Capital Markets cannot conduct its normal licensed financial services business, although limited administrative activities remain permitted.

Contents

01

ASIC Finds Problems With Client Money Handling

02

Compliance Systems Also Found Inadequate

03

GFA Website Currently Under Maintenance

04

Suspension Follows ASIC Review of CFD Issuers

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ASIC Finds Problems With Client Money Handling

One of the main issues identified by ASIC involved the treatment of client funds.

The regulator found that GFA Capital Markets had not properly placed and managed client money through a designated client money account. Funds that were not client money were also mixed with money belonging to clients.

ASIC did not disclose the amount involved or indicate that the deficiencies had resulted in direct client losses.

The findings also covered the companys obligations under the ASIC Derivative Transaction Rules (Reporting) 2024. According to the regulator, GFA Capital Markets failed to meet required reporting standards for derivative transactions.

Compliance Systems Also Found Inadequate

ASIC identified broader weaknesses in the companys internal compliance framework.

These included deficiencies involving financial resources, technology systems and staffing. The regulator concluded that GFA Capital Markets did not have adequate systems and controls in place to ensure ongoing compliance with Australian financial services laws.

Based on those findings, ASIC considered the company likely to breach its general obligations as an Australian Financial Services licence holder.

The suspension does not prevent GFA Capital Markets from maintaining its membership with the Australian Financial Complaints Authority or keeping professional indemnity insurance in place. It may also take actions required to respond to written directions from ASIC.

GFA Website Currently Under Maintenance

GFA Capital Markets public website, gfacm.com, is currently displaying an “Under Maintenance” notice in English and Chinese, with its normal public pages unavailable through the homepage.

The available information does not establish whether the maintenance notice is connected to ASICs regulatory action.

GFA Capital Markets has held Australian Financial Services licence No. 398104 since March 2011. The company has operated under its current name since 2019 and is registered in Sydney.

According to historical corporate records, the entity previously operated under different registered company names before adopting GFA Capital Markets.

Suspension Follows ASIC Review of CFD Issuers

ASIC identified the deficiencies during a broader review of 52 licensed CFD issuers carried out between October 2024 and December 2025.

The review examined areas including transaction reporting, product governance, client onboarding and compliance with rules applying to retail CFD providers.

ASIC said the review led to almost A$40 million being refunded to more than 38,000 retail investors. It also identified more than 70 million incorrect derivative transaction reports across the sector, prompting dozens of firms to revise their reporting processes and internal controls.

GFA Capital Markets is now required to demonstrate that the problems involving client money, reporting and compliance have been addressed before the suspension period ends.

The company may seek a review of ASICs decision through the Administrative Review Tribunal. If ASIC considers the corrective measures insufficient, further regulatory action could include an extension of the suspension or cancellation of the licence.

About WikiFX

WikiFX is a global forex broker information and verification platform. It provides regulatory information, broker background checks, risk alerts and user exposure records to help traders review broker licences, operating entities and potential risks before making financial decisions.