The Cyprus Securities and Exchange Commission (CySEC) has released its annual statistical bulletin for 2024, providing a detailed overview of the performance of the regulated entities under its supervision.

In its opening section, CySEC chairman George Theocharides said that “the global economic environment in 2024 remained complex and unpredictable”.

He pointed out that this was due the influence of “ongoing geopolitical developments, persistent climate challenges, and continued adjustments in energy and financial markets”.

The CySEC chief explained that “although inflation showed signs of easing compared to the previous year, uncertainty continued to affect international trade and investment flows”.

“In response”, he continued, “CySEC remained proactive and responsive, strengthening its supervisory framework to maintain market confidence and safeguard investor interests.

Moreover, Theocharides said that “despite the demanding environment, most regulated entities demonstrated resilience and adaptability, maintaining robust operations and ensuring regulatory compliance”.

The bulletin revealed that the total number of regulated entities under CySEC supervision decreased by 0.4 per cent in 2024.

Cyprus Investment Firms (CIFs) experienced a 36 per cent decrease in clients and a 5 per cent decrease in employees.

However, their trading income rose by 28 per cent, and total assets increased by 14 per cent compared to 2023.

Administrative Service Providers (ASPs) recorded a 7 per cent decline in clients and a 1 per cent reduction in total assets, while their workforce increased by 4 per cent and trading income grew by 2 per cent.

The ASP sector employed more than 1,500 individuals across the island by the end of 2024, contributing steadily to the professional services industry despite the fall in client numbers.

In the Management Companies (Mgt Cos) and Undertakings of Collective Investments (UCIs) sector, assets under management (AUM) increased by 18 per cent.

CySEC mentioned that this growth was supported by the entrance of new alternative investment funds and the expansion of existing ones.

The Mgt Cos sector managed €10.7 billion in total assets, with over 500 employees working in fund administration and oversight.

Listed companies, including those on the Emerging Companies Market (ECM), reported an 18 per cent rise in market capitalisation.

CySEC said that the 50 local listed companies remained highly active in financial services, while the 12 international companies were primarily involved in oil and gas activities.

The market capitalisation of companies listed on the ECM reached €6 billion, with 26 per cent of them active in real estate.

“The landscape of regulated entities in 2024 continued to evolve in both scale and complexity, driven by technological innovation and regulatory change,” Theocharides said.

“As these institutions grow more diverse in their structure and operations, CySEC faces an increasingly challenging supervisory role, both domestically and within the broader European framework,” he added.

“Nevertheless, our core mission remains unchanged,” he continued.

He explained that this involves “ensuring a resilient and trustworthy securities market in Cyprus; one that places investor protection at its core, reinforces market integrity, and contributes to long-term, sustainable economic development”.