The Austrian group Quadriga AG has been ordered to halt the sale hedge fund products in Germany by regulators at BaFin, a company official confirmed.
The order comes not because of foul play in Quadriga's futures-focused products, which weigh in at $1.3 billion worldwide. BaFin's regulatory decision was rooted in the structural issues with Quadriga's setup, which was found to be in violation of German banking laws that prescribe who can sell financial products to individuals in that country.
BaFin's position so far seems to be that only recognized banking groups can sell hedge funds. The German regulatory action