Costas Cleanthous, the co-founder of XM Group, one of Cyprus’s most successful international companies, reveals details of his latest investment strategy focused on preserving Cypriot ownership of key national assets. In an exclusive interview, he discusses his recent acquisitions, including a majority stake in Ancoria Bank, the historic Forest Park Hotel, and his strategic investment in Phileleftheros Media Group, whilst reflecting on XM’s remarkable journey from a startup to a global financial services leader serving 10 million clients across 190 countries.
You have created a Cypriot business success story that began with two people and evolved into an internationally recognised company. Could you tell us about the beginning of this journey? What were your first steps and what vision inspired you to establish XM?
I have been asked many times to share the story behind XM’s creation as its co-founder. Given my recent investments in Cyprus, I believe now is the appropriate moment.
The venture commenced in October 2008. To secure the requisite licence and establish the company, we required capital exceeding one million euros.
We prepared a comprehensive business plan and spent months delivering countless presentations, both in Cyprus and internationally. Seven months later, we still faced a funding shortfall of €400,000.
It was then that support emerged from our inner circle. Friends and family members contributed from their personal savings.
Some secured personal loans, whilst others liquidated government bonds originally intended for their children’s future. The final €100,000 came from my mother’s pension lump sum—funds that had been allocated to settle my brother’s and my student debts.
In June 2009, we successfully established the company and submitted our application for an operating licence to the Cyprus Securities and Exchange Commission.
The approval process lasted one year. Upon receiving our licence, we possessed an exceptional product but lacked marketing capital, whilst operational expenses continued to accumulate.
Understanding our humble origins is crucial. Nevertheless, we prevailed.
As the smallest company in the sector, Cypriot XM had to compete against enormous American, Russian, British and Israeli companies that monopolised the market. As you describe it, at the time it seemed impossible. How did the story evolve and where does XM stand today?
In January 2011, 27 months after launch, following three near-bankruptcy episodes, we finally activated our first 122 clients.
We travelled to over 60 countries and hundreds of cities, representing XM’s brand. We slept in airports and reached destinations where Cyprus’s location was unknown. We delivered thousands of presentations and educational seminars, explaining our vision, values, products and strategy. We demonstrated why partnering with a small Cypriot firm offered greater value than engaging with an international corporation—and ultimately we succeeded.
Since then, XM has served over 10 million clients across 190 countries, with our platforms executing 11 billion trading orders valued at $100 trillion—metrics that establish us as the global industry leader.
Can you give us XM’s perspective, as an industry leader, on the role and importance of supervision in the financial sector?
The group exclusively serves clients through licensed entities under supervision of the Cyprus Securities and Exchange Commission and eight additional regulatory authorities, including the UK’s Financial Conduct Authority and the US Commodity Futures Trading Commission—among the world’s most stringent regulators.
All group companies maintain partnerships with internationally recognised banking institutions headquartered in Britain, Europe and America, which implement rigorous verification procedures for both our operations and client fund transfers.
Through strict oversight by regulatory authorities, international banking partners, and our internal compliance systems, we effectively mitigate risks associated with money laundering and terrorism financing.
XM ranks as the world’s most decorated broker, having received 53 awards since inception. Recent accolades include Best Forex Broker in Europe, Australasia and the Middle East from World Finance, plus recognition as the broker providing superior customer service globally.
How does XM’s activity translate into the country’s economy?
XM employs over 2,000 staff globally, yet we have deliberately maintained our headquarters in Cyprus and prioritised hiring Cypriots, distinguishing ourselves from sector peers and contributing significantly to the island’s GDP.
In March 2025, XM earned recognition as Cyprus’s premier employer for the fourth consecutive year, following assessment by Great Place to Work in the category of enterprises with over 250 employees.
XM operates an extensive Corporate Social Responsibility programme encompassing more than 630 initiatives domestically and internationally.
We support healthcare, education, athletics and vulnerable communities through initiatives including an autism centre for children, funding the University of Cyprus’s inaugural Artificial Intelligence Chair, and providing scholarships plus educational infrastructure across Cyprus, Asia and Africa.
Additionally, XM assists thousands of families with essential supplies, sponsors 100 athletes and sporting events including the Limassol Marathon, and supports over 30 charitable organisations.
For everyone at XM, our contribution to Cyprus transcends financial metrics. It represents a source of national pride that a Cypriot enterprise, launched with borrowed capital from friends, achieved global prominence.
As Cyprus’s most successful international company within our sector, we take pride in the values and principles that guided our foundation, sustained our growth and continue inspiring our future.
Since 2018, I have transferred XM’s management responsibilities and commenced personal investments across Cyprus and international markets in diverse sectors. I have also established the Cleanthous Foundation, whose flagship project involves constructing and donating a new paediatric oncology clinic to the state.
How was your investment activity decided regarding Ancoria Bank?
In recent years, I began investing personally in Cyprus across various sectors. In several cases, my primary goal is for businesses significant to the country, with historical value, to evolve.
The fact that among many interested parties, both Cypriot and foreign, Sievert Larsson chose our proposal gives me great joy and satisfaction.
The agreement includes a strong commitment from us that we will not only refrain from reducing jobs, as usually happens, but will create new quality employment positions in the Cypriot market.
The ultimate goal is the rational development of the bank—a Cypriot bank for Cypriot society, where clients will have genuinely personal service. Particular emphasis will be placed on supporting small and medium enterprises, which form the backbone of the economy and Cypriot business.
The agreement to acquire the majority stake in Ancoria Bank is naturally subject to approval by the Central Bank of Cyprus and the European Central Bank.
How did Forest Park begin as an investment?
Forest Park is not just any hotel. It is a piece of our island’s history and cultural heritage. My decision was never simply a business move.
Forest Park remains in Cypriot hands, and we fought for that. It wasn’t easy, but we succeeded. We didn’t allow another emblematic business to end up in foreign hands. The vision is to restore its aristocratic splendour with absolute respect for its environment and history.
We will create a jewel for the region and all of Cyprus. Forest Park will once again become a point of reference throughout Europe. The anticipated benefits for the local community are manifold.
The renovation and reopening of the hotel will create dozens of new jobs for local residents and contribute substantially to revitalising the local economy.
The hotel’s upgraded infrastructure and the expected development of the surrounding area will serve as platforms for showcasing and promoting local products, whilst simultaneously strengthening small family businesses and cooperatives.
Additionally, the broader Platres area is expected to transform into a popular tourist destination year-round, enhancing Cyprus’s profile as a destination of multiple experiences.
The hotel created by a Cypriot pioneer of the hospitality industry, along with its remarkable history and legacy, will continue.
I won’t hide it—I am particularly proud of this.
It was also announced that you are a strategic investor in Phileleftheros Media Group. How do you intend to contribute?
Phileleftheros Media Group and Cyprus’s major newspaper of the same name has a remarkable 70-year history, deeply rooted in Cypriot society.
My investment in the Phileleftheros group of companies has one purpose only: to continue its independence and ensure the continuation of credible and objective information in a sector under attack from all sides.
I have neither political aspirations nor the need to influence political decisions.
My aim is to give media freedom, impetus and prospects. Phileleftheros is set to evolve. We will invest in new media, technology and human resources so the organisation can meet the challenges of its time.
With respect for its past but with eyes fixed on tomorrow, it will continue to write history from a pole position.
