Explanations of how broker regulation works, documented enforcement history, and step-by-step instructions for verifying any broker's regulatory status independently.
Regulation is the primary factor separating a trustworthy broker from an untrustworthy one, and also one of the most widely misunderstood. Many traders know to check a broker's regulation but are less clear on what a licence protects, what it does not, and how to confirm a broker's status without relying on the broker's own claims.
The guides explain how the major regulators operate, including the FCA, CySEC, ASIC, CFTC and ESMA. Each guide covers what a licence requires of a broker, the client-money protections it carries, and the limits of that protection. Enforcement history is included because a regulator's past actions indicate how rigorously its framework is applied.
Instructions for verifying a broker's regulatory status directly cover which register to search, what details to match beyond the licence number, and how to confirm that the entity holding the licence is the same entity opening the account, a distinction that determines what happens to client funds if a broker fails.
A licence badge displayed on a broker's website is a claim, not proof. Independent verification should be a routine step.
Suspect a broker is fraudulent? See active scam alerts. For safety-rated assessments, browse our broker reviews.
Risk warning: Trading forex and CFDs carries a high level of risk to your capital. You should consider whether you understand how these instruments work and whether you can afford to take the risk of losing your money.