How ICF will compensate your loss on Forex Brokers? -CySEC Regulated Brokers-

There are many financial regulations, awards and other entities that Online Forex Brokers have registered.

But not so many major regulations are known worldwide.

If you are going to point out some major financial regulatory authorities, that would be:

CySEC in Cyprus
FCA in United Kingdom
ASIC in Australia
JFSA in Japan

and etc.

It is also important to choose your Forex Broker by the level of regulations.

CySEC to be the most popular license

Many brokers have been regulated by this most popular financial license in the world, “CySEC”.

The regulation is user-friendly and broker-friendly and keeps balanced financial markets fro everyone.

CySEC also takes a good care of its regulated brokers and clients.

One of the merit of choosing a broker regulated by CySEC is that the broker is a member of ICF(Investor Compensation Fund).

What if your broker goes bankrupt or reject your withdrawals?

You may be careful with the brokers which is regulated by some minor financial authorities.

If a broker has registered its official address and has acquired financial license based in some foreign islands which are not even habitable, you cannot do anything if anything should happen to your funds.

In terms of security of your funds, CySEC licensed Brokers have got a certain level of insurance.

CySEC Regulated Brokers with ICF

It is a mandatory thing for all CySEC regulated brokers to be a member of ICF(Investor Compensation Fund).

ICF will take necessarily actions in case your CySEC regulated broker failed to meet its obligations with its clients and these clients demand for a compensation for the loss.

ICF holds about 17.5 million Euro as its funds, so the they can protect investors financially.

The available compensation amount is up to 20,000 EUR for one person.

So in case a CySEC regulated broker goes bankruptcy, there are mainly two options you can expect.

The broker gets absorbed by other company and all trading accounts will be moved with the funds
The broker closes its business and send back all client funds to the owner and ICF will compensate if necessarily

You can not confirm that regulated brokers can be fully trusted and safe, but it is one big motive for investors to trust the brokers.

If you are looking CySEC regulated brokers, here are some CySEC regulated Brokers.

FxGlobe

Broker for Money Managers with low spread.

fxglobe