Forex brokerages in the UK fall under the oversight of the Financial Conduct Authority (FCA). Overall, the UK financial watchdog is considered to be one of the strictest regulators in the world. It requires compliance with a number of strict rules that lower the risk of foul play on part of businesses and secure clients’ interests and funds.
So, UK forex brokers have to adhere to the highest regulatory standards, and if they fail to do so, the FCA imposes pretty salty fines.
Advantages of doing business with a FCA-regulated broker
– Minimum Capital Requirements – UK-based brokerages have to hold a minimum of €730 000 in net tangible assets in order to prove their good financial standing.
– Segregated Accounts – When a client deposits money with an FCA regulated broker, the funds are not directly transferred to the company. They are kept with a Bank, approved by the FCA, and the broker has limited access to them.
– Compensation Scheme – Regulation by FCA also involves additional guarantee to clients’ funds, since they fall under the umbrella of the Financial Services Compensation Scheme (FSCS). All FCA regulated brokers participate in the FSCS, and in case any of them goes bankrupt, clients can receive up to GBP 85,000 of their trading capital.
– MiFID (still) applies – Under the Markets in Financial Instruments Directive every broker licensed in a EEA country is entitled to provide financial services throughout the EU and EEA. The Directive also includes some important measures designed to improve investor protection and promote market integrity and transparency, such as transaction reporting. Although UK is currently in the process of exiting the EU, it seems that the British authorities are determined to remain highly integrated for the benefit of consumers.
Brexit Issues
UK will no longer be part of the EU and this creates a lot of uncertainty, the financial sector included. The FCA works closely with other European regulatory bodies to solve the issues arising from Brexit and, more specifically, passporting rights between the EU and UK.
A senior executive at FCA recently said that the agency is working on a Temporary Permissions Regime (TPR), which will allow EU financial firms to continue to operate in the UK, without having to apply for authorisation with the FCA. However, at this stage no reciprocal “TPR” arrangements are drawn up regarding UK companies looking to continue doing business with clients from EEA countries.
Below, you can find some of the best forex brokers, regulated by UK’s FCA.
UK Forex news
UK’s FCA warns against clone firm Clubb Capital ltd
Clubb Capital ltd is yet another clone firm that has been added to the long warning list of the Financial Conduct Authority
Clone firm First BTC FX blacklisted by UK’s FCA
First BTC FX is yet another clone firm that has been added to the long warning list of the Financial Conduct Authority
FCA warns against clone firm Europe FX Trade
Europe FX Trade is yet another clone firm that has been added to the long warning list of the Financial Conduct Authority in
Barclays no longer partners with Coinbase
Barclays no longer will provide banking services to Coinbase and that is affecting UK clients of the crypto exchange as it has
UK-based clone firm Profit Trade is blacklisted by the FCA
Profit Trade is yet another clone firm that has been added to the long warning list of the Financial Conduct Authority in
UK’s FCA issues warning against UK-based clone firm TBFX Limited
TBFX Limited is yet another clone firm that has been added to the long warning list of the Financial Conduct Authority in
UK’s FCA issues warning against UK-based clones TradevibeFX,Ultimatecryptofx and StockotradeFX
The clone firm operating under three broker brands -StockotradeFX \ Ultimatecryptofx \ Tradevibefx – is yet another that has been added to
Blockchain.com opens a UK based crypto exchange
Blockchain.com, a crypto currency wallet provider, which has created over 40 million wallets, supporting bitcoin, Bitcoin Cash, and Ethereum is about to
Scammers send fake FCA mails to investors, promising guaranteed returns
E-mails send by scammers, who pretend to be FCA officials are promising investors “guaranteed chance to earn” on crypto asset investments. The
Austria’s FMA issues warning against Universe Markets
Unregulated Forex brokerage Universe Markets has been blacklisted by the The Austrian Financial Market Authority (FMA). The country’s main financial regulatory suspects
Italy’s CONSOB issues warning against UK-based M.Success FX
The unregulated Forex brokerage M.Success FX presumably registered in the UK has been added to the warning list of the Italian financial watchdog Commissione
XM sister brand Trading.com will be launched in July
Trading.com, the new brand of Trading Point Group, which also operates one of the most popular forex and CFD brokers in the
UK’s FCA approves its first crypto hedge fund
Prime Factor Capital Ltd., a London-based hedge fund manager is the first financial company focused on the crypto market to be granted
FCA raises the leverage on government bonds to 30:1
Defying the guidelines of the European Securities and Markets Authority (ESMA), the Financial Conduct Authority (FCA) in the UK will now allow
UK’s FCA adopts permanent CFD and options rules
UK’s Financial Conduct Authority (FCA) will adopt permanent rules for trading forex, CFDs and CFD- like options, the regulator announced on Monday.
6 people arrested for stealing $27 mln crypto assets
In a joint operation with the Dutch police and Europol the UK law enforcement agencies have arrested 6 people in connection with
