Broker registration

KeithN · 04-15-2008, 11:44 PM

Is it a statutory requirement for FOREX Broker/Dealers in the US, UK and Europe to be registered with an official authority?

Which broker/dealers have segregated client accounts?

I thank you in advance for answers.

KeithN

jeffsmith · 12-05-2008, 06:30 AM

It is not so that the broker in the US or Europe must be registered with the particular exchange of that country. It is all over the world. But still there are some broker how are running their brokerage firms without registration so please be cautious.

Dr.Hofmann · 12-10-2008, 12:32 AM

The most relevant regulatory bodies in the United States are Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA). There’s a long list of regulatory entities but that varies according to the country where the broker is located. Brokers whom you might rely on are usually those located in USA, UK and Australia. Don’t even think of places such as Caiman Islands nor Panama as the money regulations are very limited there.

jeffsmith · 12-10-2008, 07:44 AM

Quote:

Originally Posted by Dr.Hofmann

The most relevant regulatory bodies in the United States are Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA). There’s a long list of regulatory entities but that varies according to the country where the broker is located. Brokers whom you might rely on are usually those located in USA, UK and Australia. Don’t even think of places such as Caiman Islands nor Panama as the money regulations are very limited there.

Friend the regulatory bodies you have mentioned are the main with which the broker has to be registered. Without registration with these bodies brokers are not allowed to open a brokerage firm.

couscous · 12-11-2008, 01:22 AM

Quote:

Originally Posted by jeffsmith

Friend the regulatory bodies you have mentioned are the main with which the broker has to be registered. Without registration with these bodies brokers are not allowed to open a brokerage firm.

I understand that any broker should be registered and regulated by those entities. Though I would like to know how does it work for brokers working on different countries from US and UK. Do they have to be under regulation from those entities or do they have a different regulatory system? Thanks in advance.

RebateFX.com · 12-14-2008, 08:56 AM

As far as I know, a broker can operate in the US/UK without joining one of the regulator clubs (yes clubs. NFA and FSA are private organisations), but as soon as they establish an office, it will be made very difficult for them until they do join the club and pay their membership dues.

Ritpip · 12-17-2008, 02:19 AM

I wouldn't definitely trade with a broker that's not registered with NFA or any regulatoy entity. I've heard a lot of talk from people losing their investments, that I rather to avoid that. The first thing I looked when I was making my choice was that, though I found some good ones like Oanda, IBFX and Tradeview I had to continue checking some other features to be able to establish which one was the best for me.

Pip's wife · 12-17-2008, 02:32 AM

I also found those brokers as the best rated ones, so I gave them a try and I stuck with tradeview. I guess having the opportunity to compare gives you better foundations to make the best choice. Trade well

jeffsmith · 12-18-2008, 09:54 AM

Quote:

Originally Posted by Ritpip

I wouldn't definitely trade with a broker that's not registered with NFA or any regulatoy entity. I've heard a lot of talk from people losing their investments, that I rather to avoid that. The first thing I looked when I was making my choice was that, though I found some good ones like Oanda, IBFX and Tradeview I had to continue checking some other features to be able to establish which one was the best for me.

No question these brokers are nice and can trade them. The best way to judge a broker is to open a practice account with that broker if you are experienced in forex and have some knowledge about trading then you can go for a mini account also. This will help you to judge that broker.

Ritpip · 12-18-2008, 11:46 PM

Quote:

Originally Posted by jeffsmith

No question these brokers are nice and can trade them. The best way to judge a broker is to open a practice account with that broker if you are experienced in forex and have some knowledge about trading then you can go for a mini account also. This will help you to judge that broker.

Yes, it was actually my next step after verifying regulations. I downloaded demo accounts to check charting and feed, and also to check they are built in a logical manner. After all my comparison I stuck to Tradeview since al I've got from them are checkmarks on all my requirements for a broker.