Is your money safe with your broker? | Page 7 | Forex Factory

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Is your money safe with your broker?

  • #121
  • Feb 27, 2018 9:40pm Feb 27, 2018 9:40pm
Some brokers offer "segregated accounts".

Here is a quote from Dukascopy:

"Clients' Trading Accounts with Dukascopy Bank can be funded via money transfer, bank guarantee, credit/debit cards funding or segregated accounts with Swiss Banks. The custodian service, in cooperation with a number of Swiss Banks, allows clients to keep money in their banks while getting credit line to trade in the Swiss FX Marketplace. The custodian service consists of automatic daily settlement of P&L and trades in the client's bank account. In this case, clients trade directly with Swiss Forex Bank & Marketplace from their personal Swiss Bank Accounts, without making funds transfer to Dukascopy Bank."

There are some other brokers also offering this service however most of the time it is only for large accounts (100k+).
Another option is keeping the money in your own bank account: if you plan to trade a 50K account, deposit 10K in to the broker account and keep the other 40K in your own bank, if you get a DD you can refill the account. This way if the broker would fail and you are not protected by FSCS or any other service, you lost only 20% of your trading capital instead of 100%.
  • #122
  • Jul 10, 2018 6:41am Jul 10, 2018 6:41am
I am looking to become a more active trader next year so have been making some enquiries into the safety of funds with UK Brokers.

I was under the impression if your FCSA protected Broker went into liquidation your money would be refunded under the Financial Services Compensation Scheme however having made some enquiries with the FSCS I was surprised to discover that this is not the case and your funds are not protected at all.

I copy and paste the answer from them below.

Does anybody know if there is a safer option for your funds or can you deposit money to trade with any Banks in the Uk?




Good Afternoon,


If the funds are invested with no advice to yourself then these would not be protected by the FSCS.


Kind regards

Customer service team

Financial Services Compensation Scheme

[email protected]

  • #123
  • Jul 11, 2018 7:20am Jul 11, 2018 7:20am
Many people write that it is impossible to make money on Forex. Of course, from the part they are right, but there are nuances. I want to tell you how I came to this market, what I could achieve and through what difficulties I had to go through.
I met Forex 5 years ago, I completed training, started trading and lost almost all of my deposit. Do you know why? Not because I was led to a loss, but because at various courses we get 5% of useful information about the trade. So how do you make money on Forex? From my experience, I can say that you can do everything if:
- You can risk the sums of money without fear of losing them. I can do that! I close the deals that went at a loss and do not regret it, even if the price went up, but if not?!
- You must give this work 10 hours a day minimum. I, for example, can conduct my position for hours, I cannot even go to the toilet.
- What moves the prices? The whole world!
- Broker platform. On the Internet, many brokers are now represented, but you must know that many of them work inappropriately. In total, I changed about 5 brokers, now I'm working with the Golden Markets platform.
- Follow the news, analyze the behaviour of the currency on history, etc.
- Deposit. Frankly, I cannot give recommendations, you can start with any amount, how much you can decide to risk everyone himself.
Are you ready for this? You decide!
Summarized: Can I earn a million? It is possible and even more. Do not go to any courses, everything you need is in the internet, only you need to find the information you need.
  • #124
  • Jul 11, 2018 9:43am Jul 11, 2018 9:43am
I feel pretty safe with my broker because it is holding clients’ money in segregated bank account, i.e. separately from any company’s funds which means that my investment should be safe in case of bankruptcy. As an addition, it is member of the Investor Compensation Fund.
  • #125
  • Jul 11, 2018 7:35pm Jul 11, 2018 7:35pm
Quoting timblack
Many people write that it is impossible to make money on Forex. Of course, from the part they are right, but there are nuances. I want to tell you how I came to this market, what I could achieve and through what difficulties I had to go through. I met Forex 5 years ago, I completed training, started trading and lost almost all of my deposit. Do you know why? Not because I was led to a loss, but because at various courses we get 5% of useful information about the trade. So how do you make money on Forex? From my experience, I can say that you can...
The title of the Thread is .. Is your money safe with your broker ?.. Yet you trade with Golden Markets .. a broker from a unrecognized licensed centre.

Why ?
  • #126
  • Jul 12, 2018 6:37am Jul 12, 2018 6:37am
nothing is safe these days, brokers that appear legitimate can turn out to be frauds and your money can be lost

"keep only the money in your account that you can afford to lose," well, this statement is kind of bad because losing money is never good but you should not have to worry so much about it being lost
Don't Worry Be Happy
  • #127
  • Jul 16, 2018 6:14am Jul 16, 2018 6:14am
Quoting lasty
{quote} The title of the Thread is .. Is your money safe with your broker ?.. Yet you trade with Golden Markets .. a broker from a unrecognized licensed centre. Why ?
I can only judge in relation to me how the platform works, timely payments, support services, etc.
Therefore, I can say, having passed a lot with my broker, that yes, my money is safe with my broker.
  • #128
  • Jul 18, 2018 7:28am Jul 18, 2018 7:28am
Quoting CHFJunkie
If you plan to deposit these amounts with a broker, then choose a futures broker, then your funds will be insured and you will not have to worry. PFGbest is one
I won't say that is 100% true, look at Lehman Brother, Refco Futures & MF Global, they were once the top FCM in the world, you just need to understand how they run their business and who are the Top Management who manage the company.

Easy to say, just use some common sense to see if the broker's offer are too good to be true.

My 2cents, other people may disagree.
  • #129
  • Jul 18, 2018 7:33am Jul 18, 2018 7:33am
Quoting UlliC
I feel pretty safe with my broker because it is holding clients’ money in segregated bank account, i.e. separately from any company’s funds which means that my investment should be safe in case of bankruptcy. As an addition, it is member of the Investor Compensation Fund.
I am asking some dumb question, how do you or we know that our fund deposited with the broker are segregated? I know most of them said they do.
Do they really segregate our fund?

https://www.cftc.gov/sites/default/f...parefco-96.htm

The above news may be old, but the segregated rule was already in place, it still happened.
  • #130
  • Jul 20, 2018 8:11am Jul 20, 2018 8:11am
Dear Tim (and anyone who have experience), can you please advice how do you choose safe broker? I have tried trice to start it. Twice I have lost all on trading by myself, but third time broker just left with my money. What should warn me when Im choosing platform?
  • #131
  • Jul 20, 2018 11:51pm Jul 20, 2018 11:51pm
100k is max money you can trust with a broker. only if they are A class broker.
Help Others with GOD help
  • #132
  • Jul 27, 2018 12:11am Jul 27, 2018 12:11am
I have been trading with a regulated broker CIBfx since 2016. And never faced any issue regarding withdrawal of payments and deposit services. It is also providing me a complete user friendly trading package which consists of lower spread, good leverage, very smooth trading platform with 24 hours customer care support via experts.
  • #133
  • Jul 27, 2018 3:30am Jul 27, 2018 3:30am
Quoting Kate1978
Dear Tim (and anyone who have experience), can you please advice how do you choose safe broker? I have tried trice to start it. Twice I have lost all on trading by myself, but third time broker just left with my money. What should warn me when Im choosing platform?
Honestly, first of all, I want to tell that any opinion is risky anyway. Markets are difficult, Crypto is crazy. You should learn how to "surf" on this wave. So about safety you should always keep withdrawal money. You should make a smart money management to not use your last money for trading. Never gamble! Try to do it your hobby!
  • #134
  • Aug 12, 2018 12:51am Aug 12, 2018 12:51am
If the broker is legit and reliable it is fine. If it is another scam broker, than you can not do anything to redraw you money.
I have been scammed once(good with just $200) but still a bad experience, and good lesson.
  • #135
  • Aug 13, 2018 7:06am Aug 13, 2018 7:06am
Depends who you trade with, its takes time to build trust with a broker. I trade with multiple brokers at one point and never keep all my funds with one. I hv 10k+ with 2 brokers and few hundred bucks with others.. so I start anywhere bet 200 to 500 bucks and increase my account to 5k in 6 to 8 months plus (depending the broker is behaving nicely ).. so that is how I shortlist my brokers. And I don’t fuss much about regulation, I have some very bad exp with the regulated and some very nice experiences with the unregulated. my most trusted broker is turnkeyforex (10k+) at the moment and im growing to trust pepperstone (roughly 5k aud) as well... Hope it helps..
  • #136
  • Last Post: May 18, 2019 11:04am May 18, 2019 11:04am
Quoting supremeChaos
small account, large account... it doesnt matter if the broker is fraudulent. that's why we have to research on brokers. some offer segregated accounts &/or insurance if u have such concerns, then why not try putting in only a small amount ($1 up for some brokers)... until u feel comfortable adding some more. no one is obligating u to put all your money in one/several of them. u really have to be self-reliant. but asking around helps too. (not the basic questions which u can read up on your own)
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