Chile Menez
New Member
firm.
2) If regulated, how trustworthy is the regulatory body?
Some scam brokers claim to be regulated and registered by a governing body that does not monitor or regulate forex companies.
For example, let’s look at Evolve Markets.
Evolve Markets
The disclosures at the bottom of the homepage give the appearance of a regulated broker. There is a warning of the risks of trading CFDs, and there is a legal section. Upon further examination of the legal section, you’ll notice that while the firm is registered as an international broker company in St. Vincent & the Grenadines, it is not regulated.
This statement from St. Vincent & the Grenadines shows there is a warning against false claims of registration or license.
How do I know what regulatory bodies are legitimate?
Forex brokers that are regulated in a major hub are always more trustworthy. Brokers in emerging hubs can also be trustworthy, but caution is warranted. Based on our annual study of regulatory trustworthiness, here is a list of the regulatory bodies we track and how trustworthy each one is:
FCA Regulated – Financial Conduct Authority – United Kingdom – (Great)
CySEC Regulated – Cyprus Securities & Exchange Commission – Cyprus (OK)
ASIC Regulated – Australian Securities & Investment Commission – Australia (Good)
SFC Authorized – Securities Futures Commission – Hong Kong (Good)
MAS Authorized – Monetary Authority of Singapore – Singapore (Good)
FSA Authorized – Financial Services Agency – Japan (Good)
IIROC Authorized – Investment Industry Regulatory Organization of Canada – Canada (Good)
FINMA Authorized – Swiss Financial Market Supervisory Authority – Switzerland (Good)
FMA Authorized – Financial Markets Authority – New Zealand (OK)
Conclusion: Double check the authority of the governing body that regulates the broker you are looking at. You can go to the website of the governing body to search for the registration number and verify its legitimacy. To help investors find a trusted broker where they live, we have created country-specific forex broker guides.
2) If regulated, how trustworthy is the regulatory body?
Some scam brokers claim to be regulated and registered by a governing body that does not monitor or regulate forex companies.
For example, let’s look at Evolve Markets.
Evolve Markets
The disclosures at the bottom of the homepage give the appearance of a regulated broker. There is a warning of the risks of trading CFDs, and there is a legal section. Upon further examination of the legal section, you’ll notice that while the firm is registered as an international broker company in St. Vincent & the Grenadines, it is not regulated.
This statement from St. Vincent & the Grenadines shows there is a warning against false claims of registration or license.
How do I know what regulatory bodies are legitimate?
Forex brokers that are regulated in a major hub are always more trustworthy. Brokers in emerging hubs can also be trustworthy, but caution is warranted. Based on our annual study of regulatory trustworthiness, here is a list of the regulatory bodies we track and how trustworthy each one is:
FCA Regulated – Financial Conduct Authority – United Kingdom – (Great)
CySEC Regulated – Cyprus Securities & Exchange Commission – Cyprus (OK)
ASIC Regulated – Australian Securities & Investment Commission – Australia (Good)
SFC Authorized – Securities Futures Commission – Hong Kong (Good)
MAS Authorized – Monetary Authority of Singapore – Singapore (Good)
FSA Authorized – Financial Services Agency – Japan (Good)
IIROC Authorized – Investment Industry Regulatory Organization of Canada – Canada (Good)
FINMA Authorized – Swiss Financial Market Supervisory Authority – Switzerland (Good)
FMA Authorized – Financial Markets Authority – New Zealand (OK)
Conclusion: Double check the authority of the governing body that regulates the broker you are looking at. You can go to the website of the governing body to search for the registration number and verify its legitimacy. To help investors find a trusted broker where they live, we have created country-specific forex broker guides.
