FXCM UK does not offer bankruptcy protection

Discussion in 'Forex Brokers' started by T-Bone Trader, Jul 17, 2009.

  1. Got this at the bottom of an email from them:

    For recipients of this communication who are resident in the UK or have an account with Forex Capital Markets Limited ("UK recipients), this communication should be treated as having been issued or approved by Forex Capital Markets Limited. UK recipients should be aware that the rules made under the Financial Services and Markets Act 2000 for the protection of retail clients shall not apply and UK recipients will not benefit from the protection of the Financial Services Compensation Scheme in the UK. Forex Capital Markets Limited has no reason to doubt that FXCM Holdings, LLC will deal with retail clients in the UK in an honest and reliable way.
  2. Jason Rogers

    Jason Rogers ET Sponsor

    Hi T-Bone Trader,

    FXCM UK segregates client deposits and maintains funds in accounts earmarked for the benefit of customers. In the unlikely event of bankruptcy, such funds may not be used to benefit other creditors, but to ensure customers receive back their deposits.

    This is done in accordance with client money rules found on the FSA website http://fsahandbook.info/FSA/html/handbook/CASS/7/4 and our registration number is 217689 if you would like to contact the FSA to confirm.

    The financial services compensation scheme is a separate program http://www.fscs.org.uk/consumer/key_facts/limitations_of_the_scheme/compensation_limits/