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Safety of funds at FX dealer

  1. This topic has been rehashed to no end on ET but in light of recent events , it should be of increased concern I believe.
    For ex. Oanda holds your funds with JP Morgan, so far so good for JPM but what happens if the custodian bank goes under ?
    There is no FDIC here.

    Anyone knows another FX dealer allowing mini lot trading with some sort of insurance on funds such as Lloyds or FDIC ?
     
  2. IB has Lloyd's
     
  3. There are some in Europe, for example ABN Amro or Saxobank. Minimum bank insurance in the EU is EUR 20K if i remember correctly, many provide more than this minimum.

    Most UK FX shops are members of the 'Financial Services Compensation Scheme' (Hotspot EU division i.e.) - but you got to read the fineprint, for example Alpari UK does not provide that.