How to check whether a broker is regulated by FINMA ? Compared with the complex regulatory inquiry process of other regulatory agencies, FINAMA is relatively simple. FINAMA’s official website publishes the list of regulated companies in real time. Investors can go to the official website to directly download the list for viewing; they can also directly search and query. The specific operation is to select the "Banks and securities dealer" category in "Category", and then enter the company name in the previous column. After searching, the company name, address, and other information will appear below. Investors can check it carefully. Swiss Financial Market Supervisory Authority website: https://www.finma.ch/de, select language English (EN). How to check whether a broker is regulated by the FCA ? Enter the FCA regulatory inquiry page and enter the regulatory number or company English name: https://register.fca.org.uk/ Note: If you search by the company's English name, several companies may appear. In this case, please judge based on the registration number. Confirm regulatory status (Status) Common status: (1) Supervised status: Authorized; (2) No longer under supervision: No longer authorized; (3) EU regulatory status: EEA Authorized; (4) Authorized representative statusAppointed representative; How to check if a broker is regulated by ASIC? Before starting the query, first understand the differences between AFSL, ABN, and ACN. ACN stands for Australian Company Number, Australian company registration code, a total of 9 digits. All companies in Australia must register for ACN, which is equivalent to domestic industrial and commercial registration. ABN stands for Australian Business Number, Australian company business code, with a total of 11 digits (composed of a two-digit tax number and a nine-digit ACN number). Having an ACN does not necessarily mean having an ABN. For example, some dormant companies do not have an ABN. If there is an ABN number, there must be an ACN number. The full name of AFSL is Australian Financial Services Licensee, an Australian financial services license, usually with 6 digits. Only companies engaged in financial services have AFSL. The Australian regulatory number commonly referred to in the industry is the AFSL license number. ACN and ABN are just the most common registrations. Companies with only ACN and ABN are not qualified to engage in financial derivatives. Tips on preventing fraud: If a broker advertises that it is regulated in Australia and the regulatory number is 9 or 11 digits, then there must be something wrong with this company, because the 9 digits are ACN and the 11 digits are ABN. ACN or ABN are not regulatory numbers at all. To check whether the broker has an AFSL license and whether the license's business scope includes retail foreign exchange business, directly open the ASIC official website to check, http://www.asic.gov.au/ It is worth noting that ASIC does not indicate the company’s website address, so traders cannot be sure that the regulatory number they are querying belongs to the platform provider. Therefore, to inquire about platforms regulated by ASIC, traders need to log on to the Australian Financial Complaints Authority (AFCA) website and inquire about the platform’s contact details. The first step is to log in to the AFCA official website https://www.afca.org.au/ and click on "Make a complaint". In the second step, click to enter "Start the complaint process". In the third step, click to enter “Find your financial firm”. Step 4: Enter the company name, complaint protection number, or ABN/ACN number to query company information. The fifth step is to check the company website and contact information. Here are a few things to note when checking out a broker regulated by ASIC: Take a look at the regulatory status current. Second, look at the EDR, indicating that retail customers are accepted. Third, look at derivatives (financial derivatives) and foreign exchange contracts. Fourth, confirm the website of the truly regulated company and query it through EDR. How to check whether a broker is regulated by the US NFA? The National Futures Association is a non-commercial independent regulatory agency that oversees the U.S. derivatives industry. It is a for-profit membership organization. Its regulatory scope includes futures trading, retail currency pair trading, and over-the-counter derivatives. For more than 40 years since its establishment, NFA has insisted on maintaining the ethics and harmony of the futures market, protecting the interests of investors, and supervising members to comply with regulatory responsibilities. The main function of NFA is to implement strict management to ensure that NFA members strictly comply with federal laws and rules established by the CFTC. NFA also has its own rules to supervise the conduct of brokers towards traders and investors so that traders and investors are protected from deception. The U.S. NFA is an organization that strictly regulates the currency pair trading industry. Brokers that obtain its retail currency pair trading license often represent the top of the industry. Therefore, there are always black platforms in the currency market that lie about having a US NFA license, or take advantage of most people's lack of understanding of NFA members to get away with it. What investors don’t know is that in addition to RFEDs (retail brokers), futures agents (FCMs), introducing brokers (IBs), commodity trading advisers (CTAs) and commodity joint venture fund managers (CPOs) can also become NFA members . There must be RFEDs in the United States to be truly retail brokers regulated by the NFA. A broker claiming to have a regulatory number and being an NFA member does not necessarily mean that the broker can operate retail currency pair trading brokerage business. 1.NFA final query page: http://www.nfa.futures.org/basicnet/ How to query? Step 1: Enter the query page http://www.nfa.futures.org/basicnet/ BASIC page, the full name is Background Affiliation Status Information Center (NFA member background information information center). Step 2: Enter the regulatory number in the NFA ID. For example, OANDA's regulatory number is "0325821", or enter its English name "OANDA" in the Firm name and click "go". Step 3: In the regulatory information page, first look at three key points: first, whether the company’s name is consistent with the name published on the company’s official website; second, whether the NFA ID is consistent with the name published on the company’s official website; third Check whether the company address is consistent with the company address published on the official website. Step 4 (the most important step): Investors must also check whether the broker has retail qualifications: whether there is RETAIL FOREIGN EXCHANGE DEALER REGISTERED (RFEDSs retail broker) in the Current Status. Retail brokers must have this, otherwise it will be a black platform under the guise of NFA. 2. Query the company’s net capital and customer fund isolation reports in BASIC (1) Follow the above steps to enter the company’s regulated business authority page (2) Click View Financial Information (3) Click on the company’s capital report content In 1983, NFA introduced arbitration, establishing a fair, just and efficient process for resolving customer complaints. Subject to certain specific exceptions, when a customer initiates arbitration against an FCM (Futures Broker), IB (Introducing Broker), CTA (Futures Trading Advisor) or CPO (Futures Fund Manager) member or joint member, NFA The arbitration results are mandatory. Its ruling is enforceable unless the respondent has ceased business. Investors can obtain corresponding compensation through NFA arbitration. After one party proposes arbitration, both parties make statements and provide corresponding evidence, and then the NFA arbitrator makes a ruling. NFA arbitration is cheaper and shorter than formal litigation. Both parties do not need a lawyer to file a claim. After acceptance, NFA will reply to you to confirm the appeal, and both parties can check the progress status of the appeal online. In order to save costs and time and improve efficiency, when the amount of compensation involved is less than US$150,000, the arbitration procedure will usually be transferred to the mediation stage, which will be resolved by one arbitrator through written mediation, so that the complaining party and the respondent can reach a unified solution.
Add
Stay in touch!
Subscribe to our newsletter to get the latest updates on live market analysis, trading strategies and more. You can unsubscribe anytime.
By subscribing, you agree to Trading.live Privacy Policy.