MoneyTec 2.0 - Online Forex Traders & Brokers Social Networking Community » Trading Talk » General Trading Forum

[brianlav]

This is not a better in my lawn thread. Just some fact-checking about where you'll get the more protection about your brokers.

What kind of protection are you getting in the US ? I am just reading about NFA being willing to close some brokers with not enough capital but besides that... (please correct me if I am wrong, I am always looking for new info).

In the UK, you get FSA + FSCS. With a broker like mine (Alpari, I guess they are not the only one providing that, but I guess too not everyone is offering that), you get segregated account (protection from some of your money) plus FSCS insurance.
Which means that if the company (or the branch, not sure), goes down, I'll get up to 5k $ quickly and the rest later with FSCS.

So, am I right to say that your trading money is more protected this side or the ocean ? Or did I miss something ?

[jeff15]

The main reason of concern is that the UK economy cannot be able to spend any longer, as the viewpoint on public finance is getting very serious. In the last weekend, the Treasury said that the government is building requirements to cover the losses stalked by the financial save packages. So far, UK is the first to confess that the taxpayers will support to banking system sufferers, although more countries determined to invest funds in the banking system.