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FCA

Financial Conduct Authority - UK's top-tier financial regulator, globally respected.

Quick answer

The FCA is the UK's financial regulator - the gold-standard Tier-1 licence. FCA rules include retail leverage caps, negative balance protection, and access to the Financial Ombudsman.

Definition

FCA (Financial Conduct Authority) is the UK's financial services regulator, widely considered the gold standard globally. FCA-regulated brokers must meet strict capital requirements, segregate client funds, and provide negative balance protection. The FCA also requires brokers to publish the percentage of retail accounts that lose money and to offer negative balance protection, so losses can never exceed your deposit. It is the benchmark most other regulators are measured against.

How It Works

  • Regulates all financial services firms in the UK
  • FSCS protection up to £85,000 per person
  • Leverage capped at 30:1 for retail forex
  • Strict rules on marketing and client money

Trading Tips

1

FCA regulation is considered the best protection

2

Verify brokers on FCA Register before depositing

3

FSCS compensation if broker fails

Sources

  • FCAUK regulator, register of authorised firms
  • FSCSUK compensation scheme (up to 85k)
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