Financial security

Segregation of client funds

In accordance with FCA regulations, all client funds are held separately from our own funds in credit institutions regulated by the EEA. This ensures that clients' funds are available to them at all times, are verifiable and cannot be used by TFM Broker for any purpose. In addition, under UK insolvency (bankruptcy) law, customer funds are protected and therefore not available to non-privileged creditors in the event of a company bankruptcy.

TFM Broker reconciles client funds on a daily basis in accordance with FCA requirements. Reconciliation ensures that customer assets are accurately reflected in segregated bank accounts. The total value of the client's trading account is treated as the client's funds. (The Company) is regulated and reports to the UK Financial Services Authority (FCA) and is required to submit a monthly ClientMoneyAssetReturns.

The control and management of the funds of TFM Broker's clients are audited annually by our auditors, who report to the FCA.

If a bank that stores customer funds in segregated accounts goes bankrupt, all losses will be divided among customers in proportion to their share of the total funds held in the bankrupt bank's accounts. Funds lost as a result of a bankruptcy regulated by the Banking Regulatory Authority (PRA) will be reimbursed under the Financial Services Compensation Scheme (FSCS) of up to £ 85,000 per customer. Funds lost as a result of the bankruptcy of the European Bank will be reimbursed in the amount of up to € 100,000 to each client under the Deposit Insurance Scheme.

Financial Services Compensation Scheme (FSCS)

The Financial Services Compensation Scheme (FSCS) exists to protect customers from bankruptcy of a financial services provider. The FSCS Independent Authority can provide compensation of £ 85,000 if a firm ceases to operate due to a negative balance in segregated customer accounts. The FSCS also pays compensation of up to £ 85,000 if a PRA regulated bank that holds customer funds in segregated accounts goes bankrupt.

Deposit insurance system

Insurance Scheme Deposit guarantee schemes (DGS) are limited to account holders of a bankrupt bank. In accordance with EU regulations, insurance schemes cover the savings of bank account holders up to € 100,000.

In Europe, payments are organized at the national level, although minimum standards have been agreed at EU level. In accordance with similar schemes, the EU regulation guarantees the payment of € 100,000 to each depositor. In some member states, there are several schemes applied by different banking groups such as savings banks, cooperative banks, public sector banks or private banks.