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InstaForex regulation
Across a hundred brokers, the licence is what separates the field fastest. Here is InstaForex's regulatory record in full.
Facts last checked . Read the full InstaForex review.
Regulation and safety
- Regulated by
- British Virgin Islands Financial Services Commission (BVI FSC), SIBA/L/14/1082
- Regulator tier
- Tier 3
- Register entry
- BVI FSC Investment Business register
- Client money segregated
- Yes, segregated accounts available
- Held at
- Regulated banking institutions
- Negative balance protection
- No
- Compensation scheme
- No statutory investor compensation scheme
- Audited by
- Independent external auditor
- Not available to
- United States and other jurisdictions where services are restricted or prohibited
What this means
Across a hundred brokers, the licence is what separates the field fastest.
InstaForex's licence is offshore (FSC). Offshore entities typically offer higher leverage and lighter reporting, and compensation schemes do not apply - the trade-off is protection, not price.
An FSC licence (Mauritius or Belize, depending on the entity) is an offshore authorisation with lighter reporting duties than a tier-one regulator.
Client money is held separately from the firm's own money, at Regulated banking institutions. That separation is what makes your balance recoverable if the company fails, rather than part of the pool its creditors divide up.
There is no negative balance protection. In a fast market a position can gap straight through your stop, and without this the resulting debt is legally yours - you can lose more than you deposited.
Covered by No statutory investor compensation scheme, which pays eligible clients up to its limit if the firm fails owing client money.
Questions about InstaForex regulation
Who regulates InstaForex?
InstaForex is regulated by British Virgin Islands Financial Services Commission (BVI FSC), SIBA/L/14/1082.
Is client money segregated at InstaForex?
Yes. InstaForex holds client money separately from its own funds, at Regulated banking institutions.
Does InstaForex offer negative balance protection?
Negative balance protection at InstaForex is recorded as: No.
Regulation at brokers under the same regulator
- AvaTrade regulation also licensed by FSC (BVI)
- Exness regulation also licensed by FSC (BVI)
- easyMarkets regulation also licensed by FSC (BVI)
- TopFX regulation also licensed by FSC (BVI)
- iFOREX regulation also licensed by FSC (BVI)