+44 (0) 141 416 4444

Forex Regulators

The forex market is a complex and highly competitive space, and the role of regulatory bodies in maintaining its integrity cannot be overstated. Forex regulators are organizations that oversee and regulate the operations of forex brokers, ensuring that they comply with industry standards and providing a level of protection for traders.

Regulators have a crucial role in the forex market, as they help to maintain transparency and prevent fraudulent activities. They set rules and guidelines that brokers must follow to protect traders from unfair practices such as market manipulation, insider trading, and other forms of misconduct.

There are several regulatory bodies worldwide, with each jurisdiction having its regulatory authority. In the United States, for example, the National Futures Association (NFA) and the Commodity Futures Trading Commission (CFTC) regulate forex brokers. In the United Kingdom, the Financial Conduct Authority (FCA) is the primary regulatory body for forex brokers, while the Australian Securities and Investments Commission (ASIC) regulates brokers in Australia.

Regulators require forex brokers to meet strict financial and operational standards. They must maintain minimum capital requirements and keep clients' funds in segregated accounts to protect them from the broker's bankruptcy. They must also provide adequate risk disclosures and ensure that traders have access to reliable trading platforms and accurate market data.

Forex traders must ensure that their chosen broker is regulated by a reputable regulatory authority. This can help protect their investments and ensure that they have access to fair trading practices. Traders can check the broker's website or regulatory authority's website to confirm their status. The regulatory body's website will also provide information on any disciplinary actions taken against the broker, which can serve as a warning to traders.

In conclusion, regulatory bodies play a critical role in the forex market, and traders must work with regulated brokers to ensure a fair and transparent trading environment. Regulatory bodies set standards for brokers to follow, ensuring that traders are protected from fraudulent activities. Traders must also conduct their due diligence by checking the regulatory status of their chosen broker to avoid falling victim to scams and unscrupulous brokers. By working together, regulators and traders can help to maintain a healthy and thriving forex market.


Australian Securities and Investment Commission (ASIC)

Australian FlagASIC is the primary regulatory body for financial services in Australia. Established in 1998, ASIC is responsible for regulating and overseeing the conduct of companies, financial markets, and financial service providers.

ASIC's main goal is to maintain the integrity of the Australian financial system and protect investors' interests. The commission achieves this by enforcing strict regulatory standards and monitoring financial markets and service providers to ensure compliance.

ASIC is responsible for regulating a range of financial services, including banking, insurance, securities, and investments. The commission has the power to investigate and prosecute any company or individual found to be engaging in fraudulent or misleading conduct.

One of ASIC's primary roles is to ensure that financial service providers comply with strict licensing requirements. Any company or individual providing financial services in Australia must obtain an Australian Financial Services (AFS) license from ASIC. This license requires companies to meet strict financial and operational standards and comply with ASIC's regulatory requirements.

ASIC also requires financial service providers to provide clear and accurate disclosure of all fees and charges associated with their services. This helps to ensure that investors can make informed decisions about their investments and avoid any hidden fees or charges.

In addition to its regulatory role, ASIC also provides educational resources to help investors make informed decisions. The commission's website contains a wealth of information on financial services, investments, and the Australian financial system.

Overall, ASIC plays a critical role in maintaining the integrity of the Australian financial system and protecting investors' interests. By enforcing strict regulatory standards and monitoring financial markets and service providers, ASIC helps to ensure a fair and transparent financial system for all Australians. Investors can be confident in their investments knowing that ASIC is working to protect their interests and maintain a level playing field for all market participants


Canadian Derivatives Clearing Corporation (CDCC)

Being the Montreal Exchange’s subsidiary companу, CDCC fulfills the function of the principal clearing counterparty in the process of derivative output trading on the exchange. Apart from this function, CDCC performs as a counterparty in an increasing number of the off-exchange trade deals. To guarantee the steadiness and unity to the supported markets is the CDCC's basic aim.

The exceptional position taken up by CDCC among all the financial markets of Canada is easily explained by the following reasons:

· There’s no other counterparty equal to this unique corporation in options, futures and options on futures clearing and settling in North America.

· 35 years’ experience and practice in exchange-trading.

· According to the average audience rating got from Standard & Poor's CDCC proves to conduct both reasonable and standard risk assessment policies and a process sequence.

CDCC includes about 30 members, among which both main Canadian brokers and financial institutions are represented.

British Columbia Securities Commission (BCSC)

The BCSC is a state-run corporation able to control and govern a dynamic market due to its self-sufficiency and adjustability. Being one of the governmental agencies we report to the Legislature via the minister that bears responsibility for the Securities Act administration. BCSC’s self-financing signifies that not ratepayers but the participants of the market bear the securities regulation cost.

BCSC incurs a liability for the regulation of securities in British Columbia commerce via the Securities Act administration.

Public interest protection and promotion is BCSC main goal which can be achieved only by cultivating the following ideas:

·A fair and transparent securities market that guarantees public certainty and trust

·Creating securities industry characterized by competiveness and dynamics and thus providing vast opportunities for investors with their capitals.

Ontario Securities Commission (OSC)

All the capital markets of Ontario including equities, derivatives markets and fixed income are liable to the regulation by the OSC. Being a self-financed organization, the OSC is at the same time a state-run agency. It means that this commission is responsible vis-a-vis the Legislature of Ontario via the Minister of Finance.

Both the Commodity Futures Act and the Securities Act of the given province are administered and enforced by this regulatory body. The Business Corporations Act, and more exactly some of its provisions, is controlled and regulated by the OSC too.

According to the legislation the OSC’s duties are set out in the following areas: the development and enforcement of rules helping in investment safeguarding; the misconduct discouragement and prevention; the cultivation of fairness and integration at capital markets;  the fosterage of public certainty and trust in the markets.


Cyprus Securities and Exchange Commission (CySEC)

Cyprus FlagWidely known as CySEC, The Cyprus Securities and Exchange Commission corresponds to a regulatory body in the sphere of financial relations in the Republic of Cyprus.

When in 2004 the Republic of Cyprus was included into the number of European Union members, the CySEC became a part of European regulatory system MiFID. Since that time all the companies that have been registered in this Republic have been given access to the markets of Europe.

The CySEC watches that the Cyprian investment firms strictly followed financial instructions according to the legislation and the normative base of Cyprus and European Union. CySEC is a public body which supervises actions and the operations performed at stock exchange.

The incomplete list of obligations CySEC:

- Supervises activity of the licensed investment companies

- Observes activity of brokers and the broker companies

- Gives out current licenses to investment companies


Danish Financial Supervisory Authority (Danish FSA)

Denmark FlagThe Danish FSA’s main mission is to carry out the supervision of various financial ventures such as banks, superannuation funds, mortgage-credit institutions and insurance companies. Solvency supervision is one the basic priorities of this regulatory body. This supervisory activity means that all the financial ventures have to possess their own adequate funds in order to cover all their risks.

So all the Danish securities markets are controlled by this organization. It supervises as well if the given undertakings fulfill their duties and obligations concerning all the relevant information publication (prospectuses, internal knowledge etc.). At last, all the cases of market abuse are also prosecuted by the Danish FSA. Apart from a supervisory activity itself, this regulator performs as a collector of key statistics and as an assistant in financial legislation drawing up.

European Union

European Securities and Markets Authority (ESMA)

EU FlagSince 1 January 2011 ESMA has been functioning instead of former CESR (the Committee of European Securities Regulators). The latter one, being an independent organization set by European Commission, gave birth to ESMA. Since then ESMA has made its contribution to the protection and support of the EU financial system stability.

Close cooperation with EBA, EIOPA and other organizations connected with the supervision in banking, insurance and pensions assures ESMA to foster harmonization both across financial segments and among securities regulatory bodies. But the main aim of ESMA remains unchangeable - to create and support proper functioning of securities markets. It signifies to provide markets with the unity, transparency, efficiency and fairness. Improvement and reinforcement of the investment sector is another ESMA priority.


Federal Financial Supervisory Authority (BaFin)

Germany FlagSince its establishment in May 2002, BaFin has been carrying out the supervision of most financial undertakings in the country such as banks, insurance ventures and providers of all kinds of financial services functioning under the same roof. The Federal Ministry of Finance exercises control over BaFin. Being an independent public-law regulatory body, this organization is financed by dues and payments contributed by the supervised institutions and ventures. So thanks to this fee system, BaFin doesn’t depend on the Federal Budget.

As for BaFin’s main goal it’s, first of all, to operate in the public interest assuring due functioning, unity and stability of the financial system in Germany. BaFin’s solvency supervision consists in controlling financial institutions ability to meet their engagements concerning all kinds of payments. Preventing illegal business and enforcing professional behavior standards are other objectives of BaFin.


Financial Services Agency of Japan (FSA Japan)

Japanese FlagThe FSA is a Japanese regulatory body, undertaking to assure the financial system stability, to protect depositors, holders of insurance policies and investors of the securities market. Characterized by strict supervision, the FSA doesn’t only inspect private financial companies, but also carries out securities transactions monitoring. Taking by the FSA such measures as planning and policymaking provides financial system in Japan with transparent administration. Discipline and self-responsibility are the main principles of the existing national economy, and the FSA Japan supervises at all levels if these principles are followed by the participants of the market.

Financial systems qualitative repletion is another desired goal for the FSA. It can be achieved only by adapting financial regulations to such financial environmental changes as innovations and globalization.


Central Bank of Ireland (CBI)

Ireland Flag The Central Bank of Ireland is the financial services regulator of Ireland and historically the central bank. In compliance with Central Bank Reform Act 2010 the Financial Services Authority of Ireland (commonly known as the Central Bank) and the Irish Financial Services Regulatory Authority (financial regulator) were replaced by a new single body - the Central Bank of Ireland – which now fulfills both central banking and regulatory functions. The Central Bank controls the activities of all financial institutions in Ireland with the purpose to enforce and maintain fair and safe financial environment for consumers. It implements and monitors the consumer protection, the compliance of financial bodies with the established business and prudential requirements. It also fixes min competency requirements for companies. The Central Bank has created several statutory codes of conduct which force financial bodies within its jurisdiction to carry out operations fairly, transparently and solely in the interests of their clients. These protection codes are enforced by means of on-site inspections and backed up by enforcement powers.


Swedish Financial Supervisory Authority (Swedish FSA)

Sweden FlagThe Swedish FSA is a governmental agency. We strive for promotion of financial stability and assurance of consumer rights. Every company engaged in Swedish financial markets is liable to our supervision and authorization. Analysis of market patterns, evaluation of business soundness of firms, industries and market in general are within our cognizance. Paying due attention to risks and control measures, we ascertain conformity to the relevant normative acts.

We license every activity associated with financial services. Our legislative competence involves issuance of standards and amendment of current unqualified normative acts. Should incompliance or market rate manipulations become apparent, on-the-spot investigations will involve resident and non-resident Swedish companies.

We see to elaboration of accounting and reporting rules, guaranteeing that the public is kept posted on the activities pursued by the companies.


Swiss Financial Market Supervisory Authority (FINMA)

Swiss FlagFINMA protects the investing public, system and its reputation, and advances financial market soundness, thus, strengthening the competitive capacity of the financial sector.

FINMA regulates the activity of other financial organizations, ensures protection against money laundering, and sometimes it acts as the liquidator. FINMA authorizes operation of companies and ensures their compliance with normative acts and laws along with fulfillment of the licensing requirements. It provides lawful administrative aid and imposes penalties, if necessary. Moreover, FINMA exercises regulatory and legislative activity, issues acts and guidelines, providing for acknowledgement of the standards of self-governance. FINMA monitors the matters related to takeover proposals, disclosure, and appeals against decisions taken in this field.

UAI (Dubai)

Dubai Financial Services Authority (DFSA)

UAI FlagEconomic activity of a free target-oriented zone in Dubai is regulated by the DFSA.

Management of resources and securities, execution of banking and trust services, Islamic finance, exchange of international equities and derivatives, as well as insurance matters fall within the competence of the DFSA.

Activity of DFSA is based on a principle of risk-related regulation and avoidance of unnecessary regulatory implications. Besides, the agency made it clear that the obligations liable to fulfillment should comply with optimization of risks in order for such obligations to be successfully met.

Under the circumstances, the priorities include generation of a cycle of risk optimization that aims at identification, evaluation and assessment of risks in order to enhance local and international markets and their patterns.

According to DFSA, the reality of efficient risk-based regulation is more important than the way of its achievement.

Emirates Securities and Commodities Authority (SCA)

Fulfillment of federal tasks has always been the goal of Securities and Commodities Authority. Its normative acts establish and enhance the legal environment of the companies engaged in the securities business, thus, strengthening the Authority’s credibility.

The Authority continuously strives to enhance administration of the subordinate companies, alerting them to the general requirements set by the relevant federal laws and any other supportive normative acts.

The SCA shall license all securities markets in the UAE established in the form of electronically interconnected local public bodies.

Market management shall be ensured by the locally established Board comprising only those members that participate neither in any public joint-stock company nor in any brokerage activity.

The primary task of this agency lies in protection of the investing public, adequate enactment that promotes fair business and advances market efficiency, and adoption of the relevant control measures.

United States

Securities and Exchange Commission (SEC)

USA FlagSEC in the U.S. ensures protection of investors, maintenance of fair markets, and capital formation advancement. The main participants dealing with securities are controlled by the agency. The first concern of the SEC here lies in promotion of crucial information disclosure, protection against fraud and fair business relations.

Rational and well-educated investors are an important mechanism of efficient market functioning, since they serve as the major information source. A variety of information aligned with investor awareness is posted by the SEC on this website, including the database of documents liable to disclosure and submission.

The SEC regulates and controls the American securities markets in cooperation with many other agencies, including Congress, various private companies and other organizations. Notably, the Chairman of the agency and certain public officials participate in a working group on financial markets.

National Futures Association (NFA)

NFA is a self-governed sectoral organization representing American futures industry. Day after day NFA strain to elaborate regulations, programs and services meant to protect market integrity and investors, ensuring legal qualification of it Members.

Being an autonomous regulatory agency, NFA is unbound to any certain marketplace. It activity has no financial implications for the taxpayer and it is funded solely by users of the futures markets in the form of affiliation and assessment fees.

With rapid development of financial markets, NFA has become the leader in self-regulation field. Since the need for efficient regulation today is as substantial as ever, NFA’s reputation is rather beneficial for the market agents willing to share their experience, while NFA serves as a model of self-regulatory organization.

Financial Industry Regulatory Authority (FINRA)

FINRA is the largest independent agency regulating securities-related sphere of activity of various organizations in the U.S. FINRA’s objective lies in protection of American investors through assurance of fair and honest operation of the securities industry.

Every feature of the securities business, including registration and instruction of industry agents, elaboration and enforcement of rules and federal laws, evaluation of companies engaged in the field, training and instruction of investors, submission of trade reports, as well as administration of forum for dispute settlement, is covered by FINRA. Contractual market regulation for the key U.S. stock markets falls within our competence as well.

In this sophisticated global economic situation FINRA acts as a reliable representative of investors’ interests; its activity is devoted to assurance of market soundness and aimed at regulation of financial matters to protect the market and the investors themselves.

Commodity Futures Trading Commission (CFTC)

Economic benefit of the markets dealing with futures is assured by the CFTC through promotion of their competitive capacity and efficiency. It strives for protection of market agents against fraud in order to exclude manipulation and unfair commercial practice, paying due attention to the clearing process soundness. Effective supervision of the CFTC makes it possible for the futures markets to fulfill their key function and provide for price regulation and market risk optimization.

CFTC's activity is aimed at protection of market agents and individuals from fraud, manipulative action, abuse and constant derivative-related risk in conformity with relevant acts. Besides, its operation advances overt, viable and efficient markets.

United Kingdom

Financial Conduct Authority (FCA) (former Financial Services Authority (FSA))

 UK FlagThe Financial Conduct Authority (FCA) is a quasi-governmental UK agency, established as one of the successors to the Financial Services Authority (FSA). It regulates retail and wholesale financial services firms in the United Kingdom and maintains the integrity of the UK’s financial markets. The authority is vested with rule-making, investigative and enforcement powers, which it applies to ensure stability of the financial services industry and promote competition in the interests of consumers. In addition, the FCA has the power to impose a ban on financial products for up to a year while considering an indefinite ban and to demand that firms immediately retract or modify all promotions which it considers to be misleading.