This is what I got from I G Index
Dear Sir/Madam,
Thank you for your enquiry.
Your account funds are held with IG Index in accordance with the FSA Client Money Rules (link below).
FSA Handbook - Full Handbook
Should your account funds be held in a segregated bank account (all client funds are segregated unless requested by the client in writing), in the unlikely event of the insolvency of IG Group Holdings Plc, your funds are fully protected. In such an event, you would be entitled to obtain your full account balance.
If you have signed a Title Transfer form to authorise transfer of your funds to a non-segregated bank account, your funds are not protected and could potentially be accessed by Creditors in the event of insolvency.
In the event that the ‘deposit takers’ (Banks with whom we hold clients’ funds) collapse,
all client money – segregated and non-segregated would be lost. However, the FSA Compensation Scheme protects and guarantees the first £35,000 of the clients’ money. So, if you hold less that £35,000 with IG, you will be entitled to all of your money if our bank collapsed.
Further information about the treatment of your funds by IG can be found in our Customer Agreement (Client Money, section 17).
Should you have any further queries or requests, please do not hesitate to contact us.
Kind regards,
Lizzie Counihan
IG Index plc Client Services
Friars House | 157-168 Blackfriars Road
London | SE1 8EZ |
IG Index - Financial Spread Betting |
Freephone: 0800 409 6789
International: +44 (0)20 7896 0079