How FSA Regulates Forex Spot and Futures Trading?

[Hayek]

I try to look for relevant information within "Financial Services and Markets Act 2000".Toooo many entries, almost impossible for new readers to find out where the useful contents are. Anyone can give me a help on which part of the Act refers to Forex spot and futures trading business? Thanks in advance.

 

[A Dashing Blade]

No one regulates the Forex markets.

 

[JonnyT]

Firms are regulated to hold clients monies.

 

[Hayek]

Is "Client Money Rules" a very loose rule for FSA registered firm?

I see IG markets publicly announces they won't by default hold your money under protection of FSA's Client Money Rules:

Non-segregated funds

We will hold the money in your account on a non-segregated basis and accordingly:

1. Money held by us on your behalf will not be subject to the protections conferred by the FSA's Client Money Rules.

2. Your money will not be segregated from our money and will be used by us in the course of our business, and in the event of our insolvency you will rank as a general creditor.

3. You may notify us in writing to advise us if you require your money to be treated as Client Money in accordance with the FSA's Client Money Rules.

If you have any queries in relation to the treatment of your funds please contact our Compliance Officer.

 

[oatman]

Even if your funds are segregated from the company's funds, they are not necessarily segregated from other private accounts. If one account goes down big time, your's could go with it Total segregation will cost you.