Best CNMV (Spain) Regulated Forex Brokers 2018
As Spain has probably one of the best Forex regulators in Europe, any trader residing in the country would not want to pick a broker that is outside of CNMV regulation. Do not risk losing your capital with some unknown, shady and unregulated broker, but choose one of the best CNMV approved ones that we have listed below.
Introduction to CNMV Regulation
CNMV stands for National Securities Market Commission. It is an independent financial institution within the legal framework and authority under the Ministry of Economy and Finance in Spain. It was established in 1988 with the purpose of regulating financial markets and supervising entities participating in them in order to meet the criteria set by European Commission to all member states. As Ministry of Economy and Finance had a lot of other legal burdens to carry on given by the government of Spain CNMV was created. Its core function became to insure transparency, stability and fair competition in financial markets as well as supervision of all key players in them.
Under the law of Spain and EU regulations CNMV is credited with the responsibility to supervise both primary and secondary financial markets. It grants licences to the applicants that fit its criteria after thorough analysis of their structure, finances and management. Each month brokers have to send reports that CNMV analyses to see if the companies under its supervision do not excede risk limits, have potential to become insolvent or have a lack of liquidity. It likewise, monitors all transactions and orders of all member companies under its authority to secure that there is no foul play and no irregularities appear in their dealings. Finally, it inspects all persons in management of all of the brokers under its authority to insure that there is no conflict of interest between brokers and their clients.
How CNMV Regulation protects you
CNMV is a very strict Watchdog of the companies under its jurisdiction. Any inside information trading or manipulation among brokers and dealers will not go unnoticed by the institution as it thoroughly watches all transactions as well as orders and how they are carried out by investment service providers. Now, if you believe you have become a victim of foul play by your broker there is a procedure of filing a complaint. It is a bit beaurocratic as you firstly have to try to solve the issue with your broker. If that does not work you will have to go to financial Ombudsman to deal with the issue and if that fails you will have to file a complaint with CNMV. It has a special investor website where various issues between users and brokers can be solved by intermediary of the regulator.
Guidelines for CNMV Regulated Brokers
CNMV will follow through to see if all the brokers under its authority follow rules and regulations that they are obliged to follow by Spanish and European laws. It also has a blacklist of dealers and brokers who have failed to comply to the mandate set by the regulator. It often publishes ongoing issues that it deals with and names brokers that have potentially abused their status and caused damage to their customers. The institution is ready to take legal action at any time against any financial entity abusing its position or causing irregularities in financial markets.
- New Zealand
- South Africa
- South Korea
- Hong Kong
- United Arab Emirates
- Russian Federation
List of Brokers
|BROKER||USER RATING||REGULATED BY||HEADQUARTERS||MIN. DEPOSIT||OFFICIAL SITE|
|ASIC, CySEC, FCA||Israel||$100||Open Account|
|ASIC, BVI, FSA(JP), FSB, MiFID||Ireland||$100||Open Account|
|ASIC, CySEC, FCA||Cyprus||$200||Open Account|
|CySEC, FSB||Cyprus||$100||Open Account|
|BaFin, FCA||United Kingdom||$300||Open Account|