Best Forex Segregated Account 2019

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This article is an in depth overview of segregated accounts in forex. We have conducted informative research into what exactly a segregated account is and which are the best brokers to offer this based on our own research, as well as user reviews.

The brokers below represent the best brokers with Segregated Account feature.

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BrokerRatingOfficial SiteRegulationsMin DepositMax LeverageTrading PlatformsFoundation YearPublicly TradedTrading Desk TypeCurrenciesCommoditiesIndicesStocksCryptoCommission on tradesFixed spreadsoffers promotionsOfficial Site
FP Markets
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Your capital is at risk

ASIC

$100

1:500

IRESS, MT4, MT5

2005

DMA, ECN

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Your capital is at risk

OctaFX
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Your capital is at risk

CySEC

$5

1:500

cTrader, MT4, MT5

2011

ECN, STP

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Your capital is at risk

Alpari
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Your capital is at risk

FSC

$null

1:1000

MT4, MT5

1998

ECN, STP

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Your capital is at risk

Markets.com
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CFDs carry risk. 73% of traders lose

ASIC, CySEC, FCA, FSCA

$100

1:300

MT4, MT5, Proprietary

2008

Dealing Desk

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CFDs carry risk. 73% of traders lose

Pro Tip: Most of these brokers offer free demo accounts so you can test the brokers and their platforms with virtual money. Give it a try with some play money before using your own cash.

Here’s a list of The Best Segregated Account Forex Brokers 
Note: Not all Forex brokers accept US clients. For your convenience we specified those that accept US Forex traders as clients.

FP Markets

Regulated By:ASIC

Foundation Year:2005

Headquarters:Level 5, Exchange House 10 Bridge St Sydney NSW 2000, Australia

Min Deposit:$100

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Your capital is at risk

Your capital is at risk

FP Markets is an online forex and CFDs trading platform that is owned by First Prudential Markets Pty. The holding company is an Australian based company with its head office located at Level 5, Exchange House, 10 Bridge St, Sydney NSW. Founded in 2005, FP Markets is regulated by ASIC and holds an Australian Financial Services License (AFSL) number 286354. Apart from offering its traders the MetaTrader 4 (MT4) and MetaTrader 5 (MT5) trading platforms, the broker also offers them the Iress trader platform.

Spreads on FP Markets starts from as low as zero pip as the broker claims to offer true ECN connectivity. Traders at FP Markets also have a selection of trading accounts to choose from, whether it is for spot forex trading or for CFDs trading.

Pros Cons
  • 3 types of trading platforms to choose from
  • Competitive spreads
  • ECN trading available
  • Multiple choices of trading accounts
  • No proprietary platforms, only MetaTrader
  • Limited list of assets

OctaFX

Regulated By:CySEC

Foundation Year:2011

Headquarters:Suite 305, Griffith Corporate Centre, Beachmont, Kingstown, St. Vincent and the Grenadines

Min Deposit:$5

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Your capital is at risk

Your capital is at risk

OctaFX is a Forex and CFD broker with a focus on low, competitively priced spreads. It supports a wide range of popular trading platforms such as MT4, MT5, and cTrader. cTrader offers the lowest costs but does require a bit more experience. Novice traders are best starting off at OctaFX using MetaTrader 4, which supports micro accounts and demo trading accounts.

OctaFX supports 28 currency pairs with leverage up to 500:1 for currencies. Different leverage is available for metals, indices, and crypto trading. OctaFX was founded in 2011 and is based in and licensed in Saint Vincent and the Grenadines. Read our detailed review of OctaFX here.

Pros: Cons:
  • Low spread pricing
  • 3 different platforms and flexible pricing
  • Free Forex demo available
  • Just 28 currency pairs
  • Limited deposit options
  • Lost UK Financial Conduct Authority coverage in 2017

Alpari

Regulated By:FSC

Foundation Year:1998

Headquarters:Mauritius

Min Deposit:N/A

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Your capital is at risk

Your capital is at risk

Alpari International is the business name of Exinity Limited, a company that is regulated by the Financial Services Commission (FSC) of the Republic of Mauritius. Clients of Alpari International can trade on more than 250 markets via Spot, CFDs and Futures across Forex, Stocks, Indices, Metals and Cryptocurrencies, on the MetaTrader 4 and MetaTrader 5 Desktop, Web and Mobile platforms.

The services and features offered by Alpari International are designed for both beginner and professional traders, with access to ECN, Pro accounts and demo trading accounts as well as their Alpari Copy Trading programme. Check out our full Alpari International review here.

Pros: Cons:
  • Innovative brokerage
  • 20+ years of history in business
  • Varying cost options to match your trading style
  • History of reguatory challenges
  • Past insolvency in the UK in 2015
  • Limited multilingual support

Markets.com

Regulated By:ASIC, CySEC, FCA, FSCA

Foundation Year:2008

Headquarters:Safecap is located at 148 Strovolos Avenue, 2048, Strovolos, P.O.Box 28132, Nicosia, Cyprus.

Min Deposit:$100

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CFDs carry risk. 73% of traders lose

CFDs carry risk. 73% of traders lose

Markets.com was founded in 2008 and is regulated by four major global financial regulators (CySEC, FSCA, ASIC and the FCA) under several different operating names relating to the TradeTech Group which are all constituents of Playtech PLC – a company that is traded on the London Stock Exchange Main Market and which is a constituent of the FTSE 250 Index.

The broker offers users the ability to trade commission-free, with costs just related to spreads and swaps, on more than 2,200 CFD instruments covering Stocks, Indices, Currencies, Commodities, Cryptocurrencies, Bonds, ETFs and even IPOs with 24/5 customer support and assistance. Users can also access the Markets.com in-house developed, cutting-edge mobile trading app and web trader platform which offers advanced research and trading tools.

Pros: Cons:
  • Wide range of assets available to trade.
  • Flexibility of global offices to access options such as higher leverage and/or bonus promotions.
  • Impressive Markets X Web Trader platform, simple to use and feature-rich.
  • Wide range of trading tools and customer support options.
  • Educational resources on using their trading platforms are limited.
  • Higher than average swap rates.

What is a Segregated Account?

A segregated account is an investors individual account within a firm which is separate from the firm’s money. This type of account provides a few crucial benefits to an investor. First of all, the separate account creates a certain level of security to the investor in the event the brokerage declares bankruptcy. With the funds being in a segregated account, the investor has full control of the money and can withdraw the funds at any time. Another security reason is for the ease of use between accounts. Both the brokerage and the investor has a clear understanding of where their money is and if its being used for the right purpose. Many jurisdictions require brokerages to maintain a segregated account to ensure the clients funds are not used for operational purposes. Having a segregated account prevents confusion and ensures security for both parties.

The purpose of Segregated Account in Forex

Investing in the forex industry is a risky business, much like any other types of investment. Therefore, an investor must take necessary precautions to maintain a level of security with their funds. One way they can do this, is to ensure they choose a forex broker who offers segregated accounts. These types of accounts offer piece of mind by knowing where your money is, the balance, and that no one can use it for unlawful purposes. For example, without a segregated account your money is accessible by the brokerage and they could use it for their own expenses, to redress the balance, or any other obligations they might have. As well, in the event of bankruptcy, the brokerage could runaway with your funds, causing a strenuous legal battle to get them back. With a segregated account, none of this is possible. It offers security and piece of mind to the investor.

Segregated Accounts vs. Managed Accounts

Both segregated and managed accounts are terms that are easily interpreted as the same thing or going hand in hand. It is true that they are grouped together in the sense that managed accounts generally include a segregated account for investors funds. The difference between these two types of accounts is; a managed account is handled by a money manager in which they make trades using money from a master account. Where the segregated account comes in, it keeps an investors funds separated from the brokerages master account. It is used in conjunction with managed accounts to transfer funds to the money manager.

In addition to this, segregated accounts can be used by themselves without managed accounts. An investor may choose a brokerage to trade through, without the help from a money manager. Making it an individual segregated trading account.

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