Best Forex Segregated Account 2019

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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.
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:N/A

Min Deposit:$100

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Your capital is at risk

Your capital is at risk

OctaFX

Regulated By:CySEC

Foundation Year:2011

Headquarters:N/A

Min Deposit:$5

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Your capital is at risk

Your capital is at risk

Alpari

Regulated By:FSC

Foundation Year:1998

Headquarters:N/A

Min Deposit:N/A

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Your capital is at risk

Your capital is at risk

Markets.com

Regulated By:CySEC, FSB

Foundation Year:2008

Headquarters:N/A

Min Deposit:$100

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CFDs carry risk. 73% of traders lose

CFDs carry risk. 73% of traders lose

AvaTrade

Regulated By:ASIC, BVI, CBI, FSA(JP)

Foundation Year:2006

Headquarters:Five Lamps Place, 77-80 Amiens Street, Dublin 1, DO1A742, Dublin, Ireland

Min Deposit:$100

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Your capital is at risk

Your capital is at risk

Forex Segregated Account Comparison Table

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BrokerRatingOfficial SiteRegulationsMin DepositMax LeverageTrading PlatformsFoundation YearPublicly TradedTrading Desk TypeCurrenciesCommoditiesIndicesStocksCryptoCommission on tradesFixed spreadsoffers promotionsOfficial Site
FP Markets
Visit Broker>

Your capital is at risk

ASIC

$100

1:500

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

CySEC, FSB

$100

1:300

MT5

2008

Dealing Desk, Market Maker

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CFDs carry risk. 73% of traders lose

AvaTrade
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Your capital is at risk

ASIC, BVI, CBI, FSA(JP)

$100

1:30

ActTrader, MT4, MT5, Proprietary, Zulutrade

2006

Dealing Desk, Market Maker

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Your capital is at risk

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.