Brokers With Segregated Accounts
Brokers with segregated accounts keep client funds separate from company money. This is an important safety measure which helps protects trader capital in the event a brokerage goes bankrupt. This article explains how to check if a forex broker uses segregated accounts and UK regulations. Our experts have also listed the best brokers with segregated accounts:
UK Brokers With Segregated Accounts
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Founded in Australia in 2010, Pepperstone is a highly esteemed forex and CFD broker with more than 830,000 clients globally. It provides access to 1,400+ instruments via platforms like MT4, MT5, cTrader, and TradingView, with competitive and clear fees. Regulated by reputable bodies such as the FCA, ASIC, and CySEC, it guarantees a safe trading environment for all traders.
Instruments Regulator Platforms CFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto (only Pro clients), Spread Betting FCA, ASIC, CySEC, BaFin, DFSA, SCA, CMA, SCB Pepperstone Trading Platform, MT4, MT5, cTrader, TradingView, AutoChartist Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:500 (Pro) -
Established in Poland in 2002, XTB caters to over a million clients worldwide. This forex and CFD broker offers a robust regulatory framework, a diverse range of assets, and prioritises trader satisfaction. It provides an intuitive proprietary platform equipped with excellent tools to support aspiring traders.
Instruments Regulator Platforms CFDs on shares, Indices, ETFs, Raw Materials, Forex currencies, cryptocurrencies, Real shares, Real ETFs FCA, CySEC, KNF, DFSA, FSC xStation Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 -
Founded in 1974, IG is a part of IG Group Holdings Plc, a publicly listed brokerage (LSE: IGG). The company provides spread betting, CFD, and forex trading, offering access to over 17,000 markets. Its platforms and investing apps are notably user-friendly. Over the past 50 years, IG has consistently been an industry leader, excelling in all essential areas for traders.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, ETFs, Futures, Options, Crypto, Spread Betting FCA, ASIC, NFA, CFTC, DFSA, BaFin, MAS, FSCA, FINMA, CONSOB, AFM, JFSA Web, L2 Dealer, MT4, TradingView, AutoChartist, TradingCentral, ProRealTime Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:222 (Pro) -
Trade Nation is a leading FX and CFD broker regulated in the UK and Australia, among other places. The company provides competitively priced fixed and variable spreads on over 1,000 assets. Traders benefit from advanced platforms and comprehensive training materials. Additionally, the Signal Centre offers valuable trade ideas.
Instruments Regulator Platforms Forex, CFDs, Indices, Shares, Commodities, Futures, Bonds, Spread Betting, Cryptos (Bahamas Entity Only) FCA, ASIC, FSCA, SCB, FSA TN Trader, MT4, TradingView Min. Deposit Min. Trade Leverage $0 0.1 Lots 1:500 (entity dependent) -
Interactive Brokers (IBKR), a leading brokerage, offers access to 150 markets across 33 countries and provides extensive investment services. With more than 40 years of experience, this Nasdaq-listed company complies with strict regulations from the SEC, FCA, CIRO, and SFC. It is among the most reliable brokers worldwide for traders.
Instruments Regulator Platforms Stocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, Cryptocurrencies, CFDs FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB, FINMA, AFM, SEBI Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, TradingView, eSignal, TradingCentral, ProRealTime, Quantower Min. Deposit Min. Trade Leverage $0 $100 1:50 -
Eightcap, an acclaimed broker regulated by the FCA, offers exceptionally low trading costs. Recognised as the top-rated brand by TradingView's vast user base of 100 million, traders can directly access the platform. UK traders can open a live account with a minimum deposit of just £100.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities ASIC, FCA, CySEC, SCB MT4, MT5, TradingView Min. Deposit Min. Trade Leverage £100 0.01 Lots 1:30 -
Established in 1999, FOREX.com is now integrated into StoneX, a prominent financial services entity catering to more than one million clients globally. The broker is regulated in numerous jurisdictions, including the US, UK, EU, and Australia. It offers a vast array of markets beyond forex, delivering competitive pricing on state-of-the-art trading platforms.
Instruments Regulator Platforms Forex, CFDs, Stock CFDs, Indices, Commodities, Futures, Options, Crypto NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA WebTrader, Mobile, MT4, MT5, TradingView Min. Deposit Min. Trade Leverage $100 0.01 Lots 1:30
Pepperstone
XTB
IG
Trade Nation
Interactive Brokers
Eightcap
Forex.comSafety Comparison
Compare how safe the Brokers With Segregated Accounts are and what features they offer to protect traders.
| Broker | Trust Rating | FCA Regulated | Negative Balance Protection | Guaranteed Stop Loss | Segregated Accounts |
|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✘ | ✔ | |
| XTB | ✔ | ✔ | ✔ | ✔ | |
| IG | ✔ | ✔ | ✔ | ✔ | |
| Trade Nation | ✔ | ✔ | ✔ | ✔ | |
| Interactive Brokers | ✔ | ✔ | ✘ | ✔ | |
| Eightcap | ✔ | ✔ | ✘ | ✔ | |
| Forex.com | ✔ | ✔ | ✘ | ✔ |
Payments Comparison
Compare which popular payment methods the Brokers With Segregated Accounts support and whether they have trading accounts denominated in British Pounds (GBP).
| Broker | GBP Account | Debit Card | Credit Card | Neteller | Skrill | Apple Pay |
|---|---|---|---|---|---|---|
| Pepperstone | ✔ | ✔ | ✔ | ✔ | ✔ | ✔ |
| XTB | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| IG | ✔ | ✔ | ✔ | ✘ | ✘ | ✘ |
| Trade Nation | ✔ | ✔ | ✔ | ✘ | ✔ | ✘ |
| Interactive Brokers | ✔ | ✔ | ✘ | ✘ | ✘ | ✘ |
| Eightcap | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
| Forex.com | ✔ | ✔ | ✔ | ✔ | ✔ | ✘ |
Mobile Trading Comparison
How good are the Brokers With Segregated Accounts at mobile trading using apps or other mobile interfaces.
| Broker | Mobile Apps | iOS Rating | Android Rating | Smart Watch App |
|---|---|---|---|---|
| Pepperstone | iOS & Android | ✘ | ||
| XTB | iOS & Android | ✔ | ||
| IG | iOS & Android | ✔ | ||
| Trade Nation | iOS & Android | ✘ | ||
| Interactive Brokers | iOS & Android | ✔ | ||
| Eightcap | iOS & Android | ✘ | ||
| Forex.com | iOS & Android | ✘ |
Beginners Comparison
Are the Brokers With Segregated Accounts good for beginner traders, that might want an affordable setup to get started, along with good support and educational resources?
| Broker | Demo Account | Minimum Deposit | Minimum Trade | Support Rating | Education Rating |
|---|---|---|---|---|---|
| Pepperstone | ✔ | $0 | 0.01 Lots | ||
| XTB | ✔ | $0 | 0.01 Lots | ||
| IG | ✔ | $0 | 0.01 Lots | ||
| Trade Nation | ✔ | $0 | 0.1 Lots | ||
| Interactive Brokers | ✔ | $0 | $100 | ||
| Eightcap | ✔ | £100 | 0.01 Lots | ||
| Forex.com | ✔ | $100 | 0.01 Lots |
Advanced Trading Comparison
Do the Brokers With Segregated Accounts offer features that allow for more advanced trading strategies?
| Broker | Automated Trading | Pro Account | Leverage | VPS | AI | Low Latency | Extended Hours |
|---|---|---|---|---|---|---|---|
| Pepperstone | Expert Advisors (EAs) on MetaTrader | ✔ | 1:30 (Retail), 1:500 (Pro) | ✔ | ✘ | ✔ | ✘ |
| XTB | - | ✔ | 1:30 | ✘ | ✘ | ✔ | ✘ |
| IG | Expert Advisors (EAs) on MetaTrader, build your own on ProRealTime | ✔ | 1:30 (Retail), 1:222 (Pro) | ✔ | ✔ | ✔ | ✔ |
| Trade Nation | Expert Advisors (EAs) on MetaTrader | ✘ | 1:500 (entity dependent) | ✘ | ✘ | ✘ | ✘ |
| Interactive Brokers | Capitalise.ai, TWS API | ✘ | 1:50 | ✘ | ✔ | ✔ | ✔ |
| Eightcap | TradingView Bots | ✘ | 1:30 | ✔ | ✘ | ✔ | ✘ |
| Forex.com | Expert Advisors (EAs) on MetaTrader | ✘ | 1:30 | ✔ | ✔ | ✔ | ✘ |
Detailed Rating Comparison
Use this heatmap to compare our detailed ratings for all of the Brokers With Segregated Accounts.
| Broker | Trust | Platforms | Mobile | Assets | Fees | Accounts | Support | Research | Education |
|---|---|---|---|---|---|---|---|---|---|
| Pepperstone | |||||||||
| XTB | |||||||||
| IG | |||||||||
| Trade Nation | |||||||||
| Interactive Brokers | |||||||||
| Eightcap | |||||||||
| Forex.com |
Our Take On Pepperstone
"Pepperstone excels in trading with tight spreads, swift execution, and advanced charting for seasoned traders. Beginners enjoy zero minimum deposit, comprehensive educational materials, and outstanding 24/5 support, including 18-hour weekend assistance."Tobias Robinson
Reviewer
Pros
- Pepperstone presents itself as an economical choice for traders, offering spreads as low as 0.0 in its Razor account. The Active Trader programme provides rebates up to 30% on indices and commodities, plus $3 per lot on forex.
- Support for top-tier charting platforms such as MT4, MT5, TradingView, and cTrader. These tools accommodate different short-term trading methods, including algorithmic trading.
- In recent years, Pepperstone has significantly enhanced the deposit and withdrawal process. By 2025, clients can use Apple Pay and Google Pay, while 2024 saw the introduction of PIX and SPEI for customers in Brazil and Mexico.
Cons
- Although the market range has improved, crypto options remain limited compared to brokers specialising in this field, like Eightcap, and investors cannot purchase actual coins.
- Execution might not appear as dependable in rapid markets as headline speeds imply. Our tests showed swift execution at targeted prices. However, community feedback highlights concerns over slippage, stop-loss fills, and order triggers sensitive to spreads amid volatility.
- Overnight holding fees exceed those of some Market Maker brokers (typically Benchmark + 2.5%). Pepperstone suits traders and forex scalpers well but is less ideal for swing traders who keep positions open overnight.
Our Take On XTB
"XTB excels for novice traders with its superb xStation platform, minimal trading costs, no required deposit, and outstanding educational resources, many of which are fully integrated into the platform."William Berg
Reviewer
Pros
- Top-notch customer support, available 24/5, includes a welcoming live chat with response times under two minutes during tests.
- The xStation platform stands out with its user-friendly design and intuitive tools, such as adaptable news feeds, sentiment heatmaps, and a trader calculator. These features streamline the learning process for new traders.
- Setting up an XTB account is straightforward and fully online, requiring only a few minutes. This simplicity eases new traders into the world of trading.
Cons
- The demo account lasts only four weeks, posing a challenge for traders wanting to fully explore the xStation platform and refine short-term strategies before investing actual money.
- XTB has stopped supporting MT4, restricting traders to its own platform, xStation. This decision may discourage experienced traders accustomed to using the MetaTrader suite.
- The research tools at XTB are commendable but have the potential to excel further. Enhancing them with access to top-tier third-party services like Autochartist, Trading Central, and TipRanks would significantly elevate their offering.
Our Take On IG
"IG offers a complete package: an easy-to-use web platform, top-tier beginner education, enhanced charting via TradingView, up-to-date data, and strong trade execution for seasoned traders."Tobias Robinson
Reviewer
Pros
- As a seasoned broker, IG adheres to stringent regulatory standards across various regions, ensuring significant trust.
- IG secured a crypto asset license from the FCA, enabling its return to the UK market. It now offers buying, selling, and storage services for over 55 digital tokens with fees starting at 1.49%, all under FCA regulation.
- The ProRealTime advanced charting platform remains free, provided traders meet modest monthly activity requirements.
Cons
- IG imposes a monthly inactivity fee of $12 after two years, discouraging occasional traders.
- Beginners may find IG's fees complicated, as they vary depending on the trades or services. This could cause confusion and unexpected costs.
- Based on tests, stock and CFD spreads remain less competitive than the lowest-cost brokers, such as CMC Markets.
Our Take On Trade Nation
"Trade Nation is ideal for novice traders seeking diverse markets on an easy-to-use platform. It offers no minimum deposit, complimentary funding options, and robust educational resources."Tobias Robinson
Reviewer
Pros
- Trade Nation, a highly regarded and well-regulated broker, was formerly known as Core Spreads.
- A variety of trading platforms and apps, such as MT4, make the brand suitable for experienced traders.
- The trading firm provides narrow spreads and a clear pricing structure.
Cons
- Reduced legal safeguards with an offshore entity.
Our Take On Interactive Brokers
"Interactive Brokers ranks highly for seasoned traders due to its robust charting platforms, live data, and bespoke layouts via the new IBKR Desktop app. Its competitive pricing and sophisticated order choices appeal to traders, and its wide equity options are industry-leading."Tobias Robinson
Reviewer
Pros
- The TWS platform is tailored for intermediate and advanced traders, featuring over 100 order types and a dependable real-time market data feed with exceptional uptime.
- IBKR is a highly respected brokerage, regulated by top-tier authorities, ensuring the integrity and security of your trading account.
- While initially targeting seasoned traders, IBKR has recently widened its appeal by eliminating its $10,000 minimum deposit requirement.
Cons
- You are limited to a single active session per account, meaning you cannot use both your desktop programme and mobile app at the same time. This restriction can occasionally lead to a frustrating experience for traders.
- IBKR offers a variety of research tools, but their inconsistent placement across trading platforms and the 'Account Management' webpage creates a confusing experience for users.
- The learning curve for TWS is quite steep, making it tough for novice traders to navigate and grasp all its features. In contrast, Plus500's web platform is far more accessible for those new to trading.
Our Take On Eightcap
"Eightcap excels for traders, offering diverse charting platforms, educational Labs, and AI tools. With over 120 crypto CFDs, it stands out in crypto trading and has won our 'Best Crypto Broker' award twice consecutively."William Berg
Reviewer
Pros
- With spreads starting at 0 pips, minimal commission charges, and leverage up to 1:500 for select clients, Eightcap delivers affordable and flexible trading opportunities. These conditions suit various strategies, such as trading and scalping.
- Eightcap excels with a suite of advanced trading tools, such as MT4 and MT5, and has recently joined the 100-million-user social trading network, TradingView.
- Eightcap has excelled in all essential trading areas, surpassing all rivals to clinch our 'Best Overall Broker' award for 2024. It also earned the titles of 'Best Crypto Broker' and 'Best TradingView Broker' for 2025.
Cons
- The demo account is available for 30 days, after which it requires a request for extension. This is less convenient than XM's offering, which provides an unlimited demo mode.
- Despite a helpful array of educational guides and e-books in Labs, Eightcap lags behind IG's extensive resources for aspiring traders. IG boasts a dedicated Academy app and features 18 diverse course categories.
- Eightcap must enhance its range of over 800 instruments to rival top competitors like Blackbull Markets, which offers 26,000+ assets, especially improving its limited commodities selection.
Our Take On Forex.com
"FOREX.com excels in serving traders of all levels, offering more than 80 currency pairs, spreads starting at 0.0 pips, and competitive commissions. Its robust charting platforms provide over 100 technical indicators and comprehensive research tools."Tobias Robinson
Reviewer
Pros
- The in-house Web Trader remains a top-tier platform for budding traders, featuring an elegant design and more than 80 technical indicators for market analysis.
- FOREX.com provides top-tier forex rates beginning at 0.0 pips, along with attractive cashback rebates up to 15% for dedicated traders.
- With more than two decades of expertise, strong regulatory governance, and numerous accolades, including a second-place finish in our 'Best Forex Broker' awards, FOREX.com is globally renowned as a reliable trading platform.
Cons
- US clients are not protected against negative balances, which means you could end up owing more than your initial deposit.
- FOREX.com's MT4 platform provides around 600 instruments, a notable reduction compared to the more than 5,500 options on its other platforms.
- Demo accounts are typically limited to 90 days, hindering effective strategy testing.
What Are Brokers With Segregated Accounts?
Brokers with segregated accounts hold the firm’s working capital separate from their client’s investment money.
By holding customer funds in segregated bank accounts, the firm is not able to use client money to settle asset and liability transactions in the case of business failure. They essentially provide an additional layer of security so that the firm will not misuse client funds.
Often money is held with a custodian, such as a bank or financial institution. These funds can be easily controlled, managed, and identified if a broker goes into bankruptcy or financial takeover.
UK Regulations
The segregated account has been added as a stipulation by many financial watchdogs worldwide. The Financial Conduct Authority (FCA) specifies a separate rule under its Client Assets Sourcebook. This identifies the segregation methodology for brokers to follow, plus an acknowledgement of trust and reconciliation requirements.
The FCA states that “a firm, on receiving any client money, must promptly place this money into one or more accounts opened with any of the following profiles; a central bank, a CRD credit institution, a bank authorised in a third country or a qualifying money market fund.”
AFX Markets went into administration in 2019 under the FCA’s Special Administration Regime (SAR). This was created by the UK government in 2011 to deal with issues of the failure to comply with FCA regulatory rules of customer fund holding. Clients were entitled to claim with the FSCS if they were registered customers of AFX Markets Ltd. This included access to compensation up to £85,000 per person.
Unregistered Brokers
Forex brokers with non-segregated cash accounts may not provide adequate financial safeguarding to traders. Unregulated brokers or those registered with more lenient offshore watchdogs, may not separate customer money from their own.
This is particularly common with binary options brokers, operating with limited government or third-party oversight. Some firms have terms dictating that they own their investors’ money once it had been deposited, meaning these funds could be used for day-to-day business operations.
Benefits Of Brokers With Segregated Accounts
- Peace of mind knowing that the broker-dealer or registered custodian is unable to complete fraudulent or risky operations with trader funds
- Segregated bank accounts are legally separated from the firm’s assets, meaning the forex broker cannot use the stored funds to conduct business operations
- Brokers with segregated accounts must maintain a record of all transactions performed through the account
- Online brokers are required to allow clients, the beneficiary, constant access to their money as and when required
How Do I Know If My Broker Uses Segregated Accounts?
Typically, a broker-dealer will publish this information on their regulation and safety web pages. For example, CMC Markets has details of its segregated account under its ‘Regulations’ page.
The firm states that it holds client funds in segregated bank accounts with UK institutions, such as NatWest, Barclays, and Lloyds. Their client money controls and processes are also audited annually by PricewaterhouseCoopers, with results reported to the FCA.
Tip: you can check that a broker’s FCA license is legitimate by searching for the company name or registration number on the watchdog’s official website.
Segregated Accounts Vs Separate Accounts
A separate account is an investment profile, typically opened through an online broker but managed by a financial advisor. Often there are minimum investment requirements to register for a separate account, sometimes in the region of £50,000+, plus annual management fees averaging 1-5% of the portfolio value.
A segregated account is used to store and operate client money separately from the working capital of the trading broker. They are a safety measure employed by the best UK brokers.
How To Compare Brokers That Offer Segregated Accounts
It is not uncommon to find UK brokers with segregated accounts, particularly given the rules of the FCA. The increased choice means you can be more selective when choosing a brokerage. Consider the following when comparing brokers with segregated accounts:
- Fees – Does the broker have a transparent fee structure? Are the commission charges and spreads competitive? Brokers with low fees should be favoured, though this should not come at the detriment of access to appropriate trading tools and additional features. City Index, for example, offers zero commission forex and CFD trading except for equity CFDs. UK equities will incur a 0.08% fee with a minimum commission of £10.
- Customer Support – Access to a responsive and reliable customer support team is helpful, especially when it comes to financial safeguarding. The best brokers with segregated accounts offer 24/5 or 24/7 customer support through various methods. It is important to be able to speak to a human advisor for money-holding concerns, as well as for trading queries and platform guidance.
- Regulation – Regulatory status is typically a good indicator of financial safeguarding. Brokers with oversight from top-tier authorisations such as the FCA must comply with relevant stipulations. In addition to segregated funds, access to compensation schemes and negative balance protection are important measures.
- Assets – Another consideration when comparing brokers with individual segregated accounts is the range of investment products and margin trading available. This may include stocks, forex, commodities, or cryptocurrency. Interactive Brokers, for example, provides thousands of tradeable products on more than 150 exchanges.
- Deposit & Withdrawal Methods – The best online brokers with segregated accounts accept several payment methods to deposit and withdraw from an account. This may include credit/debit cards, bank wire transfers, and e-wallet providers such as PayPal and Neteller. Also look at minimum deposits (under £200 is good) and payment timelines (the top providers process deposits instantly and withdrawals within five working days).
Bottom Line On Brokers With Segregated Accounts
Using a forex broker with a segregated asset account for client money is sensible. The peace of mind and assurance that your funds are held apart from business money in the case of failure or insolvency is important. It is a promising sign that the brokerage is legitimate and trustworthy.
Use our ranking of the best brokers with segregated accounts to start trading.
FAQ
Are Segregated Brokerage Accounts Safe?
Brokers with segregated accounts are normally safer than non-segregated accounts. Money held separately cannot be used to settle business shortcomings and funds can be controlled by a third party if a broker goes into bankruptcy.
What Is A Segregated Bank Account For Trading?
Segregated trading accounts are profiles in which customer money is held separately from the funds of a broker-dealer. The single account is created by the brokerage to accommodate all of its traders’ funds collectively. Importantly, the segregated money is out of the broker’s reach should they go under.
Are Segregated Brokerage Accounts Insured?
The best forex and CFD brokers with segregated accounts also provide monetary insurance. FCA-regulated financial institutions, for example, must hold their client funds with a registered bank or financial firm. These should provide suitable custodian insurance as an additional protection measure.
Which UK Brokers Offer Segregated Trading Accounts?
Among the top UK brokers with segregated accounts are CMC Markets, FXCC, and Eightcap. Alternatively, see our full list of the largest brokerage firms with segregated accounts.