IC Markets is a forex and CFD broker offering online trading services to traders and investors worldwide. The broker provides a diverse range of trading instruments, including forex, CFDs in stocks, indices, commodities, cryptos, and Bonds. It also supports multiple trading platforms and tools such as MT4, MT5, CTrader and Tradingview.
Although IC Markets is regulated by several authoritative bodies, including ASIC, CySEC, FSA, it is not regulated by BaFin. In this article, we will explore IC Markets’ regulations, and its features, and provide a list of alternative brokers that are regulated by BaFin.
Does IC Markets Operate Under BaFin?
No, IC Markets does not operate under BaFin regulations. The broker is regulated by several other reputable financial authorities, including the ASIC, CySEC, FSA. These regulatory bodies ensure compliance with various standards for financial stability, transparency, and investor protection, though they do not provide the specific protections offered by the BaFin in the UK.
What Other Regulations Does IC Markets Have?
ASIC :
IC Markets is regulated by ASIC. Founded in July 1998, the Australian Securities & Investments Commission (ASIC) is Australia’s national corporate regulator, overseeing corporations, markets, and financial services in accordance with the Australian Securities and Investments Commission Act 2001. Being based in Australia, ASIC regulation ensures that the broker complies with Australian laws on financial services, including responsible conduct, risk management, and financial reporting. Client money is kept in segregated accounts, and there is an emphasis on risk disclosure and trader protection.
CySEC :
IC Markets is regulated by CySEC. Established in 2001, Cysec is Cyprus’s financial regulator. Since Cyprus joined the European Union in 2004, CySEC’s regulations align with the MiFID directive, ensuring compliance with EU-wide financial standards and investor protection. This regulation allows the broker to offer services across the European Economic Area (EEA) under the MiFID II directive, ensuring investor protection and transparency. CySEC regulation requires brokers to follow strict guidelines for handling client funds, including segregation and periodic reporting.
FSA -S : / FSA in Seychelles
IC Markets is regulated by the Financial Services Authority (FSA) of Seychelles. The FSA, established in 2013, oversees the financial services sector in Seychelles to ensure compliance with regulatory standards and to protect investors.
The FSA requires IC Markets to adhere to guidelines for managing client funds, which include keeping client money separate from company funds and providing regular financial reports. This regulation helps ensure that IC Markets operates securely and transparently, particularly for clients in Seychelles, and maintains a trustworthy trading environment.
Best Bafin Regulated Forex Brokers: Alternatives to IC Markets
IC Markets is one of the leading forex and CFD brokers. The broker is not regulated by BaFin. It is regulated by other top-tier regulators including ASIC, CySEC, FSA. There are several BaFin regulated brokers that can serve as alternatives to IC Markets. These brokers include:
- Founded In: 2010
- Minimum Deposit: $0, Recommended: $200
- Maximum Leverage: 500:1
- Regulations: FCA, ASIC, CySEC, BaFIN, DFSA, CMA, and SCB
- Trading Platforms : MT4, MT5, cTrader, TradingView and Own Trading Platforms
- Trading Instruments: Forex, Commodities, Indices, Currency Indices, Cryptocurrencies, Shares, ETFs, and CFD Forwards.
- Founded In: 1989
- Minimum Deposit: $0
- Maximum Leverage: 1:500
- Regulations : FCA, ASIC, BaFin, IIROC, FMA, MAS
- Trading Platforms : MT4 , Share trading platforms
- Trading Instruments: Forex Major, Forex Crosses, Forex Minor, Metals, Oil , CFD, Stock indices
- Founded In: 1974
- Minimum Deposit: $0
- Maximum Leverage: 1:200
- Regulations: ASIC, FCA, JFSA, SFC (Hongkong), FSCA, MAS, FMA, GmbH, FINMA
- Trading Platforms: MT4, WebTrader, MobileTrader (MobileApp), ProRealTime
- Trading Instruments: Forex, indices, Cryptocurrencies, Shares, Commodities
- Founded In: 2005
- Minimum Deposit: $50
- Maximum Leverage: 1:500
- Regulations: ASIC, Austrac, Bafin, CIMA, ESCA, CySEC, FSC, FMA, MAS, TFG, VFSC, FSCM, FSAS
- Trading Platforms: MT4, MT5, Multibank-Plus
- Trading Instruments: Forex, Metals, Shares, indices, Commodities, Cryptocurrencies
These brokers operate under BaFin regulation. According to BaFin rules, they offer leverage up to 30:1 and provide negative balance protection for retail traders. To learn more about BaFin-regulated forex brokers, you can read our content on the best BaFin-regulated forex brokers.
How Can I Verify If My Broker is Bafin Regulated?
To verify if your broker, such as IC Markets, is regulated by the BaFin, follow these steps:
- Find the Broker’s Reference Number or Name: Obtain this information from the broker’s website.
- Search the BaFin Register: Visit the Bafin Financial Services Register and enter the broker’s reference number or name.
- Check the Broker’s Authorization: Ensure that the broker is authorized to provide “Rolling spot forex contract” services to retail customers in the UK.
- Match Firm Details: Verify that the details on the BaFin website, such as the broker’s website and email, match those provided by the broker. Any discrepancies might indicate an unauthorized broker, and you should avoid trading with them.
Frequently Asked Questions ( FAQs)
What is IC Markets?
Andrew Budzinksi founded IC Markets in 2007 with the aim of using superior technology to provide forex and CFD trading services to both institutional and retail traders. Over the years, the broker has improved in quality and services. It offers true ECN trading with low spreads, high leverage, and fast executions to a global clientele. To learn more, you can read our review on IC Markets.
Is IC Markets Considered Safe?
Yes, IC Markets is considered safe. The broker is regulated by multiple top-tier regulatory authorities, including ASIC, CySEC, FSA. It offers negative balance protection and holds client funds in segregated bank accounts. Additionally, IC Markets provides an investor protection scheme for clients regulated under ASIC and CySEC, making it a reliable and trustworthy broker.
Does IC Markets Offer Negative Balance Protection?
Yes, IC Markets offers negative balance protection. All BaFin-regulated brokers must offer negative balance protection. Negative balance protection means that traders are protected from losing more money than they have in their trading accounts. If a trade results in losses that exceed the amount of funds in the account, negative balance protection ensures that the trader’s balance cannot go below zero. This prevents the trader from owing the broker any additional money.
Is IC Markets regulated in Australia?
No, IC Markets is not regulated in Australia. The broker is not regulated by ASIC, the Australian regulator. However, it accepts Australian clients under its global entity. IC Markets is regulated by several other authorities, including ASIC, CySEC, FSA.
