Is Interactive Brokers Regulated by FINMA as of 2025?

Interactive Brokers 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 Stocks, options, futures, currencies, bonds, and funds. It also supports multiple trading platforms and tools such as WebTrader, FIX API, MobileTrader (MobileApp), TWS.

Interactive Brokers is regulated by several authoritative bodies such as SEC, CFTC, FCA, FSCS, ASIC, IIROC, FSA However, Interactive Brokers is not regulated by the FINMA ( The Financial Market Supervisory Authority). In this article, we will explore Interactive Brokers’ regulations, and its features, and provide a list of alternative brokers that are regulated by FINMA.

Does Interactive Brokers Operate Under FINMA?

No, Interactive Brokers does not operate under FINMA (The Financial Market Supervisory Authority) regulation. However, the broker is regulated by several other reputable financial authorities including SEC, CFTC, FCA, FSCS, ASIC, IIROC, 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 FINMA  in Switzerland.

What Other Regulations Does Interactive Brokers Have?

FCA:

Interactive Brokers is regulated by the Financial Conduct Authority (FCA) in the UK. The FCA, established in 2013, is responsible for regulating financial markets and firms in the United Kingdom.

The FCA requires Interactive Brokers to adhere to strict guidelines for financial conduct, including maintaining adequate capital, safeguarding client funds, and ensuring transparency in its operations. This includes keeping client money separate from company funds and providing regular financial reports. FCA regulation helps ensure that Interactive Brokers operates securely and fairly, offering a high level of protection and trust for clients in the UK and across Europe.

ASIC

Interactive Brokers 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.

SEC

Interactive Brokers is regulated by the U.S. Securities and Exchange Commission (SEC) under the regulations that apply to foreign financial service providers operating in the U.S. The SEC, established in 1934, is the primary regulatory body overseeing securities markets and protecting investors in the United States.

For brokers like Interactive Brokers, the SEC requires adherence to rigorous standards for transparency, financial stability, and investor protection. This includes regulations for maintaining sufficient capital, safeguarding client assets, and providing clear and accurate financial disclosures. The SEC’s oversight ensures that Interactive Brokers operates with high standards of integrity and reliability for clients dealing with U.S. markets.

IIROC

Interactive Brokers is regulated by the Canadian Investment Regulatory Organization (CIRO). CIRO, formed in 2023 through the merger of IIROC (Investment Industry Regulatory Organization of Canada) and the MFDA (Mutual Fund Dealers Association), oversees all investment dealers and trading activity in Canada.

CIRO requires Interactive Brokers to meet strict standards for financial stability, transparency, and investor protection. This includes maintaining sufficient capital, safeguarding client funds by segregating them from company assets, and adhering to regular reporting and compliance checks. CIRO’s regulation ensures that Interactive Brokers operates securely and responsibly, providing a trusted trading environment for Canadian clients.

CFTC:

Interactive Brokers is regulated by the Commodity Futures Trading Commission (CFTC) for its operations involving U.S. clients. The CFTC, established in 1974, is an independent U.S. government agency that regulates the futures and options markets.

The CFTC requires Interactive Brokers to adhere to strict standards for financial conduct, including maintaining sufficient capital, segregating client funds from company assets, and ensuring transparency in trading practices. The CFTC’s oversight helps protect U.S. investors by ensuring that brokers like Interactive Brokers operate with integrity and comply with regulatory requirements.

Best FINMA Regulated Forex Brokers: Alternatives to Interactive Brokers

Interactive Brokers is one of the leading forex and CFD brokers. The broker is not regulated by FINMA. It is regulated by other top-tier regulators including SEC, CFTC, FCA, FSCS, ASIC, IIROC, FSA. There are several FINMA  regulated brokers that can serve as alternatives to Interactive Brokers. These brokers include: 

These brokers operate under FINMA regulation. According to FINMA rules, they offer leverage up to 30:1 and provide negative balance protection for retail traders. To learn more about FINMA-regulated forex brokers, you can read our content on the best FINMA -regulated forex brokers.

How Can I Verify If My Broker is regulated by FINMA or Not?

Here’s a detailed explanation of how to verify if your broker is regulated by FINMA, with expanded paragraphs under each subheading:

1. Find the Broker’s Name:

The first step in verifying your broker’s regulatory status is identifying their legal name. This information is typically available on the broker’s official website under sections like “About Us” or “Legal Information.” Make sure you’re using the broker’s full legal name, not just the brand name, as companies often operate under multiple names or subsidiaries. Having the exact name ensures an accurate search when you look up their registration with FINMA.

2. Visit the FINMA Website:

Once you have the broker’s legal name, visit the official website of FINMA. The Swiss Financial Market Supervisory Authority maintains a public register where you can find all authorized institutions and individuals. This register is a reliable source for confirming the legitimacy of brokers and other financial institutions operating under FINMA’s supervision. You can access it through this link: FINMA Licensed Institutions and Persons Page.

3. Enter the Broker’s Name:

On the FINMA website, you will find a search bar designed for checking the authorization status of financial firms. Enter the broker’s full legal name in this search bar. Make sure you input the name exactly as it appears on the broker’s official website. A precise search is crucial to ensure you are checking the correct entity, as some brokers may have similar or overlapping names.

4. Select the Category:

To refine your search and get the most relevant results, choose the appropriate category from the drop-down menu. For forex brokers, you should select “Banks and Securities Firms” as the category. This narrows down the search to firms that are authorized to offer forex and other securities trading services under FINMA’s regulation. Selecting the right category helps avoid confusion with other types of financial service providers.

5. Check the Broker’s Information:

Once the results are displayed, examine the broker’s profile on the FINMA website. Compare the information provided by FINMA with what’s available on the broker’s website. Look for details like the broker’s full name, address, and license status. It’s important to confirm that the broker is authorized as a bank or securities firm by FINMA, as this is a key requirement for offering forex trading services in Switzerland. If the broker is not listed or does not hold the necessary license, you should be cautious, as they may not be legally allowed to provide forex services. In such cases, it’s advisable to avoid dealing with that broker

Frequently Asked Questions ( FAQs)

What are Interactive Brokers?

Founded in New York, USA in 1978 by Thomas Peterffy, Interactive Brokers has grown into a global brand with over 2.1 million clients. It has become one of the leading online trading solutions for traders, investors, and advisors. The brokers give access to over 5000+ tradable assets including forex, CFDs, warrants, ETFs Options, Futures, Mutual Funds, and Bonds. To trade online, IBKR offers WebTrader, FIX API, MobileTrader (MobileApp), and TWS trading platforms.

Is Interactive Brokers Considered Safe?

Yes, Interactive Brokers is considered safe. Interactive Brokers is not regulated by FINMA. However, The broker is regulated by other reputed regulatory authorities including SEC, CFTC, FCA, FSCS, ASIC, IIROC, FSA. These regulations ensure strict compliance with industry standards and provide protection for client funds.