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Why you Should Avoid Unregulated Brokers

In today’s markets, it’s not un-common to see forex brokers popping up, left right and center. The lure of running a successful forex brokerage means amateurs are opening their own forex business to replicate larger, more successful institutions.

Why is it important to check if a broker is regulated?

The more pertinent question here is why wouldn’t a broker become regulated?

There are several reasons why a new broker would consider not becoming regulated, one of them being to save on operating costs. Regulatory licenses can be extremely costly and can even run into millions of dollars to maintain. Also, brokers are expected to have the appropriate amount of capital to ensure the they can properly operate. Being regulated means that this could become a barrier to entry, while no regulation means brokers can enter the market without appropriate capital requirements being met. The shortfall with this is that client’s funds can fall victim to brokerages that shut down without providing their clients proper compensation.

Often new brokers will operate offshore to offset tax costs. This is not unusual and in fact is a common practice among many brokers. However, when an off-shore brokerage is not regulated, this allows for fraudulent activities to take place without a regulator protecting the client’s funds.

The whole point of regulators is purely for the protection of the broker’s clients. Regulatory oversight helps protect traders from fraud. Brokers will often make use of compensation funds to protect the trader in the case where a brokerage suffers a financial collapse.

Regulators offer clients safety and peace of mind for investors

Tradeview’s top priority is our customers. We strive for customer satisfaction and transparency. Tradeview is regulated by the Cayman Islands Monetary Authority, or CIMA, which you can learn more about here.

Tradeview also segregates clients funds to better protect our traders, you can read more on our funds protection policy here.

Should you require more information on Tradeview, please don’t hesitate to email us

Also, be sure to check out what Tradeview customers have to say about us by reading their Trust Pilot Reviews

Tradeview Markets Trust Pilot reviews

Ryan Boltman

Business Development
rboltman@tvmarkets.com

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Tradeview Ltd. is not a portfolio manager or an investment advisor. This Market Report is for informational purposes only. Any statements made or opinions voiced in this Market Report do not constitute investment advice. The Tradeview Ltd. Market Report does not constitute a solicitation to buy or sell in the financial markets. Although the information contained in the Market Report comes from trusted sources, Tradeview Ltd. is not responsible for guaranteeing the accuracy, timeliness, completeness, or fitness of such sources. Tradeview Ltd. shall not be responsible for and disclaims all liability for any losses which may be suffered from access and use of the contents of the Tradeview Ltd. Market Report. Trading any financial instrument on margin, using leverage or otherwise involves considerable risk. Therefore, before deciding to participate in any style of trading, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. Consulting with your investment counselor, attorney, accountant or other professional upon whom you rely for guidance as to the appropriateness of an investment in any style of trading is recommended.

Tradeview Ltd.

Is licensed to carry on securities investment business and is regulated by the Cayman Islands Monetary Authority (CIMA) as a full securities broker-dealer. Tradeview conducts business pursuant to the Cayman Islands Securities Investment Business Law (SIBL) and its activities fall under the direct supervision of the Investments and Securities Division of CIMA.
Headquarters: 5th Floor Anderson Square, 64 Shedden Road, Georgetown, Grand Cayman, Cayman Islands KY1-1002, BWI.
Website: www.tradeviewforex.com

Tradeview Asia Ltd.

Is licensed and regulated by the Labuan Financial Services Authority (FSA) as a Money Broker, registration number LL15870 licensed to facilitate transactions in foreign exchange pursuant to Labuan Financial Services and Securities Act 2010, the Labuan Companies Act 1990 and the Labuan Business Activity Tax Act 1990.
Headquarters: International Business Financial Centre at Office 5, Jamie Business Center I, Unit F10, First Floor, Paragon Labuan, Jalan Mustapha, 87000 Labuan F.T.
Website: www.tvmgloballtd.com

Tradeview Europe Ltd.

Is licensed as a Category 2 Investment Service Company and is regulated by the Malta Financial Services Authority (MFSA). The Malta Financial Services Authority (MFSA) is the single regulator for financial services in Malta. MFSA is a fully autonomous public institution and reports to Parliament on an annual basis. The MFSA is a member of the European Banking Authority (EBA), the European Securities and Markets Authority (ESMA) and the International Organization of Securities Commissions (IOSCO) and is a signatory of the Multilateral Memorandum of Understanding with other European regulatory Institutions. Tradeview is authorized to provide financial services across multiple asset classes and is passported in the EU/EEA under MiFID II (EU Markets in Financial Instruments Directive).
Headquarters: 157 Archbishops Street, Valletta VLT Malta 1440.
Website: www.tradeview.eu

Tradeview Financial Markets S.A.C Global

Is authorized to conduct business pursuant to and in compliance with the General Law of Companies (LGS) promulgated by the government of Peru. Tradeview Financial Markets S.A.C is registered with the National Superintendence of Public Registries (SUNARP), company number 13089531. Tradeview Financial Markets S.A.C provides financial services in selected OTC derivative markets in compliance with all applicable government regulations.
Headquarters: Los Mirtos 239 Urb. San Eugenio, Lince, Lima, Perú.
Website: www.tradeviewlatam.com