Forex Brokers in Cyprus

CySEC regulation

In Cyprus, Forex brokers must be regulated by the CySEC, the Cyprus Securities and Exchange Commission. Even if there are serious requirements to have a licence from the CySEC, the rules are more strict than in the early years, this juridiction is still seen as friendly and attractive for Forex brokerage firms. Due to the fact that Cyprus is a state of the European Economic Area, CySEC take part of the European MiFID regulation. It means that all Forex brokers registered in Cyprus and regulated by the CySEC can have access to the market of the European Economic Area and are allowed to offer their services to european customers. That is why a lot of Forex brokers choosed to be domiciled in Cyprus. It is now even more the case due to the fact there are a lots of supplying companies that can serve brokerage firms there, Cyprus is still one of the most attractive country for Forex brokers. From the point of view of a trader, Cyprus-based forex brokers can be well considered.
CySEC brokers must conform to the following rules:

• Funds of traders must be kept in segregated accounts.
• There is an insolvency protection under the Investor Compensation Fund, compensating clients up to €20,000.
• Financial statements of brokers must be reviewed on a periodic basis.