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IG regulation: what happens if the firm fails

The licence is what decides where your money sits and who is obliged to do something about it. Here is who licenses IG and what the protections are.

Facts last checked . Read the full IG review.

Regulation and safety

Regulated by
FCA (195355); ASIC (AFSL 220440); BaFin (148759); FINMA; MAS; FMA New Zealand (FSP18923); JFSA; DFSA; BMA; NFA/CFTC
Regulator tier
Tier 1
Register entry
FCA Financial Services Register, FRN 195355
Client money segregated
Yes
Held at
Regulated banks in segregated client trust accounts
Negative balance protection
Yes, retail CFD clients where required
Compensation scheme
FSCS up to £85,000 for eligible UK clients; statutory schemes vary by regulated entity
Audited by
PricewaterhouseCoopers LLP
Not available to
United States for OTC CFDs and other jurisdictions where IG products are prohibited or IG is not authorised

Check the licence yourself: the FCA Register, ASIC Connect, the MAS Financial Institutions Directory, the New Zealand Financial Service Providers Register, the DFSA public register, NFA BASIC.

What this means

The licence is what decides where your money sits and who is obliged to do something about it.

IG holds tier-one authorisations from ASIC, FCA, MAS, FMA, BaFin and FINMA. That matters more than any headline spread: it determines your leverage cap, whether losses can exceed your deposit, and what happens to your money if the firm fails.

ASIC caps retail leverage at 1:30, requires negative balance protection, and obliges the broker to hold client money in a separate trust account.

The FCA caps retail leverage at 1:30, mandates negative balance protection, and covers eligible clients under the Financial Services Compensation Scheme.

The DFSA regulates from the Dubai International Financial Centre, a separate legal jurisdiction from the wider UAE.

Client money is held separately from the firm's own money, at Regulated banks in segregated client trust accounts. That separation is what makes your balance recoverable if the company fails, rather than part of the pool its creditors divide up.

Negative balance protection applies, so a losing position cannot take the account below zero and leave you owing the broker money.

Covered by FSCS up to £85,000 for eligible UK clients; statutory schemes vary by regulated entity, which pays eligible clients up to its limit if the firm fails owing client money.

Questions about IG regulation

Is client money segregated at IG?

Yes. IG holds client money separately from its own funds, at Regulated banks in segregated client trust accounts.

Does IG offer negative balance protection?

Yes. IG offers negative balance protection, so a losing position cannot leave you owing the broker more than your account held.

Is there a compensation scheme at IG?

IG's compensation scheme is recorded as: FSCS up to £85,000 for eligible UK clients; statutory schemes vary by regulated entity. A scheme covers the broker failing, not losses on your trades.

Regulation at brokers under the same regulator

More about IG