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Scope Markets 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 Scope Markets and what the protections are.

Facts last checked . Read the full Scope Markets review.

Regulation and safety

Regulated by
Belize FSC (1943611); Mauritius FSC (GB19024853); Kenya CMA (Forex 123, Derivatives 143) through group entities
Regulator tier
Tier 2
Register entry
Belize FSC register, RS Global Ltd registration 1943611
Client money segregated
Yes
Held at
Local top-tier banks
Negative balance protection
No
Compensation scheme
No statutory investor compensation scheme for Belize clients
Audited by
Independent external auditors
Not available to
American Samoa, Australia, Austria, Belgium, Bulgaria, Canada, Croatia, Cyprus, Czechia, Denmark, El Salvador, Estonia, Finland, France, Germany, Greece, Guam, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Northern Mariana Islands, Norway, Poland, Portugal, Puerto Rico, Romania, Slovakia, Slovenia, Spain, Sweden, United Kingdom, United States, US Virgin Islands and additional restricted jurisdictions

Check the licence yourself: the Mauritius FSC register of licensees.

What this means

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

Scope Markets's licence is offshore (FSC). Offshore entities typically offer higher leverage and lighter reporting, and compensation schemes do not apply - the trade-off is protection, not price.

An FSC licence (Mauritius or Belize, depending on the entity) is an offshore authorisation with lighter reporting duties than a tier-one regulator.

Client money is held separately from the firm's own money, at Local top-tier banks. That separation is what makes your balance recoverable if the company fails, rather than part of the pool its creditors divide up.

There is no negative balance protection. In a fast market a position can gap straight through your stop, and without this the resulting debt is legally yours - you can lose more than you deposited.

Covered by No statutory investor compensation scheme for Belize clients, which pays eligible clients up to its limit if the firm fails owing client money.

Questions about Scope Markets regulation

Is client money segregated at Scope Markets?

Yes. Scope Markets holds client money separately from its own funds, at Local top-tier banks.

Does Scope Markets offer negative balance protection?

Negative balance protection at Scope Markets is recorded as: No.

Is there a compensation scheme at Scope Markets?

Scope Markets's compensation scheme is recorded as: No statutory investor compensation scheme for Belize clients. A scheme covers the broker failing, not losses on your trades.

Regulation at brokers under the same regulator

More about Scope Markets