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BrokerRank — Regulation Guide

Forex Regulators Compared (2026)

Regulation is the strongest predictor of broker quality — 0.84 correlation with overall score. BrokerRank tracks 8 major regulators across 345 active brokers. Tier 1 regulators require strict capital adequacy, client fund segregation, and investor compensation schemes.

8

Regulators tracked

345

Brokers analyzed

3.73/5

Top avg (CFTC)

0.84

Regulation correlation

RegulatorCompensationLeverage CapBrokersAvg Rating
🇺🇸CFTCT1SIPC up to $500,0001:50 forex133.73/5
🇦🇺ASICT1Fund segregation1:30 retail553.59/5
🇸🇬MAST1SGD 1M capital req.1:20 retail343.57/5
🇨🇾CySECT1ICF up to €20,0001:30 retail503.51/5
🇬🇧FCAT1FSCS up to £85,0001:30 retail823.51/5
🇿🇦FSCAT2Limited protection1:500 (no cap)183.34/5
🇮🇳SEBIT2IPEF up to ₹15 lakh1:5–1:20193.04/5
🇩🇪BaFinT1EdW up to €20,0001:30 retail102.99/5
Tier 1CFTC, ASIC, MAS, CySEC, FCA, BaFin

3.48/5 avg broker rating

Strictest regulation globally. Mandatory client fund segregation, high capital requirements (€730k–$20M), regular independent audits, and investor compensation schemes (FSCS, ICF, SIPC). Brokers must maintain negative balance protection for retail clients.

Tier 2FSCA, SEBI

3.19/5 avg broker rating

Solid regulatory framework with meaningful investor protections, but lower capital requirements and no fixed government compensation scheme. Fund segregation is enforced. Higher leverage limits may be permitted compared to Tier 1 jurisdictions.

Methodology

Avg broker rating is calculated from BrokerRank's weighted score (regulation 25%, fees 20%, platform 15%, trust 15%, UX 15%, markets 10%) across all active brokers holding each license. A higher avg rating means brokers under this regulator tend to be higher quality overall — not that the regulator itself is "better" in isolation.

Full regulation analysis →