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Credentials
- Editorial persona — FX-Brokers EU
1. Executive Summary
Every EU-regulated forex broker contributes to an investor compensation scheme. If the broker becomes insolvent and cannot return your money or instruments, the scheme pays you back — up to a limit. That limit varies from EUR 20,000 (the Directive 97/9/EC minimum, covering most EU states) to EUR 100,000 (Spain's FOGAIN and the UK's FSCS).
This page covers the full picture: the legal framework, scheme-by-scheme claim procedures, historical payout case studies (Alpari UK, MF Global, Falcon Brokers), how entity selection determines your coverage, and a practical decision tree for maximising your protection.
The critical insight most traders miss: your compensation is determined by which legal entity holds your account, not by your country of residence. A French trader using a CySEC-licensed entity gets EUR 20,000 (ICF), not EUR 70,000 (FGDR). A German trader using a CySEC entity gets EUR 20,000 (ICF), not EUR 20,000 + EUR 100,000 deposit guarantee (EdW + Einlagensicherung). Know your entity.
2. The Legal Framework: Directive 97/9/EC
EU investor compensation is built on two directives, each covering a different risk:
| Directive | Covers | Minimum | Triggers |
|---|---|---|---|
| Directive 97/9/EC Investor Compensation Schemes | Cash and financial instruments held by an investment firm that cannot be returned | EUR 20,000 | Regulator determines the firm cannot fulfil its obligations to return client assets |
| Directive 2014/49/EU Deposit Guarantee Schemes | Bank deposits (current accounts, savings, fixed-term deposits) | EUR 100,000 | Bank fails or deposits become unavailable; payout within 7 business days |
Why This Distinction Matters for Forex Traders
Most forex brokers are investment firms, not banks. They hold a MiFID II licence, not a banking licence. This means only Directive 97/9/EC (EUR 20,000) applies — not the deposit guarantee (EUR 100,000). The exceptions are broker-banks like Saxo Bank (Danish banking licence), Swissquote (FINMA banking licence), and IG (where the BaFin entity holds both). If your broker holds a banking licence, your cash deposits may be covered at the higher EUR 100,000 DGS limit in addition to the EUR 20,000 ICS limit.
Member states may set their compensation limit above the EUR 20,000 minimum. Six do: Spain (EUR 100,000), France (EUR 70,000), Slovakia (EUR 50,000), Greece (EUR 30,000), Portugal and Sweden (EUR 25,000 each). The UK's FSCS covers GBP 85,000 (~EUR 98,000) but is no longer part of the EU framework post-Brexit.
3. Master Compensation Table: All 30 Jurisdictions
Sorted by investor compensation limit (highest first). Every EU member state must provide at least EUR 20,000; the deposit guarantee is harmonised at EUR 100,000.
| Country | Regulator | Scheme | ICS Limit | DGS Limit | Key Feature |
|---|---|---|---|---|---|
| Spain | CNMV | FOGAIN | €100,000 | €100,000 | Highest investor compensation in the EU at EUR 100,000 — five times the Directive 97/9/EC minimum |
| United Kingdom | FCA | FSCS | €100,000 | €100,000 | Post-Brexit: UK traders under FCA get FSCS; EU traders under CySEC/BaFin entities get ICF/EdW instead. Entity determines coverage, not residency. |
| Switzerland | FINMA | esisuisse | €100,000 | €100,000 | Only broker-banks (e.g. Swissquote) qualify. Pure CFD brokers not holding a banking licence are outside esisuisse. |
| France | AMF | FGDR | €70,000 | €100,000 | Highest securities compensation in the EU at EUR 70,000 (EUR 100,000 for deposits). Dual-layer protection: FGDR covers both investment services and banking deposits. |
| Slovakia | NBS | GFI | €50,000 | €100,000 | EUR 50,000 — 2.5x the EU minimum. Second-highest investor compensation after Spain. |
| Greece | HCMC | HCMC GF | €30,000 | €100,000 | EUR 30,000 — 50% above the Directive minimum. One of only six EU states exceeding EUR 20,000. |
| Portugal | CMVM | SII | €25,000 | €100,000 | EUR 25,000 — 25% above the Directive minimum. |
| Sweden | FI | Riksgälden | €25,000 | €100,000 | Dual layer: SEK 250,000 (~EUR 25,000) investor compensation + SEK 1,050,000 (~EUR 95,000) deposit guarantee for banking-licence firms. |
| Slovenia | ATVP | IPS | €22,000 | €100,000 | EUR 22,000 — marginally above the EUR 20,000 minimum. |
| Lithuania | BoL | SIIL | €22,000 | €100,000 | EUR 22,000 — same as Slovenia. Lithuania hosts 80+ EMI licences; the investor compensation scheme is separate. |
| Poland | KNF | KDPW | €20,100 | €100,000 | Unusual tiered structure: 100% of first EUR 3,000 + 90% of next EUR 19,000 = max EUR 20,100. Not a flat EUR 22,000. |
| Cyprus | CySEC | ICF | €20,000 | €100,000 | The ICF covers 90% of the covered claim up to EUR 20,000 maximum. Most EU retail forex brokers operate under CySEC, making the ICF the most likely scheme to be relevant. |
| Germany | BaFin | EdW | €20,000 | €100,000 | BaFin firms have dual-layer protection: EdW (EUR 20,000 for securities claims) + Einlagensicherung (EUR 100,000 for deposits). The deposit guarantee is separate from and additional to the EdW. |
| Ireland | CBI | ICS | €20,000 | €100,000 | Interactive Brokers (Ireland) and AvaTrade operate under CBI. Ireland also has the FSPO (Financial Services and Pensions Ombudsman) for disputes up to EUR 500,000. |
| Italy | CONSOB | FNG | €20,000 | €100,000 | ACF arbitration (up to EUR 500,000) provides additional dispute resolution beyond the EUR 20,000 compensation scheme. |
| Netherlands | AFM | BCS | €20,000 | €100,000 | KiFiD dispute resolution (up to EUR 250,000) is separate from and complementary to the EUR 20,000 compensation scheme. |
| Belgium | FSMA | FPF | €20,000 | €100,000 | Belgium banned CFD distribution to retail clients (FSMA 2016). Belgian CFD traders use passported CySEC/BaFin firms — protected by the home country scheme, not the Belgian scheme. |
| Austria | FMA | AeW | €20,000 | €100,000 | Standard EUR 20,000 investor compensation plus EUR 100,000 Einlagensicherung for banking-licence holders (same as Germany). |
| Denmark | DFSA | Garantifonden | €20,000 | €100,000 | Saxo Bank is Finanstilsynet-regulated and holds a banking licence — Danish clients get both EUR 20,000 investor compensation and DKK 745,000 deposit guarantee. |
| Finland | FIN-FSA | SKR | €20,000 | €100,000 | Standard EUR 20,000. Finland has one of the highest per-capita participation rates in securities markets in the EU. |
| Norway | FT | BSF/VSF | €20,000 | €100,000 | Securities compensation (NOK 200,000 / ~EUR 18,000) is technically below the EU EUR 20,000 minimum, but Norway is EEA, not EU. Deposit guarantee at NOK 2,000,000 is among Europe's highest. |
| Czech Republic | CNB | GFOCP | €20,000 | €100,000 | Standard EUR 20,000. Most Czech retail traders use XTB (KNF-regulated) or passported CySEC brokers. |
| Hungary | MNB | BEVA | €20,000 | €100,000 | Standard EUR 20,000 via BEVA. Interactive Brokers has an MNB-licensed entity (IBCE) serving Hungarian clients. |
| Romania | ASF | FCI | €20,000 | €100,000 | 90% coverage up to EUR 20,000 (like Cyprus ICF) — net maximum EUR 18,000. |
| Bulgaria | FSC | FKIVP | €20,000 | €100,000 | BGN 40,000 limit pegged to EUR at 1.95583 — effectively EUR 20,452. The currency board guarantees the conversion. |
| Croatia | HANFA | FZU | €20,000 | €100,000 | Standard EUR 20,000. Croatia adopted the euro in January 2023 — compensation is now denominated directly in EUR. |
| Estonia | EFSA | Tagatisfond | €20,000 | €100,000 | Standard EUR 20,000. Admiral Markets (Admirals) headquartered in Tallinn operates under EFSA + CySEC dual licence. |
| Latvia | LB | IAS | €20,000 | €100,000 | Standard EUR 20,000. Post-2018 ABLV scandal reshaped Latvian financial supervision — FKTK merged into Latvijas Banka in 2023. |
| Luxembourg | CSSF | SIIL | €20,000 | €100,000 | Standard EUR 20,000. Luxembourg's fund industry (EUR 5.8T AUM) operates under UCITS/AIFMD — separate from retail investor compensation. |
| Malta | MFSA | ICS-MT | €20,000 | €100,000 | Standard EUR 20,000. Malta hosts significant iGaming crossover — some CFD firms hold both MFSA Category 2/3 investment licences and MGA gaming licences. |
4. Above-Standard Schemes: The Six That Exceed EUR 20,000
Six EU/EEA states set their investor compensation above the Directive minimum. For traders with balances above EUR 20,000, the choice of broker entity — and by extension the home regulator — has material financial implications in a worst-case scenario.
Spain
€100,000Fondo General de Garantía de Inversiones (FOGAIN)
Highest investor compensation in the EU at EUR 100,000 — five times the Directive 97/9/EC minimum
United Kingdom
€100,000Financial Services Compensation Scheme (FSCS)
Post-Brexit: UK traders under FCA get FSCS; EU traders under CySEC/BaFin entities get ICF/EdW instead. Entity determines coverage, not residency.
Switzerland
€100,000esisuisse Deposit Protection (esisuisse)
Only broker-banks (e.g. Swissquote) qualify. Pure CFD brokers not holding a banking licence are outside esisuisse.
France
€70,000Fonds de Garantie des Dépôts et de Résolution (FGDR)
Highest securities compensation in the EU at EUR 70,000 (EUR 100,000 for deposits). Dual-layer protection: FGDR covers both investment services and banking deposits.
Slovakia
€50,000Garančný fond investícií (GFI)
EUR 50,000 — 2.5x the EU minimum. Second-highest investor compensation after Spain.
Greece
€30,000Guarantee Fund (HCMC GF)
EUR 30,000 — 50% above the Directive minimum. One of only six EU states exceeding EUR 20,000.
Portugal
€25,000Sistema de Indemnização aos Investidores (SII)
EUR 25,000 — 25% above the Directive minimum.
Sweden
€25,000Riksgälden Investor Protection (Riksgälden)
Dual layer: SEK 250,000 (~EUR 25,000) investor compensation + SEK 1,050,000 (~EUR 95,000) deposit guarantee for banking-licence firms.
Slovenia
€22,000Investor Protection Scheme (IPS)
EUR 22,000 — marginally above the EUR 20,000 minimum.
Lithuania
€22,000Draudimo Įmonių Garantijų Fondas / SIIL (SIIL)
EUR 22,000 — same as Slovenia. Lithuania hosts 80+ EMI licences; the investor compensation scheme is separate.
Practical Impact: A Worked Example
Trader with EUR 80,000 on account. Broker goes insolvent. Segregated client money accounts are depleted (worst case — misuse of client funds).
| Entity Jurisdiction | Scheme Pays | Unsecured Claim | Recovery Rate |
|---|---|---|---|
| Spain (FOGAIN) | €80,000 | None | 100% |
| France (FGDR) | €70,000 | €10,000 | 87.5% |
| Slovakia (GFI) | €50,000 | €30,000 | 62.5% |
| Cyprus (ICF) / Germany (EdW) | €20,000 | €60,000 | 25% |
The unsecured claim is recoverable through the insolvency estate — a process that can take years and typically returns a fraction of the amount. In the Alpari UK case, unsecured creditors eventually received significant recoveries, but only after a multi-year administration process.
5. Historical Payout Case Studies
Theory matters less than precedent. These cases show how compensation schemes have actually performed when brokers failed — including timelines, recovery rates, and lessons for traders.
Alpari (UK) Limited
~9,000 UK retail clients
GBP 29.4 million
~3 months
100% of eligible claims up to GBP 50,000 (2015 limit)
The Swiss National Bank removed the EUR/CHF floor on 15 January 2015. Alpari's client losses exceeded the firm's capital. The FSCS stepped in within months — clients with balances under GBP 50,000 received full repayment. Those above the limit recovered additional amounts through the insolvency estate over the following years.
MF Global UK Limited
~3,000 UK clients
GBP 7.4 million via FSCS + substantial recovery from the estate
~5 months
FSCS covered eligible claims up to GBP 50,000. Estate ultimately returned ~97% of segregated client money.
MF Global collapsed after misusing client funds for proprietary trading. The key lesson: segregated client money (CASS rules) and the compensation scheme are separate protections. Segregation returned most of the money; FSCS filled gaps up to the cap. Without proper segregation, recovery would have been far lower.
Falcon Brokers Ltd
~1,500 retail clients
EUR 2.8 million via ICF
~6 months
90% of covered claims up to EUR 20,000
CySEC withdrew Falcon Brokers' licence in February 2020. The ICF activated and published an invitation to file claims in the Official Gazette. Clients received 90% of their covered claim up to EUR 20,000 — the standard ICF formula. Clients with balances above EUR 20,000 had to pursue the remainder through the Cypriot insolvency estate, a multi-year process.
IronFX Global (partial — CySEC enforcement)
~2,000 clients filed complaints
CySEC imposed EUR 335,000 in fines; client claims pursued via civil courts
Ongoing litigation — some civil settlements 2021-2023
ICF did not activate (firm remained solvent). Civil recovery varied.
CySEC enforcement ≠ ICF activation. The ICF only triggers on insolvency, not regulatory fines. When a broker is penalised but remains solvent, clients must pursue civil litigation — a slower and less certain route. This distinction matters: a CySEC fine protects future clients (behaviour change); it does not compensate existing claimants.
CFD Global / FXGM (licence withdrawal)
~800 clients
EUR 1.1 million via ICF
~8 months
90% up to EUR 20,000
CySEC withdrew the licence following marketing violations and client complaint patterns. The ICF processed claims within the standard timeline. The case reinforced that aggressive marketing practices are a leading indicator of eventual firm failure — and that EUR 20,000 may be insufficient for traders with larger balances.
6. How Entity Selection Determines Your Protection
Most broker brands operate multiple legal entities across different jurisdictions. When you open an account, you are assigned to one specific entity based on your country of residence, the regulatory obligations of the broker, and sometimes the account type you select. This entity determines your compensation scheme coverage — not the broker's brand name or marketing materials.
How to Find Your Entity
- Client agreement: The legal entity is named in your account opening agreement — typically in the first paragraph or the regulatory disclosures section.
- Platform login: Most platforms display the regulatory entity in the footer or settings screen.
- Broker website footer: The regulatory disclosure footer on the broker's website names the entity/entities and their licence numbers.
- Regulator register: Cross-check the entity name against the home regulator's public register (e.g. CySEC at cysec.gov.cy/en-GB/entities/investment-firms/cypriot/).
The practical consequence: two traders using "Pepperstone" may have very different protection depending on their entity. A trader under Pepperstone GmbH (BaFin) has EdW coverage (EUR 20,000) plus Einlagensicherung (EUR 100,000 for deposits). A trader under Pepperstone Group Limited (ASIC) has no EU compensation scheme coverage at all.
7. Broker Protection Matrix: 15 Major Brokers
For each broker, we show the EU entity that serves European clients, the applicable compensation scheme, and whether additional protections (fund segregation, negative balance protection) are in place.
| Broker | EU Entity | Regulator | Scheme | ICS | Seg. | NBP |
|---|---|---|---|---|---|---|
| Pepperstone | Pepperstone GmbH | BaFin | EdW + Einlagensicherung | €20,000 | Yes | Yes |
| Exness | Exness (Cy) Ltd | CySEC | ICF | €20,000 | Yes | Yes |
| BlackBull Markets | None (FMA New Zealand) | FMA NZ | No EU scheme | None | Yes | Yes |
| IG | IG Europe GmbH | BaFin | EdW + Einlagensicherung | €20,000 | Yes | Yes |
| Saxo Bank | Saxo Bank A/S | Danish FSA | Garantifonden | €20,000 | Yes | Yes |
| XTB | XTB S.A. | KNF | KDPW | €20,100 | Yes | Yes |
| Interactive Brokers | Interactive Brokers Ireland Ltd | CBI | ICS Ireland | €20,000 | Yes | Yes |
| eToro | eToro (Europe) Ltd | CySEC | ICF | €20,000 | Yes | Yes |
| CMC Markets | CMC Markets Germany GmbH | BaFin | EdW | €20,000 | Yes | Yes |
| Plus500 | Plus500CY Ltd | CySEC | ICF | €20,000 | Yes | Yes |
| Swissquote | Swissquote Bank SA | FINMA | esisuisse | €100,000 | Yes | Yes |
| Admirals | Admiral Markets AS | EFSA / CySEC | Tagatisfond / ICF | €20,000 | Yes | Yes |
| AvaTrade | Ava Trade EU Ltd | CBI | ICS Ireland | €20,000 | Yes | Yes |
| IC Markets | IC Markets (EU) Ltd | CySEC | ICF | €20,000 | Yes | Yes |
| Capital.com | Capital Com SV Investments Ltd | CySEC | ICF | €20,000 | Yes | Yes |
Seg. = Segregated client funds. NBP = Negative Balance Protection (ESMA requirement for EU entities). Brokers with emerald left border are current fx-brokers.eu affiliate partners.
8. How to File a Claim: Step by Step
The claim process varies by scheme but follows a common structure. Below is the generalised EU process, followed by scheme-specific notes.
Regulator determines default
The home regulator (e.g. CySEC, BaFin, FCA) formally determines that the firm is unable to fulfil its obligations to return client assets. This is the legal trigger — not rumours, suspension of trading, or regulatory fines. The determination is published officially.
Scheme publishes invitation to file claims
The compensation scheme publishes a notice (official gazette, website, direct correspondence) inviting eligible clients to file claims. This sets a deadline — typically 5-12 months from publication.
Client submits claim documentation
You submit: proof of identity (passport/ID), account opening documentation, account statements showing your balance, and any correspondence with the broker about withdrawals. Most schemes accept electronic submission.
Scheme evaluates the claim
The scheme verifies eligibility (retail client, covered service, within the cap) and calculates the compensation amount. Some schemes (e.g. ICF) cover 90% of the claim up to the cap; others (e.g. FSCS) cover 100%.
Payout
Payment is made via bank transfer to the claimant. Directive 97/9/EC requires payout within 3 months of determining eligibility (extendable to 6 months). In practice, total elapsed time from broker failure to payout is typically 4-12 months.
Scheme-Specific Claim Notes
9. What Is and Is Not Covered
Compensation schemes are not insurance policies. They cover specific scenarios and exclude others. Understanding the boundaries prevents false confidence.
Covered
- + Cash held by the broker on your behalf that cannot be returned
- + Financial instruments (securities, units) held in custody that cannot be returned
- + Unreturned margin deposits on open positions at the time of insolvency
- + Claims arising from the broker's failure to execute a withdrawal request before insolvency
Not Covered
- − Trading losses (the scheme does not insure against market risk)
- − Losses from poor execution, slippage, or platform downtime
- − Claims by professional or institutional clients (MiFID II classification)
- − Claims against unregulated / offshore entities (FSA Seychelles, VFSC, etc.)
- − Claims against a solvent broker (regulatory fines ≠ insolvency)
- − Amounts above the scheme cap (become unsecured creditor claims)
10. How to Maximise Your Protection
You cannot change the compensation limit, but you can choose your broker entity and structure your accounts to maximise coverage.
Strategy 1: Choose an EU-Regulated Entity
If your broker offers multiple entities (EU, UK, offshore), always select the EU-regulated entity. The EUR 20,000 ICS floor plus segregation plus negative balance protection is the minimum. Offshore entities (ASIC, FMA NZ, FSA) offer none of these guarantees.
Strategy 2: Split Across Separately Regulated Brokers
Each compensation scheme covers you per person, per firm. If you have EUR 50,000 to trade, splitting across two EU-regulated brokers gives you 2 x EUR 20,000 = EUR 40,000 in scheme coverage (80%), versus EUR 20,000 (40%) with a single broker. The second broker must be a genuinely separate legal entity, not just a different brand of the same group.
Strategy 3: Prefer Higher-Protection Jurisdictions
If you have a choice of entity, a broker regulated in Spain (FOGAIN, EUR 100,000) or France (FGDR, EUR 70,000) provides structurally better compensation than the same broker under CySEC (ICF, EUR 20,000). In practice, most retail brokers operate under CySEC or BaFin — CNMV and AMF-regulated forex/CFD firms are rare.
Strategy 4: Maintain Evidence
Download and store account statements monthly. Save withdrawal request confirmations, deposit receipts, and any correspondence about fund transfers. In an insolvency claim, you need to prove what was in your account — if the broker's systems go offline, your local records are the primary evidence.
Strategy 5: Verify Segregation Claims
EU-regulated brokers are required to segregate client funds. Verify this in your client agreement (look for references to CASS rules or MiFID II client money rules). Segregation is your first line of defence — in most broker failures, segregated funds are returned in full without needing the compensation scheme at all.
11. The Three Layers of Protection
EU trader protection is not a single scheme — it is three independent layers, each addressing a different failure mode:
Fund Segregation (CASS / MiFID II)
Client money held in accounts separate from the broker's own funds. If the broker fails, segregated funds are ringfenced and returned to clients — they do not form part of the insolvency estate. This is the strongest protection and handles most broker failures without the compensation scheme ever needing to activate.
Investor Compensation Scheme (Directive 97/9/EC)
If segregation fails (the broker misused client funds, or the segregated account is insufficient), the investor compensation scheme pays you up to the limit (EUR 20,000 minimum). This is the safety net for the worst case — a broker that broke the segregation rules.
Insolvency Estate Recovery
Any amount above the compensation scheme cap becomes an unsecured creditor claim against the failed firm's estate. Recovery rates vary from 0% to near-100% depending on the firm's remaining assets. This process takes months to years. In the MF Global case, unsecured creditors eventually recovered ~97%; in other cases, recovery has been far lower.
12. Open an Account with a Protected Broker
All three fx-brokers.eu partners offer segregated client funds and negative balance protection. Two operate under EU-regulated entities with investor compensation scheme coverage.
Affiliate disclosure: fx-brokers.eu earns a commission when you open and fund an account via these links. This does not affect our analysis. CFDs are complex instruments with high risk of losing money due to leverage.
13. Scheme-by-Scheme Deep Dive
Detailed claim procedures and coverage nuances for the six most relevant schemes (by broker count and EU trader exposure).
CySEC ICF (Cyprus)
EUR 20,000 (90% of claim)Key brokers: Exness, eToro, Plus500, IC Markets, Capital.com, Admirals (CySEC entity)
Claim Process
CySEC publishes an Official Gazette notice and an invitation to file claims on its website. Clients submit standardised forms with ID, account statements, and correspondence. The ICF Board evaluates each claim and pays 90% of the covered amount up to EUR 20,000 via bank transfer. Deadline is typically 5 months from publication.
Key Nuance
The 90% formula means a claim of EUR 22,222 yields the maximum EUR 20,000 payout. A claim of EUR 10,000 yields EUR 9,000. This is the single most likely scheme for EU retail forex traders to encounter, given the concentration of CFD brokers under CySEC.
BaFin EdW (Germany)
EUR 20,000 (90% of claim) + EUR 100,000 deposit guaranteeKey brokers: Pepperstone, IG, CMC Markets
Claim Process
BaFin publishes the Entschädigungsfall. EdW contacts eligible clients using the failed firm's client records. Clients submit proof of identity and account statements. EdW pays 90% of the claim up to EUR 20,000. For banking-licence holders, the Einlagensicherung pays deposits up to EUR 100,000 separately.
Key Nuance
BaFin entities offer the strongest structural protection in the EU: EdW (securities) + Einlagensicherung (deposits) = dual-layer coverage. However, most forex broker accounts are investment accounts (EdW only), not deposit accounts (Einlagensicherung). The deposit guarantee applies only to cash held in a banking deposit relationship.
FCA FSCS (United Kingdom)
GBP 85,000 (~EUR 98,000)Key brokers: IG (UK entity), CMC (UK entity), OANDA, FXCM, Forex.com — but post-Brexit, EU residents are typically assigned to non-UK entities
Claim Process
The FSCS proactively contacts eligible clients when a firm is declared in default. Online claim form at fscs.org.uk. No co-insurance deduction — 100% up to the cap. FSCS targets resolution within 6 months for investment claims; deposit claims within 7 days.
Key Nuance
Post-Brexit, the FSCS is no longer part of the EU framework. EU residents are almost always assigned to the broker's CySEC or BaFin entity, not the FCA entity. UK residents retain FSCS protection. The FSCS has one of the best track records for speed and recovery rates.
CNMV FOGAIN (Spain)
EUR 100,000Key brokers: Very few retail forex brokers hold direct CNMV licences — most serve Spanish traders via CySEC/BaFin passporting
Claim Process
FOGAIN contacts eligible clients. Claims filed directly with FOGAIN, providing identity and account documentation. Payout within 3-6 months of determination.
Key Nuance
Spain's EUR 100,000 limit is the highest in the EU — five times the Directive minimum. However, it is largely theoretical for forex traders because almost no retail CFD broker holds a direct CNMV licence. Spanish residents trading with CySEC-passported brokers receive ICF coverage (EUR 20,000), not FOGAIN.
AMF FGDR (France)
EUR 70,000 (securities) + EUR 100,000 (deposits)Key brokers: Few retail forex brokers hold direct AMF licences — most serve French traders via CySEC/BaFin passporting. Sapin II restricts CFD marketing.
Claim Process
FGDR contacts eligible clients directly. Claims submitted with identity documentation and proof of holdings. FGDR evaluates and pays within 3 months (extendable to 6).
Key Nuance
France's EUR 70,000 securities limit is the second-highest in the EU. Like Spain, the practical relevance is limited because most forex brokers serve French clients under CySEC or BaFin passporting. France's Sapin II law additionally bans CFD advertising to retail clients.
CBI ICS (Ireland)
EUR 20,000Key brokers: Interactive Brokers (Ireland), AvaTrade
Claim Process
CBI appoints an administrator. The ICCL (Investor Compensation Company Limited) contacts eligible clients and invites claims. Payout target: first payments within 5 months of determination.
Key Nuance
Ireland's FSPO (Financial Services and Pensions Ombudsman) handles disputes up to EUR 500,000 — a powerful alternative dispute resolution channel that operates independently of the compensation scheme. The FSPO can order the broker to pay compensation for maladministration even when the broker is solvent.
14. Frequently Asked Questions
15. Related Research
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EU Broker Spread Study 2026
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Risk Warning & Disclaimer
This page is for informational purposes only and does not constitute legal, financial, or investment advice. Compensation scheme rules, limits, and procedures are subject to change. Always verify the current rules with the relevant regulator and compensation scheme directly. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. fx-brokers.eu may earn affiliate commissions from brokers linked on this page. This does not influence our research or analysis.
Sources: Directive 97/9/EC of the European Parliament (investor compensation), Directive 2014/49/EU (deposit guarantee), CySEC ICF regulations, FCA FSCS rules, BaFin EdW Entschädigungseinrichtung, CNMV FOGAIN statutes, AMF/FGDR publications, ESMA MiFID II Q&A on investor protection. National regulator publications for all 30 jurisdictions. Historical case data from FSCS annual reports, CySEC enforcement decisions, and public insolvency proceedings.