--- title: "Broker groups and regulators: who opens your account" description: "Big CFD brokers run several companies under one brand, each licensed by its own regulator. The company that opens your account decides which rules apply." canonical: https://thetraderwiki.com/en/broker-groups-and-regulators/ lang: en kind: article published: 2026-10-10 updated: 2026-10-15 author: "Samuel T." (https://thetraderwiki.com/en/authors/samuel-t/) html: https://thetraderwiki.com/en/broker-groups-and-regulators/ json: https://thetraderwiki.com/en/broker-groups-and-regulators/index.json --- # Broker groups and regulators: one brand, several regulated companies [Home](https://thetraderwiki.com/en/) › [Guides](https://thetraderwiki.com/en/learn/) › [Broker groups and regulators](https://thetraderwiki.com/en/broker-groups-and-regulators/) A broker group is a family of companies that trade under one brand. Each one is set up in its own country, where that country’s financial regulator, a government body, licenses it. So every company in the group is regulated, but not by the same regulator and not under the same rules. The company that opens your account determines which regulator’s rules apply to you. The brand and website appear identical across the group, so check your [client agreement](https://thetraderwiki.com/en/choosing-a-provider/#licence-verification). The agreement names the company. ## Key points - Big [CFD](https://thetraderwiki.com/en/glossary/#cfd) names like [IG](https://thetraderwiki.com/en/ig/), [CMC Markets](https://thetraderwiki.com/en/cmc-markets/), [XTB](https://thetraderwiki.com/en/xtb/) and [Eightcap](https://thetraderwiki.com/en/eightcap/) operate multiple companies apiece. Between them, those companies hold licences in places such as the UK, the EU, Australia, Bermuda, the Bahamas, Belize or the Seychelles. - Every company within a group is regulated by a government body in its own country, and each one appears on that regulator’s published list. - The regulator of the company that opens your account sets the rules on [leverage](https://thetraderwiki.com/en/glossary/#leverage), [negative balance protection](https://thetraderwiki.com/en/glossary/#negative-balance-protection) and [margin close-out](https://thetraderwiki.com/en/glossary/#margin-close-out), not the brand. - In the EU, national regulators such as [CySEC](https://www.cysec.gov.cy/) and [BaFin](https://www.bafin.de/) license the companies. [ESMA](https://www.esma.europa.eu/) coordinates these regulators, and its CFD restrictions now apply as national rules in every member state. - Opening an account with the group’s [global company](https://thetraderwiki.com/en/offshore-brokers/) has to be your own idea. ## How a broker group is built Usually, a broker group is made up of a parent company with several operating companies beneath it. Each operating company holds a licence in one country and accepts clients from a set of countries. They share a name and website, and they usually share a trading platform. A group might run a UK company under the [FCA](https://www.fca.org.uk/), a Cyprus company under CySEC, an Australian company under [ASIC](https://asic.gov.au/) and a global company based in the Bahamas or the Seychelles. Each of those companies operates under the regulation of a government body. Public regulators include the Seychelles Financial Services Authority, the Securities Commission of The Bahamas and the Bermuda Monetary Authority. Every regulator keeps a published list of the companies it licenses ([FSA list](https://fsaseychelles.sc/regulated-entities/capital-markets), [SCB list](https://scb.gov.bs/wp-content/uploads/2026/10/SIA-Firms-as-at-30-September-2026-1.pdf), [BMA list](https://www.bma.bm/regulated-entities)). What changes from one regulator to the next is the set of rules for [retail clients](https://thetraderwiki.com/en/glossary/#retail-client), not whether the company is regulated. ## Can someone in the EU open an account with a global company? Some people living in the EU try opening an account with a group’s global company instead of its EU company. Under EU law, a firm outside the EU without EU authorisation may serve an EU client if that person approaches it on their own exclusive initiative ([MiFID II, Article 42](https://eur-lex.europa.eu/eli/dir/2014/65/oj)). The choice to approach a global company has to be yours. Groups differ in how they handle this, and you can see how in their own sign-up forms and contracts. Find out by going to the broker’s own sign-up portal and seeing whether it will register you under its global company’s licence. The [broker comparison](https://thetraderwiki.com/en/compare-brokers/) lists the brokers this site covers and their companies. A global company applies its own regulator’s rules and uses its own contract. So its leverage and protection are its own, not the EU ones ([why some EU traders choose a global company](https://thetraderwiki.com/en/eu-traders-global-brokers/)). ## Six broker groups and the regulators of their companies Six broker groups covered on this site show the pattern. Each runs companies in the UK and the EU and a global company licensed somewhere else ([FSA list](https://fsaseychelles.sc/regulated-entities/capital-markets), [SCB list](https://scb.gov.bs/wp-content/uploads/2026/10/SIA-Firms-as-at-30-September-2026-1.pdf), [BMA list](https://www.bma.bm/regulated-entities), [FSC register](https://licensys.belizefsc.org.bz/#/publicSearch?__meta__formId=6928049e24c807681185b908&Page=1&PageSize=10&IsCurrent=true)). *Six broker groups: their UK and EU companies, their global company and the highest leverage each publishes for retail clients on major currency pairs.* | Brand | UK and EU companies | Global company | Leverage on major pairs, UK and EU against global | | --- | --- | --- | --- | | [Capital.com](https://thetraderwiki.com/en/capital-com/) | Capital Com (UK) Limited, FCA. Capital Com SV Investments Limited, CySEC | Capital Com Online Investments Ltd, Securities Commission of The Bahamas | 30:1 against 200:1 | | [CMC Markets](https://thetraderwiki.com/en/cmc-markets/) | CMC Markets UK plc, FCA. CMC Markets Germany GmbH, BaFin | CMC Markets Bermuda Ltd, Bermuda Monetary Authority | 30:1 against 200:1 | | [Eightcap](https://thetraderwiki.com/en/eightcap/) | Eightcap Group Ltd, FCA. Eightcap EU Ltd, CySEC | Eightcap International Ltd, Seychelles Financial Services Authority | 30:1 against 500:1 | | [IG](https://thetraderwiki.com/en/ig/) | IG Markets Ltd, FCA. IG Europe GmbH, BaFin | IG International Limited, Bermuda Monetary Authority | 30:1 against 200:1 | | [Pepperstone](https://thetraderwiki.com/en/pepperstone/) | Pepperstone Limited, FCA. Pepperstone EU Limited, CySEC. Pepperstone GmbH, BaFin | Pepperstone Markets Limited, Securities Commission of The Bahamas | 30:1 against 200:1 | | [XTB](https://thetraderwiki.com/en/xtb/) | XTB Limited, FCA. XTB S.A., [KNF](https://www.knf.gov.pl/) in Poland | XTB International Limited, Financial Services Commission of Belize | 30:1 against 500:1 | Leverage figures come from each company’s own documents. The [broker comparison](https://thetraderwiki.com/en/compare-brokers/#leverage) shows them with the conditions attached. ## What the regulator of your company decides The regulator of the company that opens your account sets the rules that protect you. The table compares a company licensed in the UK, the EU or Australia with a group’s global company ([ESMA Decision (EU) 2018/796](https://eur-lex.europa.eu/eli/dec/2018/796/oj), [FCA PS19/18](https://www.fca.org.uk/publications/policy-statements/ps19-18-restricting-contract-difference-products-sold-retail-clients), [ASIC order](https://asic.gov.au/about-asic/news-centre/find-a-media-release/2020-releases/20-254mr-asic-product-intervention-order-strengthens-cfd-protections/)). *The retail rules a UK, EU or Australian company must apply, against what a global company applies.* | Rule | Company licensed in the UK, the EU or Australia | Global company | | --- | --- | --- | | Leverage on major currency pairs | 30:1 for retail clients | 200:1 or 500:1 at the groups above | | Margin close-out | Trades are closed when equity falls to 50 % of the [margin](https://thetraderwiki.com/en/glossary/#margin) needed | At whatever level the company’s terms set | | Negative balance protection | Required for retail clients | A right, a courtesy or absent, depending on the company | | Standard risk warning | Required, with the share of accounts that lose money | Not required by those rules | None of the rows depends on where you live. They depend on which company holds your account, and a group’s sign-up process decides that. ## ESMA, CySEC and the other EU regulators ESMA is the EU’s markets authority, but it doesn’t issue broker licences. In 2018 it brought in CFD restrictions for retail clients across the EU. Those restrictions covered [leverage caps](https://thetraderwiki.com/en/leverage-and-margin/#retail-caps), a margin close-out rule, negative balance protection, a ban on incentives and a standard risk warning ([ESMA Decision (EU) 2018/796](https://eur-lex.europa.eu/eli/dec/2018/796/oj)). Since 2019 those same restrictions have been applied as national rules by each member state’s own regulator ([ESMA](https://www.esma.europa.eu/policy-activities/mifid-ii-and-investor-protection/product-intervention)). Cyprus is an EU member state, and CySEC is its regulator. CySEC applies the EU’s CFD restrictions as its own rules ([CySEC PS-04-2019](https://www.cysec.gov.cy/CMSPages/GetFile.aspx?guid=2489c262-ffc6-4f64-ab57-90667c953d45)). A company licensed by CySEC gives retail clients the same 30:1 on major currency pairs as one licensed by BaFin in Germany. The UK has left the EU. The FCA has its own rules, and on leverage they match the EU’s ([FCA PS19/18](https://www.fca.org.uk/publications/policy-statements/ps19-18-restricting-contract-difference-products-sold-retail-clients)). When this site says a rule applies if the company that opens your account is regulated in the EU, a CySEC company counts. ## How to check which company opens your account Your client agreement shows the company’s legal name, and you’ll usually find it at the bottom of the sign-up page. Check that name against the list published by its regulator ([choosing a provider](https://thetraderwiki.com/en/choosing-a-provider/#licence-verification)). Don’t open the account if the name on your agreement differs from the one on that list. If the sign-up form moves you to a different company from the one you chose, that company’s terms apply. Read that company’s agreement, not the one you saw first. ## Questions about broker groups and regulators Questions about broker groups and regulators mostly come down to who licenses which company. ### Is a broker’s global company regulated? Yes, a broker’s global company is regulated. A company licensed in the Seychelles, the Bahamas, Bermuda or Belize is regulated by that country’s financial regulator and appears on its published list. What it doesn’t have is the EU, UK or Australian rules on leverage and protection. Those come only with a company licensed there. ### Is CySEC an EU regulator? Yes, CySEC is an EU regulator. CySEC is the regulator in Cyprus and Cyprus is an EU member state. It applies the EU’s CFD restrictions. A company licensed by CySEC gives retail clients the same leverage caps and protections as one licensed by BaFin in Germany. ### Does ESMA regulate brokers? No. ESMA coordinates the EU’s national regulators and set the CFD restrictions in 2018, but it doesn’t license brokers. The company that opens your account holds a licence from a national regulator like CySEC, BaFin or the KNF. ### Which company in a broker group will open my account? The company that opens your account depends on the group. Most groups choose the company based on the country you live in when you sign up. The company’s legal name is on your client agreement, and that’s the one whose rules apply to you. ## The brand doesn’t tell you what protects you > **Risk warning.** The brand doesn’t tell you what protects you. Two people using the same brand may have a different regulator, different leverage, different close-out rules and different protection if things go wrong. Read the [risk disclosure](https://thetraderwiki.com/en/risk-disclosure/) before you open any account. ## Sources The original documents this page cites, in the order they first appear. 1. [Cyprus Securities and Exchange Commission](https://www.cysec.gov.cy/), CySEC 2. [Bundesanstalt für Finanzdienstleistungsaufsicht](https://www.bafin.de/), BaFin 3. [European Securities and Markets Authority](https://www.esma.europa.eu/), ESMA 4. [Financial Conduct Authority](https://www.fca.org.uk/), FCA 5. [Australian Securities and Investments Commission](https://asic.gov.au/), ASIC 6. [Regulated entities: Capital Markets](https://fsaseychelles.sc/regulated-entities/capital-markets), Seychelles Financial Services Authority 7. [Firms registered under the Securities Industry Act, as at 30 September 2026](https://scb.gov.bs/wp-content/uploads/2026/10/SIA-Firms-as-at-30-September-2026-1.pdf), Securities Commission of The Bahamas, 2026-09-30 8. [Regulated entities](https://www.bma.bm/regulated-entities), Bermuda Monetary Authority 9. [Directive 2014/65/EU on markets in financial instruments (MiFID II)](https://eur-lex.europa.eu/eli/dir/2014/65/oj), EUR-Lex, 2014-05-15 10. [FSC Belize LicenSys, Licensed / Registered Service Providers: XTB INTERNATIONAL LIMITED, 6442514](https://licensys.belizefsc.org.bz/#/publicSearch?__meta__formId=6928049e24c807681185b908&Page=1&PageSize=10&IsCurrent=true), Financial Services Commission of Belize 11. [Komisja Nadzoru Finansowego](https://www.knf.gov.pl/), KNF 12. [ESMA Decision (EU) 2018/796 of 22 May 2018 to temporarily restrict contracts for differences in the Union](https://eur-lex.europa.eu/eli/dec/2018/796/oj), Official Journal of the European Union (EUR-Lex), 2018-05-22 13. [PS19/18: Restricting contract for difference products sold to retail clients](https://www.fca.org.uk/publications/policy-statements/ps19-18-restricting-contract-difference-products-sold-retail-clients), FCA, 2019-07-01 14. [20-254MR ASIC product intervention order strengthens CFD protections](https://asic.gov.au/about-asic/news-centre/find-a-media-release/2020-releases/20-254mr-asic-product-intervention-order-strengthens-cfd-protections/), ASIC, 2020-10-23 15. [Product Intervention](https://www.esma.europa.eu/policy-activities/mifid-ii-and-investor-protection/product-intervention), ESMA 16. [Policy Statement PS-04-2019: national product intervention measures on CFDs](https://www.cysec.gov.cy/CMSPages/GetFile.aspx?guid=2489c262-ffc6-4f64-ab57-90667c953d45), CySEC, 2019-09-27 ## Related pages - [Offshore forex brokers and CFD companies compared](https://thetraderwiki.com/en/offshore-brokers/): The global companies behind familiar brands, who regulates them and what their own terms say. - [Why some EU traders use a broker’s global company](https://thetraderwiki.com/en/eu-traders-global-brokers/): Why some traders in the EU choose a global company, what its leverage does and what changes. - [Choosing a forex broker or CFD broker without a ranking](https://thetraderwiki.com/en/choosing-a-provider/): Licence checks, how your money is protected, all-in costs, execution, withdrawals and red flags. - [Is forex and CFD trading safe, legal or a scam?](https://thetraderwiki.com/en/is-forex-and-cfd-trading-safe/): Legal in most countries, risky everywhere: how to tell a real product from a fraud, country by country. - [Maximum leverage: what “up to 500:1” really means](https://thetraderwiki.com/en/maximum-leverage/): Why the leverage a provider advertises isn’t the leverage you get, and what you give up to reach it. --- CFDs are complex, leveraged products, and the regulators’ own figures show that most retail accounts lose money. Nothing on TheTraderWiki is investment advice. Read the full [risk disclosure](https://thetraderwiki.com/en/risk-disclosure/), and if you’re unsure, talk to a qualified adviser. Broker details can change and they can be wrong. Before you open an account, confirm them with the broker and the regulator’s register.