Is Capital.com Legal in Philippines? Is it Safe?
Reliability is the key criterion for choosing any broker. If you have doubts about the reliability of a company, it is not recommended to work with it. Traders from Philippines often ask “Is Capital.com safe? Does the company operate legally in the territory of the country, can it be trusted?" Traders Union analysts have prepared a detailed analysis, where we will see whether Capital.com is legal in Philippines and whether you can work with this broker.
Short summary about the broker Capital.com
Capital.com (Capital) is a British Forex broker that provides its services to traders and investors worldwide. The company's activities are regulated by five bodies: CySEC — the Cyprus Securities and Exchange Commission ( 319/17), the FCA — the UK Financial Conduct Authority ( 793714), ASIC ( AFSL 513393), FSA ( AFSL SD101) and SCB ( SIA-F245). The company is audited by Deloitte and cooperates with two large European banks (Raiffeisen, RBS).
Capital is ready to cooperate with active traders regardless of their experience, as well as with active investors who use shares of various companies for their work.
| 💰 Account currency: | USD, EUR, GBP, PLN, RUB |
| 🚀 Minimum deposit: | USD 20, EUR 20, GBP 20, PLN 100 |
| ⚖️ Leverage: | FCA - 1:30, CYSEC/ASIC - 1:30 |
| 💱 Spread: | Floating |
| 🔧 Instruments: | 2,813 stocks, 239 cryptocurrencies, 138 currency pairs, 27 indices, 38 commodities, futures |
| 💹 Margin Call / Stop Out: | 100%/50% |
Pros and cons of Capital.com
👍 Advantages of trading with Capital.com:
•Fast registration procedure, which takes no more than three minutes.
•Multiple ways to deposit and withdraw funds.
•Customer funds are held in segregated accounts.
•A large number of training materials and tools for market research and study.
•Multilingual support department - the company provides support in 13 languages.
•A wide range of trading instruments.
👎 Disadvantages of Capital.com:
•The broker does not offer clients investment programs such as PAMM accounts or copying trades.
•Trading on an account without identity verification is available only for 15 days from the first deposit. For further work, the trader must verify the account.
What information should a broker disclose?
Only the broker that discloses all legal information can be considered reliable. You need to take notice of this factor when choosing the company.
The official website of the broker should contain the following information:
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The name of the legal entity.
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Country of registration.
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Number of the registration certificate.
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Legal address, factual addresses of the offices of the broker.
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License to conduct financial activity.
The information must be published either in a special section on the website of the broker or in the disclaimer. Make sure to check it.
The official website of the broker must also provide internal regulatory documents. Before you start working with a company, review Terms of Use, Privacy Policy, Disclaimer, Risks Notice, and other documents.
Broker regulation
FCA
The FCA (Financial Conduct Authority) is the financial regulator of the UK. It is a non-government body that operates in cooperation with the Bank of English and the HM Treasury. The mission of the FCA is to regulate the operation of financial and investment companies, including Forex brokers.
A broker with the FCA license is fully legal in the UK. The document issued by this regulator is highly regarded also outside the UK. Also, the companies with licenses issued in other jurisdictions can operate in the UK.
CYSEC
The Cyprus Securities and Exchange Commission (CySec) is the financial regulator authority of Cyprus. The regulator has the power to audit companies and issue licenses to conduct financial activities in the territory of the country.
Cyprus is an EU member and therefore the CySec license also allows companies to operate in the entire territory of the EU. Furthermore, the document issued by the regulator is considered reliable beyond the borders of the EU countries.
ASIC
The Australian Securities and Investments Commission (ASIC) is the official financial regulatory body of Australia. The commission regulates the operation of banks, investment companies, Forex brokers, and participants of exchange and over-the-counter trading.
ASIC is a reputable authority. The license of this regulator is recognized as reliable in the entire world. Brokers with licenses issued by ASIC also operate outside Australia, for example in the EU countries, the UK, Asia, etc.
SCB
The Securities Commission of The Bahamas is an independent regulatory body of The Bahamas subordinated to the Ministry of Finance. The regulator supervises the securities market, investments, all exchange and non-exchange markets, including Forex. Obtaining a SCB license is mandatory for operating in The Bahamas.
SCB licenses are rather popular among Forex brokers, as the regulator has minimum requirements. The SCB has signs of an offshore regulator. However, a license of this regulator does not mean that a broker is unreliable. Before you start working with a company that operates on the SCB license, we recommend that you read the company review and user feedback about the company.
Is Capital.com legal in Philippines? Broker’s license
Security (Protection for Investors)
Capital.com is a UK-based broker registered in Wales and England, with registration number 10506220. Capital.com SV Investments Limited is registered in Cyprus, with the registration number: HE 354252. The broker is regulated by the FCA (Financial Conduct Authority) and CySEC ( Cyprus Securities and Exchange Commission). FCA: 78.91% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
CySEC: 83.45% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
The Capital.com broker also cooperates with large European banks Raiffeisen and RBS, in which traders' funds are stored in segregated accounts. Customer deposits are additionally protected by the ICF (Investor Compensation Fund) and FSCS (UK Financial Institutions Contributor Financial Compensation Program).
👍 Advantages
- The company's activities are controlled by two independent financial regulators - CySEC and FCA
- Customer funds are held in segregated accounts
- In case of unforeseen circumstances, traders will receive financial compensation
- Personal data of clients are reliably protected by the TLS inscription protocol
- The broker's website provides detailed information on the provisions, dispute resolution, and company policy
👎 Disadvantages
- Documents confirming the registration of the broker are not presented on the Capital.com website
Brokers that are similar to Capital.com
In addition to license and reliability, you also need to take notice of the trading conditions of brokers. This is important both for beginners and experienced traders, as the demands of the clients with different experience differ. Traders Union analysts have prepared a comparison table of Capital.com with similar brokers.
Comparison of Capital.com with other Brokers
| Capital.com | RoboForex | Pocket Option | Exness | Octa | XM Group | |
|---|---|---|---|---|---|---|
Trading platform |
MobileTrading, WebTrader, MT4, TradingView |
MT4, MT5, R MobileTrader, R StocksTrader, R WebTrader |
Pocket Option, MT5, MT4 |
Exness Trade App (mobile), Exness Terminal (web), MetaTrader5, MetaTrader4 |
MetaTrader4, MetaTrader5 |
MT4, MT5, MobileTrading, XM App |
Min deposit |
$20 |
$10 |
$5 |
$10 |
$25 |
$5 |
Leverage |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
Trust management |
No |
No |
No |
No |
No |
No |
Accrual of % on the balance |
No |
No |
No |
No |
No |
No |
Spread |
From 0 points |
From 0 points |
From 1.2 point |
From 1 point |
From 0.6 points |
From 0.6 points |
Level of margin call / stop out |
No |
No |
No |
No |
No |
No |
Execution of orders |
Market Execution |
Market Execution, Instant Execution |
Market Execution |
Market Execution, Instant Execution |
Market Execution |
Market Execution |
No deposit bonus |
No |
No |
No |
No |
No |
No |
Cent accounts |
No |
Yes |
No |
No |
No |
Yes |
The Capital.com broker is universal. It provides the same trading conditions for both experienced traders and beginners. On the company's website, you may find training materials and the opportunity to receive passive income through an affiliate program.
The minimum deposit in RoboForex is $10. Leverage up to 1:2000. Traders choose RoboForex for reliability, favorable trading conditions, minimum spreads, and commission fees. The company is recommended for beginner traders and experienced investors.
Pocket Option offers a wide range of trading instruments and copy trading services. It constantly improves its service quality and expands the list of assets and trading platforms. The broker is suitable even for novice traders without significant capital due to the low initial deposit. Experienced traders who work with CFDs and binary options can also use Pocket Option’s services.
Exness broker is a trusted broker partner that is compliant with all relevant terms. Exness complies with all payment obligations and pays money earned.
The Octa broker has tried to adapt its conditions as much as possible to the various trading strategies used by traders. However, at the moment the company is more focused on active market participants, rather than passive investors.
XM Broker is a broker for professional trading. Trading conditions correspond to the average market; there are technical advantages that distinguish XM Broker from its competitors.
Conclusions
Traders Union showed that Capital.com is indeed very reliable and legal in Philippines. The company holds all necessary licenses to conduct financial activity; it complies with all key requirements of the regulator. Legality of the broker’s operation in the country is one of the key criteria for choosing the company for trading. It is important to take this into consideration, as well as the trading conditions. In this case, we can say that the broker meets all the reliability requirements.
FAQ
Can I work with a broker who does not hold the license?
Trading with a broker without the license involves high risks. The license guarantees that the company performs its obligations. Working with a broker without the license creates a risk of manipulations with quotes, failure to pay, and other schemes.
Where can I complain if a broker with a license violated its obligations?
If a broker allows a violation of the conditions, you can appeal to the authority that issued the license and to the court.
How do I choose the best broker in Philippines for beginners?
Novice traders need to consider the brokers with licenses issued in Philippines or other European Union countries, availability of a demo account or cent account, the level of commissions and fees and minimum deposit, as well as educational materials.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.