Is MultiBank Regulated in UK? Is it Legit? - TU Expert review
MultiBank is a regulated Forex broker supervised by financial authorities in. The broker adheres to the standards established by its regulators, ensuring a secure and transparent trading environment. MultiBank countries of regulation:
| Regulator | Full name | Country |
|---|---|---|
| BVI FSC | British Virgin Islands Financial Services Commission | British Virgin Islands |
| VFSC | Vanuatu Financial Services Commission | Vanuatu |
| BaFin | Federal Financial Supervisory Authority | Germany |
| CySec | Cyprus Securities and Exchange Commission | Cyprus |
| ASIC | Australian Securities and Investments Commission | Australia |
| MAS | Monetary Authority of Singapore | Singapore |
| CIMA | Cayman Islands Monetary Authority | Cayman Islands |
| ESCA (UAE) | Emirates Securities and Commodities Authority | United Arab Emirates |
Is MultiBank regulated in UK? Broker’s license
Security (Protection for Investors)
MultiBank Group is a heavily regulated broker, verified by 11 financial regulators worldwide. Their latest entity, MEX Atlantic, is taking their success a step further by offering an insurance policy with Lloyd’s of London, that protects clients’ funds up to 1 million USD per account. To secure client funds further, MultiBank Group provides their clients with:
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Segregated accounts
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Tier 1 Banking
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Paid up capital of $322 million USD
Is MultiBank regulated in UK? Broker’s license
MultiBank regulation review
| Regulator | Country | Regulation level | Investor Protection Fund |
|---|---|---|---|
|
BVI FSC
|
British Virgin Islands | Tier-2 | No specific fund |
|
VFSC
|
Vanuatu | Tier-3 | No specific fund |
|
BaFin
|
Germany | Tier-1 | Up to €20,000 |
|
CySec
|
Cyprus | Tier-1 | Up to €20,000 |
|
ASIC
|
Australia | Tier-1 | No specific fund but has stringent consumer protection |
|
MAS
|
Singapore | Tier-1 | No specific fund |
|
CIMA
|
Cayman Islands | Tier-3 | No specific fund |
|
ESCA (UAE)
|
United Arab Emirates | Tier-2 | Varies depending on the case, no fixed limit. |
Understanding Forex Regulation Levels
When choosing a Forex broker, their regulatory framework plays a pivotal role in ensuring trust and security. Below is an overview of the different regulatory tiers:
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Tier-1 Regulators:
These authorities are globally recognized for their strict oversight and high compliance standards. They prioritize trader safety, financial transparency, and overall market stability. Notable examples include the FCA in the United Kingdom and ASIC in Australia. -
Tier-2 Regulators:
While not as stringent as Tier-1, these regulators enforce solid compliance protocols that provide traders with a fair degree of security and reliability. -
Tier-3 Regulators:
Often limited to simple registration processes, Tier-3 regulators operate in jurisdictions with minimal oversight. Brokers under Tier-3 regulation face fewer compliance demands, offering traders less protection.
Short summary about the broker MultiBank
Established in 2005, MultiBank Group has successfully stamped its authority in the world of trading. It has a valid impact in the foreign exchange industry with providing exemplary products, services, and trading platforms. With a paid-up capital of over $322 million, MultiBank Group is recognized as one of the largest only financial derivatives providers worldwide.
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The Group is closely supervised by 11 financial regulators worldwide across various jurisdictions, what ensures investor protection. Entities regulated by SCA (20200000045), MAS (CMS101174), CySEC (430/23), ASIC (416279), AUSTRAC (100724469), BaFin (HRB 73406), FMA (491129z), FSC (SIBA/L/14/1068), CIMA (1811316), TFG, VFSC (700443).
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20,000+ CFD Products across six asset classes including Forex, Metals, Commodities, Indices and Cryptocurrencies
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Lowest spreads, starting from 0.0* pips on Forex, and $0.07 on Gold.
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Multi-lingual Expert Customer support 24/7
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Guaranteed funds withdrawals within 24 hours
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Zero commission trading and negative balance protection
| 💰 Account currency: | USD, GBP, EUR, CHF, AUD, AED, NZD, CAD |
| 🚀 Minimum deposit: | $50 |
| ⚖️ Leverage: | Up to 1:500 |
| 💱 Spread: | from 0.0 pips |
| 🔧 Instruments: | Forex, Metals, Shares, Indices, Commodities, Cryptocurrencies |
| 💹 Margin Call / Stop Out: | 50% |
Pros and cons of MultiBank
👍 Advantages of trading with MultiBank:
•the ability to trade from professional ECN accounts with floating spreads from 0.1 pips;
•popular trading platforms MT4 and MT5, mobile applications and web terminals compatible with various OS and browsers;
•several options for passive earnings including a service for copying trades, PAMM accounts, free MAM, EA, VPS, API and an affiliate program.
•ECN start from 0 pips.
👎 Disadvantages of MultiBank:
•lack of micro (cent) accounts;
•trading restrictions on scalping;
Why is it important for a broker to have the license in UK?
A financial license is the key document for any broker. It confirms that the company complies with the requirements of the financial regulator and observes the law. It is important for traders to choose a broker registered their jurisdiction for the following reasons:
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Any claim is filed at the place of the broker’s registration. Accordingly, in case any dispute arises, it will be easier for the trader to file a claim.
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A license issued in UK guarantees that the broker operates in compliance with the laws of this country and reports to the local regulatory authorities.
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Traders can claim compensation under the government programs of deposit guarantees in case the broker experiences financial problems.
It is also possible to choose a broker that is not regulated in UK. In that case, however, the company must have a license from a reliable regulator, for example of an EU country, the UK, USA, Australia, etc.
Brokers that are similar to MultiBank
In addition to MultiBank, also other brokers from this jurisdiction have the license of UK. MultiBank has many competitors, and before you start working with this broker, you need to compare it to other companies. TU analysts have prepared a comparison of brokers that operate in the UK market and have a license of this or another reliable jurisdiction.
Comparison of MultiBank with other Brokers
| MultiBank | Eightcap | XM Group | RoboForex | Octa | NPBFX | |
|---|---|---|---|---|---|---|
Trading platform |
ECN Pro, MultiBank Pro (MT4), Maximus |
MT4, MT5, TradingView |
MT4, MT5, MobileTrading, XM App |
MT4, MT5, R MobileTrader, R StocksTrader, R WebTrader |
MetaTrader4, MetaTrader5, OctaTrader |
MT4 |
Min deposit |
$50 |
$100 |
$5 |
$10 |
$25 |
$10 |
Leverage |
From 1:1 |
From 1:30 |
From 1:1 |
From 1:1 |
From 1:40 |
From 1:200 |
Trust management |
Yes |
No |
No |
No |
No |
No |
Accrual of % on the balance |
No |
No |
No |
10.00%% |
No |
No |
Spread |
From 0 points |
From 0 points |
From 0.8 points |
From 0 points |
From 0.6 points |
From 0.4 points |
Level of margin call / stop out |
No |
No |
No |
No |
No |
No |
Execution of orders |
Market Execution |
Market Execution |
Market Execution |
Market Execution, Instant Execution |
Market Execution |
Instant Execution, Market Execution |
No deposit bonus |
$1 |
No |
No |
No |
No |
No |
Cent accounts |
No |
No |
No |
Yes |
No |
No |
Is it safe to trade with MultiBank in UK?
MultiBank is not regulated in UK. The company does not hold a financial license, which could raise certain security-related questions. Nevertheless, the company has a good reputation and has proven its reliability to traders. MultiBank offers attractive conditions; many traders in UK have chosen to work with this broker. However, be aware of the risks when working with such companies.
FAQ
How do I check a broker’s license?
Brokers should provide their license on their official website. It is also recommended to check it on the official website of the financial regulatory authority.
Does a broker need to have an official representative office in UK?
Yes. According to the rules of UK, brokers must have an office in UK. This is a mandatory condition for obtaining the license.
Can the license issued by UK be considered reliable protection against fraud?
Yes. The rules of the financial regulator of UK are very strict, which makes obtaining a license in this jurisdiction extremely difficult for scammers.
What kind of information should a broker provide for traders?
On their official websites, brokers must provide the name of the managing company, r egistration certificate, legal address and internal regulatory documents.
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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.
Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.