Safety of Funds
At ABF Trade safeguarding of clients funds is a top priority. For receiving deposits and custody of client money we use segregated bank accounts held with major banks in Europe.
Safe Keeping
ABF Trade maintains client denominated bank accounts with European credit institutions, which are used exclusively to hold client funds and process withdrawals. These accounts are liquid current accounts so that funds belonging to clients can be readily withdrawn on a same day basis. The financial institutions used are selected based on their financial soundness while additional safety is ensured through diversification. Furthermore, ABF Trade has established an adequate organizational arrangement designed to minimize the risk of loss or diminution of client assets, or of rights in connection with those assets, as a result of misuse, poor administration, or negligence of the banking institutions themselves.
Segregation of Client Funds
According to Directive DI144-2007-01 regarding authorization and operating conditions of Cypriot Investment Firms (CIFs), for the purposes of safeguarding clients' rights in relation to funds belonging to them, CIFs are required to follow all necessary steps designed to ensure that client funds are deposited in an account or accounts identified separately from any accounts used to hold funds belonging to the Company. To this end, client funds deposited with ABF Trade are fully segregated from the Company's funds and such funds cannot be used for any other purpose. Further, ABF Trade keeps such records and accounts as are necessary to enable it at any time and without delay to distinguish assets held for one client from assets held for any other client (and from its own assets) in accordance with the requirements of the aforementioned Directive.
Investor Compensation Fund
ABF Trade is a member of the Investor Compensation Fund, which is administered by the Central Bank of Cyprus and the Cyprus Securities and Exchange Commission for all clients of Cyprus Investment Firms. The purpose of the Investor Compensation Fund is to secure the claims of all covered clients, in this case retail clients, through the payment of compensation where the investment firm is unable to:
Return client funds owed to them or funds which are held, directly or indirectly, in the context of providing investment services or
To hand over to covered clients financial instruments which belong to them which the investment firm holds, manages or keeps on their account.
This ensures that retail clients of ABF Trade can claim compensation in the event that the Company is unable to fulfil its obligations. In effect, all covered clients are provided with a form of insurance for their funds in case of insolvency on the part of the Company. For more information, you are encouraged to read the document titled Protection of Client Funds & Investor Compensation Fund.
Auditors
ABF Trade's external auditor is Baker Tilly, who prepares and signs the audited financial statements. The firm's internal audits are carried out by FAI Comply.
Regulation
ABF Trade is regulated and licensed by the Cyprus Securities and Exchange Commission (CySEC) with license number 171/12. CySEC is a European Competent Authority that regulates, supervises, and controls Cypriot Investment Firms. In addition to all applicable local laws, rules, and regulations, the Commission enforces European Directives, such as MiFID, by issuing corresponding local directives and circulars. As a licensed Cypriot Investment Firm, ABF Trade follows strict rulings to comply with its requirements regarding the safety of client funds.
Building a Winning Position
ABF Trade is a brokerage firm offering OTC derivatives for self-directed retail and professional traders while also offering a portfolio management service. The firm is run by a team passionate in electronic trading that has decades of experience in the FX and Futures markets.
We know it's incredibly important to encourage and support our clients to meet their trading goals. For that reason our aim is to provide a safe, fair and transparent platform along with personal support. To ensure our goals are in alignment with our clients we maintain a strategy of sending trades to external liquidity providers in real-time.
76.47% of retail investor accounts lose money when trading CFDs with this provider. Assess if you're comfortable with this level of risk. Read more