How to Verify a Broker License Before Opening an Account

Why License Verification Matters

Millions of investors lose money annually to unregulated or fraudulent brokers. Verifying a broker license is the single most important step before opening a trading account. This guide walks you through the verification process for major regulatory bodies.

Major Regulatory Databases

FCA (UK)

Visit the FCA Register at register.fca.org.uk and search by firm name or reference number. Ensure the authorization type matches the services offered.

ASIC (Australia)

Check the ASIC Connect Professional Register. Look for Australian Financial Services License status.

CySEC (Cyprus)

Use the CySEC Regulated Entities list at cysec.gov.cy.

Red Flags to Watch

• No verifiable license number
• License jurisdiction doesnt match services offered
• License recently issued but firm claims years of operation
• Pressure to deposit quickly
• Unrealistic return promises