GBG: it depends on your circumstances and what you are trading? But overall you lose a lot of protection from the FCA.
User: I currently trade with IG. FOS and FSCS and negative balance protection, yes
GBG: It’s worth looking at qualifying for a professional account – if you fit the criteria. IG give that option – as do the other brokers… But with that too you don;t get the same client protection from the FCA or the brokers – here is a bit of info
User: I don’t trade high enough volumes
GBG: In that case if you’re a small trader best ovoid off shore brokers.
User: Because they don’t accept small accounts?
GBG: Just because they don’t offer any protection to clients and customer service certainly won;t be as good as IG
Some more info on upgrading to professional status here: https://goodmoneyguide.com/should-you-upgrade-your-cfd-or-spread-betting-account-to-professional-status/
User: Thank you for that, I will absorb it. Just humour me with this next question: Best Australian broker in your opinion?
GBG: Pepperstone is the market leader
But IG and CMC are both active over there too…
Pepperstone also have an office here in London.
User: lovely stuff, thank you for your help. I imagine that there are residency issues to applying offshore as well. I will have to check. Thank you for your help
Richard founded the Good Money Guide (previously Good Broker Guide) in 2015 and has been a broker for 20 years most recently at Investors Intelligence and previously a multi-asset derivatives broker at MF Global (Man Financial). Richard started his career working as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson) after interning on the NYMEX oil trading floor in New York and London IPE in 2001 & 2000.