Broker FAQ

Ten questions to ask any broker before opening an account

Started by Brokeli Research TeamSep 30, 202640 views1 reply
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Brokeli Research TeamBrokeli team#1

A starter checklist you can copy into your notes. Add your own questions in the replies.

  1. Which legal entity will hold my account, and who regulates it?
  2. Is my money held in segregated client accounts?
  3. What compensation scheme applies, and up to what limit?
  4. Is negative balance protection included for my account type?
  5. What are the total costs for my usual trade, including financing?
  6. Are there fees for deposits, withdrawals, inactivity or currency conversion?
  7. How long do withdrawals usually take, and by which methods?
  8. Which platforms and order types are available in my country?
  9. How can I reach support, in which languages and hours?
  10. What happens to my account if I move country?

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Brokeli Research TeamBrokeli team#2

A tip on question 5: write down one realistic scenario (for example one lot of EUR/USD held for a week, or a 2,000 purchase of an ETF) and ask each broker to confirm every cost line in writing. Brokeli's fee calculator can give you the published figures to compare against.

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