Is Fineco Bank regulated?
Trying to find out whether Fineco Bank is regulated? Not sure which authorities are overseeing Fineco Bank and why this matters?
Rest assured, the lack of regulation at Fineco Bank is not a reason for worry. Our brokerage experts have determined that Fineco Bank is a fully regulated broker, overseen in Italy, UK. We gathered all the information on the regulatory profile of Fineco Bank and will explain why this matters.
I have personally tested several brokers globally and I am familiar with the regulatory and licensing procedures of at least a dozen financial authorities globally. Here are my key insights into the regulatory status of Fineco Bank as of June 2024:
- Fineco Bank is regulated by several authorities of which at least one is top-tier, which is vital for safeguarding your money.
- Fineco Bank must separate client funds/assets from its own operations; this makes all the difference for the safety of your investments.
- As Fineco Bank is regulated by several authorities, it is super important that you open an account with an entity that has top-tier regulation.
- Explore the services of Fineco Bank in our comprehensive Fineco Bank review for 2024 and browse other top-tier regulated brokers with our unique Find My Broker tool.
Fineco Bank has top-tier regulation
Think of a broker with strict regulatory oversight like a lifeguard at the beach. Just as the lifeguard keeps you safe in the water, offering immediate help when you need it, brokers operating with top-tier regulation protect your investments. They make sure your investments are secure and handled with integrity and transparency.
Fineco Bank operates in several countries and is supervised by the following financial authorities:
- Italy and UK - Banking - Bank of Italy, Member of /National Interbank Deposit Guaranteee Fund ;Securities - Commissione Nazionale per le Società e la Borsa (Consob), Member of Fondo Nazionale di Garanzia/National Guarantee Fund
Why does all this matter? We are contacted by an alarming number of people who ended up working with unregulated brokers and they share with us some sad and frightening stories. Here’s an example.
Marco invested a substantial amount using what appeared to be a credible online trading platform. Initially, his investments showed gains, and he was able to make several withdrawals without issues. Encouraged, he increased his investments, but when he tried to withdraw some profits after a successful trade, his requests went unanswered, and customer service became unreachable. Further investigation revealed the broker was not regulated by any financial authority. Eventually, the platform vanished overnight, taking John's investments with it, leaving him with no recourse to recover his funds.
Choosing a broker with top-tier regulation means you're in safe hands. This level of strict oversight ensures that your investments are protected, you're getting fair pricing, and trading conditions are transparent and favorable.
Client fund segregation: your ultimate safeguard
As a broker with top-tier regulation, Fineco Bank is legally required to keep the funds and assets of its clients separate from its own money. This is a game changer in terms of the safety of your investments.
Client fund segregation is like having your money in a separate safe from Fineco Bank’s own cash. Thus, if your broker ever runs into financial trouble, your funds won't be touched to settle their debts - they're entirely off-limits. It’s a crucial setup because it protects your money, ensuring that what you’ve invested stays secure and accessible only to you. This segregation is a requirement imposed by top-tier regulators and not something you can request your broker to do. You will only have access to this safety net if your broker has the appropriate regulation.
In the highly unlikely event that Fineco Bank commits fraud and uses client assets for its own purposes, you can still recover your money if you have access to investor protection.
Fineco Bank serves all of its clients through the same legal entity:
| Country of clients | Protection amount | Regulator | Legal entity |
|---|---|---|---|
| UK, Italy | €100,000 for cash €20,000 for securities |
Bank of Italy Consob |
FinecoBank S.p.A. |
Choose your brokerage entity smartly
Since Fineco Bank is regulated by multiple authorities, it's crucial to open an account with an entity that has top-tier regulation. This ensures your investments are always protected under the highest standards.
Whenever possible, avoid signing up with entities that are regulated in off-shore countries such as the Seychelles, the Bahamas, St. Vincent and Grenadine, etc. While you may have access to a much higher level of leverage for your trades, this is extremely risky and you run a much higher risk of losing all your invested money.
In addition, rules and regulations imposed by regulators in these countries are typically less severe, potentially damaging the safety of your investments. If you are offered the option to choose which entity you open an account with, go with the one that operates under a stricter regulator.
Get to know Fineco Bank better and browse other top-tier regulated brokers
For detailed insights into trading conditions, costs, and service quality at Fineco Bank, check out BrokerChooser's Fineco Bank review for 2024. All our broker reviews are based on the analysis of nearly 600 data points and direct experience. When we review a broker, we go hands-on by opening a real-money account and trading on its platforms, giving us a complete view of what it offers and how it performs.
The BrokerChooser team has personally tested and reviewed more than 100 brokers globally, all of which have top-tier regulation. All our experience and expertise is included in the Find My Broker tool. Simply answer a few questions and get a personalized broker list.
Get a personalized broker recommendation
Where do you live?
Check out this short video for a behind-the-scenes peek into how our experts personally test and evaluate brokers.
Further reading
Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology.
