XS vs ActivTrades: Which Broker Is Better?

XS operates through a broad regulatory structure that includes XS Prime Ltd, authorised by ASIC under licence number 374409, and XS Markets Ltd, regulated by CySEC under licence number 412/22, together with entities supervised by the FSCA in South Africa, the FSA in Seychelles, the FSC in Mauritius and the LFSA in Malaysia. The group also has registrations or related entities connected to the UAE and Kuwait, reflecting its international reach.

Traders should distinguish between a full financial-services licence and registrations or authorisations with a different scope. The appearance of the XS name in a local register does not necessarily provide the same level of protection available under ASIC or CySEC, and trading conditions, leverage and complaint procedures may vary according to the legal company accepting the account.

When researching XS licences, the number of regulators listed is not enough. Traders should identify the specific entity they will contract with and verify its number in the official register. ASIC and CySEC entities may be more suitable for traders prioritising strict oversight, while some international entities may offer greater flexibility under a different level of regulatory protection.

XS applies client fund protection measures according to the regulatory entity responsible for each account. These measures include separating eligible client money from company operating funds, together with controls related to deposits, withdrawals, identity verification and anti-money-laundering requirements. XS agreements also provide negative balance protection under the applicable conditions.

Negative balance protection may limit liability from losses exceeding the available trading-account balance, but legal safeguards are not identical across all entities. Investor compensation eligibility, complaint procedures and client-money protection may differ between the ASIC, CySEC and international entities in Seychelles, Mauritius and other jurisdictions. Traders should verify their legal company before depositing.

ActivTrades operates through a regulatory structure that includes ActivTrades PLC, authorised by the UK FCA under licence number 434413, which is one of the group’s strongest regulated entities. The group also has entities or registrations connected to Portugal and Brazil, as well as international companies linked to Mauritius and the Bahamas, allowing it to serve clients in different markets under different legal frameworks.

Client protection depends on the entity under which the trading account is opened. FCA requirements and UK complaint procedures do not automatically apply to accounts opened with an international entity, and traders should distinguish between a full investment-services licence, local registration and regulatory frameworks with different powers.

Before opening an ActivTrades account, traders should confirm the legal company name and licence number shown during registration, then review the applicable client-money protection, compensation and complaints procedures. This is particularly important for traders choosing ActivTrades for its platforms or operating history.

ActivTrades client fund protection includes holding eligible client money separately from the company’s operating funds under the rules of the legal entity responsible for the account. Negative balance protection is also available where applicable. The broker additionally advertises client-fund insurance of up to GBP 1 million for certain eligible clients, above the basic statutory protection limits.

This additional insurance is not a general guarantee and remains subject to the policy terms, client eligibility, coverage limits and account entity. Traders should verify the legal company serving their account and review the applicable segregation, compensation and insurance conditions before relying on the advertised protection amount.