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Brokers / Method
METHOD

How we score a broker

The same engine as our exchange report, with criteria for brokers. Score is points earned over points available among what we could verify. Method v%s.

Criteria

What earns points

  • Regulation, 20. Licensed for brokerage by a major securities regulator (SEC/FINRA, FCA, ASIC, BaFin, CySEC, MAS, FINMA, SFC, JFSA, CIRO, AMF and equivalents of G20 and EEA states): 20. Another regulator: 8. None found: 0.
  • Client protection, 20. An investor compensation scheme applies to the main entity: 12. Client assets stated as segregated: 8.
  • Transparency, 10. Public financial statements (listed parent or published annual report): 10.
  • Security, 15. Worst incident in five years: customer outcome independently reported 10, company statement only 9, unclear 6, no incident found 15.
  • Compliance record, 25. Points deducted for regulator or court actions in five years: criminal 20, fine of about 1M or more 7, smaller fine or restriction 4, warning 3. Press-only reports are shown, not scored.
  • Cost, 10. Commission to buy 1,000 USD of a US stock or ETF at the base tier: up to 0.02% 10, up to 0.1% 7, up to 0.25% 5, above 2.
Limits

What we do not claim

  • Provisional. A broker is ranked only if we could verify at least 80% of the points. Searches marked thin count as not performed.
  • Not scored: platform quality, research, market access, execution quality, customer service and country-specific rules.
  • Entities. We score the main entity named on the broker page. Your account may sit with another group entity.
  • Costs. A cost can differ by country, plan and date. FX and spreads are not in the cost score.
  • Independence. No sponsors, no affiliate links, no broker pays for placement.