I see Trading 212 holds client cash deposits spread over 3 separate banks; JP Morgan, Barclays and NatWest (in a deposit ratio of 16%:40%:44%). I understand that the FSCS covers up to £85K for each bank per account holder. Does this mean that I can invest over £85K in a Trading 212 cash ISA, and still be fully covered by FSCS for the full amount (theoretically up to £193K with this current bank deposit ratio) ?
Welcome to the Community, @TuftyTracks
All of your funds and assets are protected by the Financial Services Compensation Scheme (FSCS). The compensation is for up to £85,000, which means your client assets and funds up to that limit will be returned to you, minus the administrators’ costs in handling these. For confirmation and more details, you can check out this article.
Thanks, the FSCS article.was helpful
However, for clarification:
If each of JP Morgan, Barclays and NatWest depositories are covered up to £85k, and if my ISA funds exceed £85k, but are held across the 3 banks, does that effectively give me 3 separate “pots” covered by FSCS, and together these can total over £85k with Trading 212 ?
Yes, you’re correct. We have discussed this in more detail here: