IF you read what I said, converting the insurance Policy cover Like for like in Pounds to Euros. not the statuary cover from regulators.
If you read the FCSC website " We may be able to protect you if a provider goes out of business and there’s a shortfall in the money or assets it’s holding for you."
It’s a maybe! and second of all you have to look at the way T121 is structured, Fist they don’t hold your assets for you. Your shares are held in a segregated CREST account that is run by an isolated company as per regulation. The CREST account is run by Interactive brokers, not Training 212. In the event of the failure of Trading 212, it’s expected for your shares to eventually be transferred to the CREST account of a nominee broker then you would send them further instructions, sell or open an account etc. So this is out of the scope of FCSC as 1 T212 do not hold the asset and 2 you would expect to make a full recovery.
The only thing T121 hold that is yours is your free cash in your account so that’s what the FCSC is going to cover.
Regarding the insurance, if you have a million euro claim the insurance is covering up to that amount per calment. The 20 million is what they call their max loss or exposure for a policy. lol dam 20 mill that’s low, I sign off on a policy with a billion on cover and that policy has far less risk than T121 (In my opinion). Well if something happens get your insurance claim in ASAP as Zuric or whoever is the underwriter will close doors after paying out 20mil and don’t assume they will be diplomatic and split it between people they will pay out to get out.
Just a FYI the insurance company does a lot of due diligence before writing up these policies. It’s not like going on GO Compare and putting how much cover you “think you need” 20 million, 50 million, etc is a lot of exposure to risk that has to be balanced so the insurer can make money. They don’t want to be caught off guard with claims / legal cases they can more expensive than it’s worth in the long run. Some of the oldest companies in the world are insurance companies they know what they are doing
When doing risk analysis you take into account the like hood of government intervention. That’s why I have need approved terrorist insurance it was more likely the government would pick up the bill and historic data supported that
Such a migration depends on the post-Brexit arrangements and is anticipated to take place by the end of this year. You’ll be notified if this is about to happen. Note that it may be altered in case of regulatory changes.
The current Brexit implications will not uphold such an option.
@Tony.V , for helping Trading 212 adding crypto ETNs/ETPs for EU residents and also not to make an off-topic in this thread, I did a separated and dedicated thread about the existing physically-backed crypto ETNs/ETPs in the below thread, including IBKR availability and tickers for them:
Hi, the 20k euros is the same for all EU countries and it is to protect investors in case the brokers/intermediary fails. My understanding is that this has nothing to with money not invested (in a bank account on behalf of the investor)
We had recently a situation in Portugal where the regulator had to use this protection to investors. Sorry couldn’t find a version in English
brokers are not a one and done. there is nothing wrong with signing up to another next-best broker while waiting for this one to start onboarding again and in the meantime if your friends are serious about growing their wealth they could be doing so. there is no point in giving T212 an ultimatum with a time restriction since they will open up as soon as is possible for them regardless. this delay hasn’t been easy on anyone involved. Us and T212 both.
I only invest long-term and T212 is great for that, but there are brokers out there far more suited to those who want to do short-term high frequency trading. always pick the best suited broker for your intentions. you can ask around the community as I am sure there are plenty of people who are on 3-5 different brokers and can give you good recommendations in the meantime.