The interests of our clients are our primary objective and that is why with SwissCay your balance will not go into negative.

The margin close out level on your account is in place to help ensure you do not lose more money than your deposit. As an added safeguard, we offer Balance Protection Policy and will credit your account to a zero balance if your account goes into negative as a result of trading activity.

The Balance Protection Policy applies across multiple accounts as well, therefore if you have a negative balance in your account and a credit balance in your second account then the credit balance will be used to offset the negative balance. This also applies to joint accounts, where each joint account holder will be responsible for a debit or credit available equally.

The balance protection is open to all clients.

Example of an Automatic Margin Close Out

You have €10,000 equity in your trading account and an open short EUR position against the USD of 20 lots (€2,000,000) at 1.1850. The Tradeout level of your account is set by SwissCay as 50% and your maximum permissible leverage at 1:200. Therefore your margin requirement for this trade is the full €10,000 of your equity.

The market, unfortunately, rises to 1.1878/1.1879, at this level your position is losing $5,800 (29 pips X $200 pip value) or €4,882.57. Your total equity now stands at €5,117.43. If the market rises one more pip to 1.1879/1.1880 then your losses would increase to €5,050.50 and your balance decrease to €4,949.50. At this point, you no longer hold the minimum of 50% equity of your margin requirement and your position is closed out at 1.1880. Your remaining equity balance will be €4,949.50.

SwissCay

As a regulated firm, SwissCay must comply with all rules and directives set by the Security Industries Act. In respect to Client Assets, PART VII indicated that a company must arrange adequate protection for client assets when it is responsible for them. In the event of insolvency of the company, funds are protected as they are held on segregated accounts which are separate from SwissCay corporate funds.

The Securities Industry Regulations (SIR), that coincides with the Securities Industry Act, sets out various rules and procedures that must be followed. Among these rules are the guidelines on how to deal with client assets. These include the requirements, methodology and records, reconciliation and acknowledgement of trusts.

SwissCay

Client funds individually covered up to USD1,000,000

SwissCay Corp is a leader in providing additional and extensive protection directly to its customer base and is proud to offer the security and peace of mind of insuring its clients’ funds as standard, with no extra cost to you.

Clients of SwissCay Corp are individually covered up to USD1,000,000 with Excess of Loss Insurance. The security of our clients’ funds is important to us and therefore we may be able to increase the maximum amount covered according to an individual client’s needs (Terms and Conditions will apply).

What is Excess of Loss Insurance?

SwissCay Corp has purchased, at no direct cost to clients, separate insurance protection to cover losses, if there is an insolvency event, in excess of USD10,000 and up to USD1,000,000. The SwissCay Corp Excess of Loss Insurance Policy is subject to Terms and Conditions and will respond only in the event that certain conditions are met.

How much insurance has SwissCay Corp purchased?

SwissCay Corp has purchased an aggregate limit of insurance that exceeds the exposed capital (client funds greater than USD10,000) up to USD1,000,000 per client.

Does it cost me anything?

SwissCay Corp has purchased this insurance policy for your benefit and there is no direct cost to you.

Am I eligible?

SwissCay Corp’s Excess of Loss insurance is available to all our retail clients.

Who underwrites this policy?

This policy is underwritten by ARCH 2012 and XL Catlin 2003 and other participating syndicates at Lloyd’s of London.

Lloyd’s of London is the world’s specialist insurance market. Lloyd’s is not a company, it is a market where the members join together as syndicates to insure risks. Lloyd’s business works by subscription, where more than one syndicate takes a share of the same risk. Lloyd’s of London currently has an A (Excellent) rating with “Stable Outlook” from ratings firm A.M. Best and an A+ (Strong) rating with “Stable Outlook” from Fitch Ratings and Standard & Poor’s. More information about Lloyd’s of London can be found at www.lloyds.com.

Who is covered?

All clients of SwissCay Corp whose funds are held in segregated accounts.

What is covered?

– Only the eligible cash and securities of SwissCay Corp’s eligible clients.
– Investment performance or guarantee is NOT covered. Leveraged products are high risk. With SwissCay Corp your losses cannot exceed your deposits. It is important that you fully understand the risks involved, and seek independent advice if necessary.

How does it Work?

In the unlikely event that client funds are not fully recovered following the failure of SwissCay Corp, additional coverage may be available to provide protection above USD10,000 per client. The policy will respond providing the following triggers have been met:

– The declared insolvency of SwissCay Corp.
– Discovery by the insolvency practitioner of a shortfall in segregated client money.
– The client paying the first USD10,000 of each claim.

How does this benefit me?

Those customers that deposit more than USD10,000 with SwissCay Corp can now benefit from an insurance policy that protects their funds over and above this amount. SwissCay Corp is a leader in providing such additional and extensive protection directly to its customer base. With SwissCay Corp your funds may be protected up to a sublimit of USD1,000,000.

Which other brokerage firms are offering this protection?

SwissCay Corp is leading the way in providing this additional protection directly to its clients. No other broking entity outside of the UK currently provides such extensive protection for such a broad spectrum of trading activity.