Exposure & warnings
What to watch for when evaluating any forex or CFD broker — and how to verify the broker before depositing.
Retail CFD loss rate: 70–85%
Top-tier regulators (FCA, ASIC, CySEC) require their licensed brokers to publish the percentage of retail accounts that lose money trading CFDs. The reported figure consistently sits between 70% and 85%. Leverage amplifies both gains and losses; this is a structural feature of the product, not a flaw of any specific broker.
Watch for friction at the withdrawal stage
Common patterns to treat as warning signs: retroactive verification requirements (KYC asks that only appear at withdrawal time), arbitrary "bonus terms" voiding profit, sudden lock-out of account access, or support that only responds at deposit time. Document everything (timestamps, transaction IDs, chats) and contact the regulator's investor protection desk.
Cross-check the license register
Every reputable regulator maintains a public license register. Search the broker's claimed license number directly on the regulator's website — not via the broker's own page. Look for: license status (active / restricted / revoked), legal entity name match, and any published warnings. No verifiable license = definitive red flag.
Offshore-licensed brokers — what's different
Offshore licensing (Seychelles, Mauritius, St. Vincent, Belize, Vanuatu, etc.) typically allows higher leverage caps and onboards clients from more jurisdictions, but provides materially less consumer protection than top-tier regulators. 200INVEST is licensed by Seychelles FSA (SD123) — it is offshore. That isn't automatically disqualifying, but you should read the Risk Warning section carefully and only deposit what you can afford to lose.