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SCB The Securities Commission of The Bahamas

The Securities Commission of The Bahamas (SCB) regulates securities firms, investment funds, financial and corporate service providers, and digital assets, and it registers firms that deal in contracts for differences under a dedicated set of rules. A CFD registration costs $5,000.00 to apply, $20,000.00 on registration and $45,000.00 a year, and it carries retail protections written into the rules: a minimum margin of 0.5% of exposure, close-out at 50% of that margin, cash-only and segregated retail margin, and liability limited to the funds in the account. There is no live register search: the Commission publishes registrant and licensee lists as documents grouped by legislation, and asks the public to contact it for more current information. Complaints go to the Commission in writing on its own form, and it publishes notices naming entities that are not registered with it.

Country
Bahamas
Jurisdiction
Government Reg.
Established in
1995
Forex Regulation
57
Overall Rating
20
Licensed Brokers
Medium
Transparency Index
Tier 3
Global Tier
IOSCO Member
FATF Member
The regulator
Updated

About SCB

The Securities Commission of The Bahamas (SCB) regulates securities firms, investment funds, financial and corporate service providers, and digital assets, and it registers firms that deal in contracts for differences under a dedicated set of rules. A CFD registration costs $5,000.00 to apply, $20,000.00 on registration and $45,000.00 a year, and it carries retail protections written into the rules: a minimum margin of 0.5% of exposure, close-out at 50% of that margin, cash-only and segregated retail margin, and liability limited to the funds in the account. There is no live register search: the Commission publishes registrant and licensee lists as documents grouped by legislation, and asks the public to contact it for more current information. Complaints go to the Commission in writing on its own form, and it publishes notices naming entities that are not registered with it.

Tier 3
Brokers on the record
20
Compensation cap
None
Retail leverage cap
1:200
Cost of a licence
USD 30,000–50,000

The Securities Commission of The Bahamas (SCB) was established in 1995 by the Securities Board Act 1995, which has since been repealed and replaced. Its functions now come from the Securities Industry Act 2011 and the Investment Funds Act 2003, which together put investment funds, securities and other capital markets business in The Bahamas under its supervision.

In 2008 the SCB was appointed Inspector of Financial and Corporate Services, which added oversight of the Financial and Corporate Services Act 2000.

What it regulates

The Commission's powers are spread across several statutes — the Securities Industry Act, the Financial and Corporate Service Providers Act, the Digital Assets and Registered Exchanges Act and the Carbon Credit Trading Act. Between them they cover investment funds, securities and the securities markets, financial and corporate service providers, digital assets and registered exchanges, and trading in carbon credits.

What it is trying to do

Protect the investing public. Keep trading and the markets fair and efficient, with disclosure that is timely and accurate. Reduce risk to the system as a whole. And support financial services development in The Bahamas that lasts.

Alongside supervision it runs investor education programmes, and it enforces the statutes it administers.

Its functions

Supervising the markets so trading stays orderly and fair. Pressing for disclosure of financial information that is timely, accurate and public. Maintaining market integrity, which means acting on misconduct, financial crime and deceptive or abusive practice. And acting as resolution authority for the firms it regulates.

Working with others

The SCB shares information with counterparts at home and abroad, which is how its rules stay current with practice elsewhere.

On the record

Established
1995
Country
Bahamas
Oversight
Government body
Scope
Regulates forex and CFD brokers
Membership
IOSCO and FATF member
Transparency
Medium
Public register
Open the register
Website
scb.gov.bs
Hotline
(242) 397-4100
Email
ecomplaints@scb.gov.bs
Online contact
scb.gov.bs
Protection check

What a licence from SCB protects

No compensation scheme is recorded for firms licensed by SCB; a dispute a firm will not settle can go to SCB Complaints Unit.

5 facts on record
  • No compensation scheme
  • Client money kept separate
  • Negative balance protection
  • Complaints routeSCB Complaints Unit
  • Maximum leverage1:200

What is protected

Protection for a retail CFD client sits in the conduct rules rather than in a payout fund. Margin posted by a retail client must be in cash, must be segregated in accordance with regulation 88(2) of the Securities Industry Regulations, and may not be borrowed, charged or used by the firm for any other purpose. The liability of a retail client for all CFDs connected to the account is limited to the funds in that account, and the firm must close open positions when net equity falls below 50% of the margin requirement. These protections attach to retail clients only: the minimum margin requirements do not apply to professional clients, and a firm moving a client to elective professional status must give a clear written warning of the protections and investor compensation rights the client may lose. I did not find a document on the Commission's site establishing an investor compensation or guarantee scheme, so no cap or exclusion list is stated here.

How to verify a licence

Start at the Commission's Registrant Licensee Status Search page, https://scb.gov.bs/registrant-licensee-search/. There is no name-search box: the page publishes separate listings grouped by legislation, one for firms registered under the Securities Industry Act, 2024, two for investment fund administrators and funds under the Investment Funds Act, 2019, two for licensees and money lenders under the Financial and Corporate Service Providers Act, 2020, and one for registrants under the Digital Assets and Registered Exchanges Act, 2024. Open the listing that matches the business the firm says it does, and look for the firm's exact legal name. The page itself tells readers to contact the Commission at info@scb.gov.bs or 242-397-4100 for more current information, and the Commission's own public notice tells the public to consult the listing first and, if the entity is not there, to email the Supervision Department at sud@scb.gov.bs or telephone 397-4100. Check the address bar as well: the Commission has published a notice stating that its correct official website is https://www.scb.gov.bs and that other sites have copied its content.

Open the registerOfficial website

How to complain

The Commission's complaints page asks a client to try to resolve the matter with the registered firm first. To bring it to the Commission, download the Complaint Submission Form and send the completed form and attachments to ecomplaints@scb.gov.bs. Complaints can also arrive by fax or post to Poinciana House, North Building, 2nd Floor, 31A East Bay Street, Nassau, by telephone on (242) 397-4100, or in person, but the page states that all complaints must be in writing before the Commission will proceed with an investigation. The page sets out no time limit for filing, and it states that investigations are confidential, that staff cannot give legal advice, and that a complainant should not expect an update on the status of a complaint. Where the Commission does open an investigation, its Enforcement Department contacts the complainant for further information.

Hotline
(242) 397-4100
These are the rules SCB sets for the firms it licenses, read from its own record. They say nothing about how any one broker applies them, or which of its companies would hold your account; that is checked on each broker's own page.
Licensing terms

Getting licensed by SCB

A licence from SCB costs USD 30,000–50,000 to obtain on the record and covers 6 instrument types.

USD 30,000–50,000
Licence types
SIA Broker‑Dealer (Class II – Principal & Agency CFDs)
Business models allowed
Retail Agency (STP); Market Maker (Principal); Provide Liquidity (PoP)
Cost to obtain
USD 30000-50000
Coverage
Most countries worldwide (exceptions apply)
Not served
North Korea - UN-sanctioned countries

6 instruments regulated

  • Forex
  • Stocks
  • Fund
  • Options
  • Securities
  • Futures
From the documents
Reviewed

What SCB's own documents say

18 facts read from 28 official documents published by SCB, each quoted and linked to its source.

18 facts

Jurisdiction and scope

The CFD rules bite on activity carried on in or from The Bahamas: any person who carries on securities business in, or otherwise provides or markets, CFDs in or from The Bahamas must be registered for that activity with the Commission. A registered CFD firm cannot satisfy its physical presence obligation by appointing a managing representative; it must meet the requirements in the Schedule to the Securities Industry (Physical Presence) Rules. The CFD supervisory officer must be an individual residing in The Bahamas and registered with the Commission. The Commission's remit covers investment funds, securities, financial and corporate service providers, digital assets and registered exchanges, carbon credit trading, and the capital markets in The Bahamas.

Using this regulator

Match the firm's exact legal name against the listing for the Act it claims to be registered under, and treat a certificate image or a claim on a website as something to check rather than as proof. A firm dealing in CFDs with Bahamian retail clients should be on the Securities Industry Act listing and should display a risk warning carrying its own percentage of retail accounts that lost money, recalculated every three months. Ask whether you are being treated as a retail or a professional client: the margin floor, the close-out level and the written warnings all depend on that classification. Keep the trade confirmations and account statements, since a written complaint on the Commission's form is what starts an investigation. Finally, check the Investor Alerts and Notices page, where the Commission names entities that are not registered with it and websites that imitate its own.

Good to know

Eight documents in the supplied corpus carried no extractable text (including the Securities Industry (Disciplinary Proceedings)(Hearings and Settlements) Rules and several anti-money-laundering rules), and the archived prior copies could not be retrieved, so nothing is quoted from them. In the Securities Industry (Fees) Rules, 2024 the pages carrying Table A and the Table B column headings carry no extractable text; the three CFD figures are quoted as they appear in the row, and the column order (application, registration, annual renewal) is the order used by the individual fee table on the following page of the same document. The Securities Industry Act, 2024, the Investment Funds (Fees) Rules, 2024 and the registrant listing documents also carry no extractable text, so no clause or figure is quoted from them. I did not find a document establishing an investor compensation scheme or a client-money guarantee fund, so no compensation cap or exclusion is reported. The complaints page states no deadline for filing a complaint.

Key facts

KeyVerifying a licence

Check a firm against the Commission's own registrant listings

A broker's claim to be regulated in The Bahamas can be settled in a few minutes against the Commission's own listing, and the Commission gives a named email address for the case where the firm does not appear.

The Commission tells the public to consult its publicly available listing before dealing with any entity that claims to be authorised or regulated by it, and to email the Supervision Department at sud@scb.gov.bs or telephone 397-4100 if the entity is not listed. Its investor booklet points readers to www.scb.gov.bs to verify that an individual or a product is registered.

Before engaging in business with any entity who claims or purports to be authorized and/or regulated by the Commission, you are advised to consult, in the first instance, the publicly available listing.
Quoted in Public Notice No. 1 of 2026: Entities Not Regulated by the Securities Commission of The Bahamas, p.2Read the source
If the entity in question is not listed there, please contact the Supervision Department to confirm whether it is registered or licensed with the Commission at sud@scb.gov.bs or by telephone at 397-4100.
Quoted in Public Notice No. 1 of 2026: Entities Not Regulated by the Securities Commission of The Bahamas, p.2Read the source
We invite you to refer to our website www.scb.gov.bs to verify that an individual or a product is registered.
Quoted in Tips to Avoid Fraud and Scams, p.4Read the source

Where in the document: Public Notice No. 1 of 2026, Warning section

  • public register
  • license verification
  • retail clients
KeyScope of authorisation

Dealing in CFDs requires its own separate registration

A firm holding a Bahamian securities registration is not automatically permitted to offer CFDs, so it is worth confirming that the CFD activity itself is covered rather than accepting a general registration number.

Under the Securities Industry (Contracts for Differences) Rules, 2020, any person who provides or markets CFDs in or from The Bahamas must be registered for that specific activity. A firm can hold a general dealing registration extended to CFDs, or a registration whose activities are limited to dealing in CFDs.

Any person who carries on securities business in, or otherwise provides or markets, CFDs in or from The Bahamas must be registered for this activity with the Commission under the Act and these Rules.
Clause 4(1) in Securities Industry (Contracts for Differences) Rules, 2020, p.5Read the source
a firm registered under these Rules to carry on the activities listed in paragraph 1(a) of Part 2 of the First Schedule to the Act, with its activities limited to dealing in CFDs.
Clause 5(b) in Securities Industry (Contracts for Differences) Rules, 2020, p.5Read the source

Where in the document: Rules 4 and 5

  • scope of authorisation
  • cfd
  • registration
KeyCost to get licensed

CFD registration costs $5,000 to apply and $45,000 a year

BSD 45,000

These are the standing costs a CFD broker carries to keep its Bahamian registration, which is a concrete measure of what the licence is worth to the firm and what it stands to lose if the registration is withdrawn.

The Securities Industry (Fees) Rules, 2024 list three figures for a firm seeking to register to deal in CFDs: $5,000.00 on application, $20,000.00 on registration and $45,000.00 annual renewal. A registered CFD firm also pays a quarterly activity fee set by the Commission's current published policy, and a CFD Supervisory Officer costs $1,250.00, $3,750.00 and $6,250.00 on the same three headings.

(f) Persons seeking to register to deal in CFD $ 5,000.00 $ 20,000.00 $ 45,000.00
Clause Schedule, Table B (f) in Securities Industry (Fees) Rules, 2024, p.4Read the source
Except where exempted or reduced by the Commission, a registered CFD firm shall in addition to paying the annual renewal fee prescribed, pay a quarterly activity fee in accordance with the Commission’s current published policy with respect to activity fees.
Clause Schedule, Table B (g) in Securities Industry (Fees) Rules, 2024, p.4Read the source
(h) CFD Supervisory Officer $ 1,250.00 $ 3,750.00 $ 6,250.00
Clause Schedule, Table B (h) in Securities Industry (Fees) Rules, 2024, p.4Read the source

Where in the document: Schedule, Table B, items (f) to (h)

  • cfd
  • licence fee
  • cost to obtain
KeyLeverage rules

Retail CFD margin is at least 0.5% of the exposure

0.5%

A 0.5% floor means a retail position can be up to 200 times the cash posted, so a Bahamian CFD account can be far more leveraged than one opened under regimes that cap major currency pairs at 3.33%.

Rule 23 requires a CFD firm to make a retail client post margin of at least 0.5% of the value of the exposure for major currency pairs, permitted sovereign debt, major stock indices, gold, other commodities and equity securities, and 5% where the underlying asset is a digital asset.

A CFD firm must require a retail client to post margin to open a position in a CFD of at least equal to the following amounts
Clause 23(1) in Securities Industry (Contracts for Differences) Rules, 2020, p.12Read the source
0.5% of the value of the exposure that the trade provides when the underlying currency pair is composed of any two of the following currencies: Canadian dollar, Euro, Japanese yen, Pound sterling, Swiss franc or US dollar;
Clause 23(1)(a) in Securities Industry (Contracts for Differences) Rules, 2020, p.12Read the source
5% of the value of the exposure that the trade provides when the underlying asset is a digital asset.
Clause 23(1)(f) in Securities Industry (Contracts for Differences) Rules, 2020, p.13Read the source

Where in the document: Rule 23(1)(a) to (f)

  • retail clients
  • leverage cap
  • cfd
  • margin
KeyWhat is protected

Retail CFD losses are capped at the funds in the account

A retail client trading CFDs with a registered Bahamian firm cannot be pursued for more than the money in the trading account, which is the single most useful protection in the CFD rules. It applies to retail clients only.

Rule 29 gives retail clients negative balance protection: liability for all CFDs connected to the account is limited to the funds in that account, where funds means the cash in the account plus unrealised net profits from open positions.

The liability of a retail client for all CFDs connected to the retail client’s account is limited to the funds in that account.
Clause 29(1) in Securities Industry (Contracts for Differences) Rules, 2020, p.14Read the source
funds in a retail client’s account are limited to the cash in the account and unrealized net profits from open positions;
Clause 29(2)(a) in Securities Industry (Contracts for Differences) Rules, 2020, p.14Read the source

Where in the document: Rule 29(1) and 29(2)(a)

  • retail clients
  • cfd
  • negative balance protection
KeyHow to complain

Complaints must be in writing on the Commission's form

A phone call will not start anything. The written form with the trade records attached is what gets a matter in front of the Enforcement Department, and the page sets out no time limit for filing.

The Commission asks a client to try the firm first, then to download the Complaint Submission Form and send it with attachments to ecomplaints@scb.gov.bs. Telephone and in-person contact are accepted as alerts, but all complaints must be in writing before the Commission will proceed with an investigation.

The Commission strongly recommends that, if you have a complaint against a registered securities firm, you should first try to resolve the matter with the firm directly.
Quoted in ComplaintsRead the source
To submit a complaint to the Commission, download and complete the Complaint Submission Form and send the completed form and attachments to ecomplaints@scb.gov.bs.
Quoted in ComplaintsRead the source
While the telephone and in person methods are options to alert the Commission to possible infractions of the laws under its administration, please note that all complaints must be in writing in order for the Commission to proceed with an investigation.
Quoted in ComplaintsRead the source

Where in the document: Complaints page, main text and Alternative Means of Filing a Complaint

  • retail clients
  • complaint route
  • enforcement

More facts, by topic

The Commission tells the public to check its listing before dealing with any firm claiming its authorisationTwo checks settle most questions: the firm's exact name in the listing for the Act it claims to be registered under, and the domain of the page showing it. The Commission publishes sud@scb.gov.bs for confirming a firm that does not appear, and it has published a notice stating that its correct official website is https://www.scb.gov.bs.1 fact
UsefulVerifying a licence

The Commission's official website address is www.scb.gov.bs

If a broker sends a link to a page that appears to confirm its Bahamian registration, the domain is the first thing to check, and any request for payment or two-way contact through a site presented as the Commission's does not match how the Commission says it operates.

In Public Notice No. 2 of 2026 the Commission states that its correct official website is https://www.scb.gov.bs and that two other domains reproduce its content. It also states that its website is for information purposes only, and it publishes lists of entities that are not registered with it and have not applied to be.

The correct official website of the Securities Commission of The Bahamas is located at: https://www.scb.gov.bs
Quoted in Public Notice No. 2 of 2026: Fake Securities Commission of The Bahamas Website (No. 2), p.1Read the source
The Commission hereby advises the public that none of these entities or their agents/representatives are registered with/licensed by the Commission.
Quoted in Public Notice No. 1 of 2026: Entities Not Regulated by the Securities Commission of The Bahamas, p.1Read the source

Where in the document: Public Notice No. 2 of 2026

  • public register
  • license verification
  • imitation sites
Registrants are published as four sets of listings grouped by legislationThere is no live name search. The Registrant Licensee Status Search page carries separate listings for the Securities Industry Act, 2024, the Investment Funds Act, 2019, the Financial and Corporate Service Providers Act, 2020 and the Digital Assets and Registered Exchanges Act, 2024, and directs readers to info@scb.gov.bs or 242-397-4100 for more current information.1 fact
UsefulPublic register

Registrants are published as lists grouped by legislation

Because the listings are periodic documents rather than a live search, a firm registered or removed since the last publication will not show correctly, and the Commission's own page gives the contact route for confirming current status.

The Registrant Licensee Status Search page publishes separate listings for the Securities Industry Act, 2024, the Investment Funds Act, 2019, the Financial and Corporate Service Providers Act, 2020 and the Digital Assets and Registered Exchanges Act, 2024, and directs readers to info@scb.gov.bs or 242-397-4100 for more current information.

Licensees and registrants under the Securities Industry Act, 2024, the Investment Funds Act, 2019, the Financial and Corporate Service Providers Act, 2020 and the Digital and Registered Exchanges Act, 2024 are listed by legislation below. For more current information, please contact the Commission at info@scb.gov.bs or at 242-397-4100.
Quoted in Registrant Licensee Status SearchRead the source

Where in the document: Registrant Licensee Status Search page, introductory text

  • public register
  • license verification
Retail liability stops at the funds in the account, and the protections end at professional statusNegative balance protection is written into rule 29: liability for all CFDs connected to a retail account is limited to the funds in that account. The margin floor does not apply to professional clients, and a firm moving a client to elective professional status must give a clear written warning of the protections and investor compensation rights being given up.2 facts
UsefulWhat is protected

Professional client status removes the margin floor

Agreeing to be reclassified as a professional client removes the 0.5% margin floor and the other retail protections. The written warning is the document to read before signing anything that changes client category.

Rule 24 states that the minimum margin requirements in rule 23 do not apply to professional clients. Before treating a client as an elective professional, the firm must obtain written consent and give a clear written warning of the protections and investor compensation rights the client may lose.

Minimum margin requirements established in rule 23 do not apply to professional clients.
Clause 24 in Securities Industry (Contracts for Differences) Rules, 2020, p.13Read the source
give the client a clear written warning of the protections and investor compensation rights the client may lose; and
Clause 25(4)(b) in Securities Industry (Contracts for Differences) Rules, 2020, p.13Read the source

Where in the document: Rules 24 and 25

  • retail clients
  • scope of authorisation
  • professional clients
ContextWhat is protected

SMART fund audits can be waived by unanimous investor agreement

An investor in a Bahamian SMART fund should know whether an audit waiver is in place, because the alternative is a six-monthly performance report rather than audited accounts.

Under the Investment Funds (SMART Fund) Rules, 2003, the financial statements of a SMART fund are audited annually unless all holders of equity interests unanimously agree to waive the audit, in which case the fund files a performance report with the Commission every six months for as long as the waiver lasts.

The financial statements of the fund shall be audited unless all of the holders of the equity interests in the fund unanimously agree to waive the annual audit of the fund’s financial statements;
Clause Schedule 2 (rule 4) in Investment Funds Act (SMART Fund) Rules, 2003 [SFMs 001, 002, 003, 004], p.7Read the source
Where the annual audit of the financial statements of the fund has been waived the fund shall file with the Commission within six months of the waiver, a performance report of the fund and shall file such a report every six months thereafter as long as the waiver exists;
Clause Schedule 2 (rule 4) in Investment Funds Act (SMART Fund) Rules, 2003 [SFMs 001, 002, 003, 004], p.7Read the source

Where in the document: Schedule 2, Financial Reporting Requirements

  • disclosure
  • investment funds
  • audit
Retail margin must be posted in cash and held segregatedA CFD firm cannot open or maintain a retail position on anything other than cash margin. Those funds must be segregated under regulation 88(2) of the Securities Industry Regulations and may not be borrowed, charged or used by the firm for any other purpose.1 fact
UsefulClient-money rules

Retail margin must be cash and must be segregated

Segregation is what keeps a retail client's margin separate from the firm's own money, and the cash-only rule means securities or other assets cannot be pledged to hold a leveraged position open.

A CFD firm may not open or maintain a retail position unless the margin posted is in the form of cash, and funds held as margin in a retail client account must be segregated in accordance with regulation 88(2) of the Securities Industry Regulations and may not be borrowed, charged or used by the firm for any other purpose.

Funds held by a CFD firm as margin in a retail client account must be segregated in accordance with regulation 88(2) of the SIR and may not be borrowed, charged or used by the CFD firm for any other purpose.
Clause 26 in Securities Industry (Contracts for Differences) Rules, 2020, p.14Read the source
A CFD firm shall not open a position in a CFD for a retail client unless the margin posted to open the position is in the form of cash.
Clause 22(1) in Securities Industry (Contracts for Differences) Rules, 2020, p.12Read the source

Where in the document: Rules 22 and 26

  • retail clients
  • client money
  • segregation
Dealing in CFDs needs a registration of its own, separate from a general securities registrationAnyone providing or marketing CFDs in or from The Bahamas must be registered for that specific activity, either through a general dealing registration extended to CFDs or through one limited to CFD dealing. The Commission's wider remit, set out on its own site, runs to investment funds, securities, financial and corporate service providers, digital assets and registered exchanges, carbon credit trading and the capital markets.1 fact
ContextScope of authorisation

Established in 1995 and covering funds, securities and digital assets

It sets the boundary of the licence: a Bahamian registration covers securities, funds, corporate services or digital assets business, and says nothing about banking or insurance, which sit with other authorities.

The Commission states that it was established in 1995 and is responsible for regulating and overseeing investment funds, securities, financial and corporate service providers, digital assets and registered exchanges, carbon credit trading, and the capital markets in The Bahamas. Its functions are set out in section 14 of the Securities Industry Act.

The Securities Commission of The Bahamas (the Commission), established in 1995, is committed to the growth and development of a vibrant, competitive financial services sector renowned for regulatory excellence.
QuotedRead the source
The Commission is responsible for regulating and overseeing investment funds, securities, financial and corporate service providers, digital assets and registered exchanges, carbon credit trading, and the capital markets in The Bahamas.
QuotedRead the source

Where in the document: About us page, Who we are

  • scope of authorisation
  • mandate
Retail margin starts at 0.5% of exposure and positions close out at half of that0.5% of the exposure is the floor for major currency pairs, sovereign debt, major indices, gold, other commodities and equities, and 5% for digital assets. A firm must close a retail client's open positions once net equity falls below 50% of that margin requirement, or have the client add margin.1 fact
UsefulLeverage rules

Positions close out at 50% of the required margin

50%

This sets the point at which a Bahamian CFD firm has to close a retail position rather than let it run further into loss, and it is the number to compare against the close-out level written into an account agreement.

Rule 27 requires a CFD firm to ensure a retail client's net equity does not fall below 50% of the margin requirements set out in rule 23, and to close the open positions as soon as market conditions allow, or have the client add margin, once it does. Net equity is defined as net profit and loss on open positions plus deposited margin.

A CFD firm must ensure a retail client’s net equity in an account used to trade CFDs does not fall below 50% of the margin requirements set out in rule 23.
Clause 27(1) in Securities Industry (Contracts for Differences) Rules, 2020, p.14Read the source
In this rule, “net equity” means the sum of the retail client’s net profit and loss on their open position(s) and the retail client’s deposited margin.
Clause 27(3) in Securities Industry (Contracts for Differences) Rules, 2020, p.14Read the source

Where in the document: Rule 27(1) to (3)

  • retail clients
  • cfd
  • margin close out
The CFD rules reach activity carried on in or from The BahamasRegistration is required for anyone providing or marketing CFDs in or from The Bahamas. A registered CFD firm cannot rely on a managing representative for physical presence, and its supervisory officer must be an individual resident in The Bahamas and registered with the Commission.1 fact
UsefulJurisdiction and limits

A CFD firm must keep real physical presence in The Bahamas

It rules out a purely nominal Bahamian presence for a CFD business, and it means there is a named, locally resident officer accountable for the firm's CFD activity.

A registered CFD firm cannot appoint a managing representative to satisfy the minimum physical presence requirement; it must meet and maintain the requirements set out in the Schedule to the Securities Industry (Physical Presence) Rules. The CFD Supervisory Officer must be an individual residing in The Bahamas, registered with the Commission, and responsible for supervising the CFD business.

Notwithstanding rule 5 of the Securities Industry (Physical Presence) Rules, a CFD firm shall not appoint a managing representative to satisfy the minimum physical presence requirements thereunder and must satisfy and maintain physical presence requirements by complying with the requirements set out in the Schedule of the Securities Industry (Physical Presence) Rules.
Clause 12 in Securities Industry (Contracts for Differences) Rules, 2020, p.8Read the source
an individual residing in The Bahamas;
Clause 8 in Securities Industry (Contracts for Differences) Rules, 2020, p.6Read the source

Where in the document: Rules 8 and 12

  • cfd
  • physical presence
  • jurisdiction
Risk warnings carry a firm-specific loss percentage, and binary options are closed to retail clientsEvery CFD communication to a retail client must carry the firm's own percentage of retail clients who lost money, recalculated every three months over the prior 12 months. Binary options may not be traded with retail clients at all. A 2026 consultation draft would add a $1,000,000 deposit requirement and replace the fixed margin percentages with firm-specific policies approved by the Commission.4 facts
UsefulOther useful facts

Risk warnings must carry the firm's own loss percentage

3

That percentage is a broker-specific statistic published by the broker itself under a rule, so it can be compared directly across firms rather than taken from marketing material.

Every communication about CFDs to a retail client must carry the standard warning that CFDs are complex instruments with a high risk of losing money rapidly due to leverage, together with an up-to-date firm-specific percentage of the firm's retail clients who have lost money, recalculated every three months over the preceding 12 months.

The risk warning shall include an up-to-date firm-specific percentage of the firm’s retail clients who have lost money, and that percentage shall be determined in accordance with paragraphs (3) through (6).
Clause 20(2) in Securities Industry (Contracts for Differences) Rules, 2020, p.11Read the source
The calculation of the percentage in paragraph (2) shall be performed every three months and shall cover the 12-month period preceding the date of the calculation.
Clause 20(3) in Securities Industry (Contracts for Differences) Rules, 2020, p.11Read the source

Where in the document: Rule 20(1) to (3)

  • retail clients
  • cfd
  • disclosure
  • risk warning
UsefulOther useful facts

Binary options may not be traded with retail clients

A firm offering binary options to retail clients and pointing at a Bahamian registration is offering something the registration does not permit, which is quick to check against this rule.

Rule 32 prohibits any person or company from marketing, advertising, offering, selling or otherwise trading a binary option with or to a retail client, or with a person created or used solely to trade binary options.

Trading in binary options with a retail client prohibited.
Clause 32 in Securities Industry (Contracts for Differences) Rules, 2020, p.15Read the source
No person or company may market, advertise, offer, sell or otherwise trade a binary option with or to (a) a retail client; or (b) a person that was created, or is used, solely to trade a binary option.
Clause 32(a) in Securities Industry (Contracts for Differences) Rules, 2020, p.15Read the source

Where in the document: Rule 32

  • retail clients
  • binary options
  • prohibition
ContextOther useful facts

Draft 2026 rules would set a $1,000,000 deposit for CFD firms

BSD 1,000,000

If it is made, the 0.5% floor stops being a single published number and becomes a per-firm policy, so a trader comparing brokers would need to ask each firm for its approved margin policy.

A public consultation draft of the Securities Industry (Contracts for Differences)(Amendment) Rules, 2026 would require a CFD firm to hold and maintain $1,000,000 on deposit with a licensed Bahamian bank, and would replace the fixed minimum margin percentages in rule 23 with a firm-specific minimum margin policy approved by the Commission. The draft is published for consultation and is not in force.

hold and maintain the sum of one million dollars ($1,000,000), or its equivalent in United States dollars, on deposit with a bank licensed under the Banks and Trust Companies Regulation Act, 2020
Clause Draft rule 2, substituting rule 13(2)(a), p.4Read the source
A CFD firm shall develop a minimum margin requirement policy with respect to its retail clients and shall submit the policy to the Commission for approval.
Clause Draft rule 3, substituting rule 23(1), p.5Read the source

Where in the document: Draft rules 2 and 3, amending rules 13 and 23

  • cfd
  • consultation
  • margin
  • regulatory capital
ContextOther useful facts

The Commission reports supervising over 150 securities firms

150

It gives a sense of the size of the supervised population behind a Bahamian registration, and of how many staff stand behind it.

In its investor education booklet the Commission states that, with a staff of more than 70 professionals, it monitors over 150 securities firms with over $492 billion under management and around 850 investment funds with a combined net asset value of more than $135 billion.

With a staff of more than 70 trained and highly skilled professionals, the Commission monitors over 150 securities firms with over $492 billion under management and around 850 investment funds with a combined net asset value of more than $135 billion.
Quoted in Tips to Avoid Fraud and Scams, p.4Read the source
If you believe you have been defrauded or treated unfairly by a securities professional or firm, please send us a written complaint.
Quoted in Tips to Avoid Fraud and Scams, p.12Read the source

Where in the document: Tips to Avoid Fraud and Scams, page 4

  • scale
  • supervision

28 documents examined

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Read by Wikilix from SCB's published documents; every fact links to the page or file it came from.Last reviewed
Licensed brokers

Brokers licensed by SCB

20 brokers on the Wikilix record hold a licence from SCB; the 10 highest-scored are below, and the finder searches them all.

20 brokers

  1. Rank 1Capital.com logo

    Capital.com

    Regulated    Bahamas · since 2016    Wikilix score 80.0
  2. Rank 2B2PRIME logo

    B2PRIME

    Regulated    Cyprus · since 2016    Wikilix score 77.0
  3. Rank 3ActivTrades logo

    ActivTrades

    Offshore    Mauritius · since 2001    Wikilix score 55.0
  4. Rank 4Pepperstone logo

    Pepperstone

    Regulated    Australia · since 2010    Wikilix score 54.0
  5. Rank 5Plus500 logo

    Plus500

    Regulated    Israel · since 2008    Wikilix score 54.0
  6. Rank 6CORE SPREADS logo

    CORE SPREADS

    Regulated    United Kingdom · since 2014    Wikilix score 53.0
  7. Rank 7Wing Fung logo

    Wing Fung

    Regulated    Hong Kong · since 1999    Wikilix score 53.0
  8. Rank 8BLACKWELL GLOBAL logo

    BLACKWELL GLOBAL

    Suspicious Clone    Bahamas · since 2010    Wikilix score 52.0
  9. Rank 9Pictet logo

    Pictet

    Regulated    Switzerland · since 1805    Wikilix score 52.0
  10. Rank 10LOM logo

    LOM

    No Regulation    Bermuda · since 1996    Wikilix score 50.0

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