Regulations & Safety

Regulations that put our clients at ease while simultaneously mitigating risks.

We value secured investing and thus follow strict laws & regulations, safely secure monies in segregated accounts, and only deposit assets with respectable banks.

Frequently asked questions

Mexem UK offers access to a Stocks and Shares ISA via Interactive Brokers (UK), which is an HMRC-recognised ISA Manager.

No platform fees

Clients can invest tax-free in eligible UK and international securities.

Zero commission
US stocks

Clients can invest tax-free in eligible UK and international securities.

£2 flat fee on UK stocks

Clients can invest tax-free in eligible UK and international securities.

Regulations and safety

Your assets protected by robust financial safeguards, regulatory compliance, and industry best practices.

Mexem UK implements FCA-compliant risk governance frameworks to protect clients and maintain resilience:

  • As a non-disclosed introducing broker, Mexem UK does not take on custody or execution risk, this is fully managed by Interactive Brokers (UK) Ltd.
  • We assess operational risk, monitor for market abuse or excessive leverage, and apply independent compliance oversight.
  • We conduct regular ICAAP/ICARA assessments and counterparty due diligence to manage systemic and credit risk.
  • Risk policies are reviewed annually in line with FCA SYSC requirements.

See also: Risk Management Policy, Compliance Statement

All client money and investments are held with Interactive Brokers (UK) Ltd under FCA CASS rules. Mexem UK does not hold client money or assets. Assets are held in trust, segregated from IBKR’s corporate funds, and deposited with Tier-1 banks.  IBKR performs daily reconciliations and distributes funds across institutions to reduce exposure.

If IBKR fails, eligible clients may claim up to £85,000 under the Financial Services Compensation Scheme (FSCS).

Both Pro and ISA accounts benefit from the same client asset protection standards under UK regulation.

  • Orders are transmitted to Interactive Brokers LLC (IBLLC) for execution and clearing under a formal Execution and Clearing Agreement (Form 3207).
  • Client protection remains fully governed by FCA oversight via IBUK which ensures access to global markets while preserving UK regulatory protection.

See also: Execution Agreement Summary, Risk Disclosure

  • 2-Factor Authentication: All access to Client Portal and trading platforms requires two-factor authentication.
  • IP & Device Control: Logins from unrecognised devices or regions are automatically flagged or blocked for review.
  • End-to-End Encryption: Communication between client devices and IBKR systems is fully encrypted with TLS 1.3.
  • Session Timeouts: Idle sessions are automatically logged out after a defined inactivity period.
  • UK GDPR & DPA 2018: Mexem Financial Services UK Ltd adheres to all data protection obligations under the UK GDPR and Data Protection Act.
  • Data Sharing: Personal information is only shared with Interactive Brokers (UK) Ltd for onboarding, compliance, or trading execution purposes.
  • Client Rights: Clients have the right to access, rectify, or request deletion of their personal data.
  • Encryption & Access Control: All sensitive data is encrypted and stored securely with strict internal access controls.
  • Mexem Financial Services UK Ltd is authorised and regulated by the Financial Conduct Authority (FCA), Firm Reference Number 15248800.
  • We maintain capital and liquidity buffers in accordance with the FCA’s MIFIDPRU rules for investment firms.
  • Annual accounts are reviewed by third-party auditors and submitted to Companies House.
  • Mexem UK is part of a European brokerage group with a strong capital base and track record

Client Asset Protection – FSCS & SIPC

As an FCA-authorised introducing broker, Mexem Financial Services UK Ltd (Mexem UK) does not hold client money or securities. Your account is introduced by Mexem UK but held with Interactive Brokers (U.K.) Limited (IBUK),  an FCA-authorised and HMRC-recognised ISA Manager.

This structure ensures that your assets benefit from the highest standards of protection under UK and international law.

FSCS protection: Eligible clients of IBUK are covered by the UK Financial Services Compensation Scheme (FSCS) up to £85,000 per person, per firm.

The FSCS operates under the Financial Services and Markets Act 2000. For more information, visit www.fscs.org.uk

SIPC protection: For US-listed assets held with Interactive Brokers LLC (IBLLC) in the United States, the Securities Investor Protection Corporation (SIPC) provides protection of up to $500,000 (including $250,000 cash).

For more information, visit www.sipc.org.

Segregation of Client Assets

Interactive Brokers (U.K.) Limited (IBUK) provides client money and custody services in line with the FCA’s Client Assets (CASS) regulations, which require that your cash and securities are fully segregated from IBUK’s own assets. Where IBUK appoints sub-custodians to hold securities on your behalf, these firms are bound by legal agreements to keep your assets safe and protected under the same regulatory standards.

Important Information

  • All investments involve risk, including the potential loss of capital. FSCS and SIPC provide protection against firm insolvency but do not protect against market losses.Mexem Financial Services UK Ltd is authorised and regulated by the Financial Conduct Authority (FCA) (FRN: 1009371). Registered in England & Wales (Company No. 15248800). Registered office: 1 Water Lane, London, NW1 8NZ.

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Invest with trust through regulations that put our clients at ease while simultaneously mitigating risks.