Safeguarding Arrangements for Global Reach
This statement provides a summary of our current obligations and arrangements when protecting funds received by Global Reach from clients. Our obligations in relation to client money are set out under the safeguarding rules of The Payment Services Regulations 2017. The objective of the safeguarding rules is to consider what would happen to our client’s funds in the unlikely event that our firm went into administration.
When we receive funds in relation to a trade, the money is received into a client bank account. Those client accounts are not commingled with firm money and in the unlikely event of administration, no other creditors can have access to these funds. All funds within these accounts can only be used to distribute to clients. We conduct daily reconciliations to ensure that the client balances as per our internal records corresponds to the funds held in the client accounts.
Some clients also send us funds to pay for deposit or margin requirements, however this money is not safeguarded because it does not fall within the definition of client money.