Dubai-based forex and CFD broker FP Trading, part of the wider FP Markets Group, announced on Wednesday the introduction of $1 million in insurance coverage for client funds, underwritten through Lloyd’s of London.
The company said the program is designed to protect against operational risks such as fraud, internal misconduct and “certain unforeseen incidents.” It sits alongside FP Trading’s existing safeguards, including segregated client funds and internal controls, rather than replacing them.
The coverage targets internal failure scenarios, not trading losses or market drawdowns. The insurance is meant to act as a backstop if something goes wrong inside the brokerage’s own operations, not if a client loses money on a trade.
Lloyd’s of London is not a single insurer. It is a marketplace of syndicates that underwrite policies under the Lloyd’s umbrella. Claims in the Lloyd’s market are typically presented through a broker-led process to a lead underwriter before being reviewed and settled centrally. Associating the policy with Lloyd’s of London provides a reputational link to an established insurance marketplace in a sector where brokers compete on trust.
FP Trading offers trading across forex, commodities, indices and cryptocurrencies. The broker operates via entities in Saint Lucia, Saint Vincent and the Grenadines, South Africa and Mauritius.
