Safety of Funds
Investor Compensation Scheme
Trive Financial Services Europe Limited is a member of the Malta Investor Compensation Scheme (www.compensationschemes.org.mt), designed to provide protection to clients in cases of financial distress or insolvency. This scheme is established under EU Directive 97/9/EC on investor compensation and transposed into Maltese law through the Investor Compensation Scheme Regulations (S.L. 370.09). It serves as a safeguard for retail investors, small businesses, charities, and trusts.
The scheme compensates eligible investors who have entrusted funds or financial instruments to a licensed firm as part of its regulated activities. Compensation is provided only if the Firm ceases operations due to financial failure or insolvency.
The maximum compensation amount is 90% of eligible claims, up to a limit of €20,000, whichever is lower. Payments are made in the same currency as the original investment. Each investor may submit only one claim, covering all investments held with Trive Financial Services Europe Limited.
Segregation of Client Funds
Trive Financial Services Europe Limited segregates all retail client funds from its own money in accordance with the Control of Assets Regulations (Malta S.L. 370.05) and the Malta Financial Services Authority (MFSA) Client Money Rules.
Client funds that are not used as margin for open positions are maintained in segregated accounts with appropriate banking institutions. These funds remain separate from the Firm’s own assets, even when pooled with other client funds. In the unlikely event of the Firm’s insolvency, client deposits remain protected and are not accessible to company creditors.
Negative Balance Protection
In accordance with ESMA (European Securities and Markets Authority) regulations and MFSA Conduct of Business Rulebook, Trive Financial Services Europe Limited provides Negative Balance Protection on its CFD offering to safeguard retail clients from excessive losses.
If extreme market conditions or price gaps result in a negative balance on a retail client’s account, Trive Financial Services Europe Limited will cover the deficit. This ensures that clients can never lose more than their deposited funds.