Financial Regulation Protects and Benefits Investors

In a regulated environment like Stonesfield Capital Limited, investors benefit from enhanced protection and greater transparency. The financial system plays a crucial role in our daily lives—for example, we rely on banks to safeguard our money and facilitate payments, and we rely on investment firms to grow our funds and generate future returns. Without proper regulation, financial institutions can pose risks to consumers and threaten the stability of the financial system. Regulation sets clear rules to prevent issues, and in cases where problems arise, these rules help protect both investors and the broader financial system.

Safeguarding of Investor Assets

Stonesfield Capital Limited is required to hold investors’ financial instruments and uninvested funds separately from its own assets. The company maintains accurate records and accounts that clearly distinguish investor funds and financial instruments from its own assets. Internal records and accounts are regularly reconciled, and robust controls are in place to minimize the risk of loss for investors

Financial instruments owned by investors are held in individual financial instrument accounts, separate from Stonesfield Capital Limited’s assets. Investor funds are safeguarded in accounts with EU-licensed banks or qualifying money market funds. These funds are used solely to execute investors’ orders, process withdrawals, or cover fees and charges payable to Stonesfield Capital Limited. They remain separate from the company’s own assets, and creditors of Stonesfield Capital Limited have no claim over these funds.

The investor compensation scheme protects investors by providing compensation if Stonesfield Capital Limited fails to return financial instruments or funds. This scheme typically covers situations arising from operational errors, such as fraud or administrative malpractice. Compensation available under the scheme is limited to Stonesfield Capital Limited’s outstanding liabilities to the investor, up to $20,000.

Investor Compensation Scheme