The Securities and Exchange Commission Philippines has issued a public advisory warning investors about engaging with Interactive Brokers Group, Inc. (IBKR) in the Philippines, citing the firm’s lack of local registration and authority to operate as a broker or dealer.

In its advisory, the SEC said IBKR is not registered as a corporation in the Philippines and does not hold the licenses required to offer or sell securities, act as a broker or dealer, or operate an exchange under Philippine law.

Unregistered Activity Cited

Despite the absence of local authorization, the SEC noted that IBKR’s trading platform has been accessible to Filipino users and has been promoted locally, allowing residents to open accounts and trade a range of financial instruments, including stocks, foreign exchange, derivatives, and cryptocurrencies.

The regulator said such activities may constitute unauthorized offers and sales of securities under the Securities Regulation Code (SRC), which requires prior registration and approval before investment products or services may be marketed or offered to the Philippine public.

Warning to Promoters and Influencers

The SEC also cautioned individuals who promote or endorse IBKR in the Philippines, including recruiters, agents, and social media influencers. According to the advisory, those who solicit investments or encourage the public to use unregistered platforms may be held criminally liable under the SRC.

Penalties for violations may include fines of up to ₱5 million, imprisonment of up to 21 years, or both.

Platform Access Restrictions

Separately, reports in late 2025 indicated that access to IBKR’s platform had been blocked by some local telecommunications providers following regulatory directives. The National Telecommunications Commission has previously assisted financial regulators in restricting access to unregistered trading and investment platforms. IBKR has not publicly confirmed any formal engagement with Philippine regulators regarding the reported access restrictions.

Regulatory Context

Under Philippine law, foreign financial institutions are required to comply with local registration and licensing rules before offering investment services to residents, regardless of whether they are licensed or regulated in other jurisdictions.

The SEC said its advisory forms part of broader enforcement efforts aimed at protecting investors from unregulated investment activities and reinforcing compliance with Philippine securities laws.

What Investors Should Know

The SEC emphasized that investors should verify whether a financial service provider is properly registered and licensed in the Philippines before investing. While Filipinos may be able to access foreign platforms individually, the regulator’s warning is directed at preventing local marketing, solicitation, or promotion of unregistered investment services.

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