FSA Regulated Forex Brokers


The Seychelles Financial Services Authority is the autonomous regulatory body headquartered in the Republic of Seychelles. The Authority is responsible to license, regulate, enforce regulatory and compliance requirements, monitor, and supervise the conduct of business in the non-bank financial services sector like Capital Market & Collective Investment Schemes, Insurance, Gambling, etc.

The Authority is also responsible for the registration of International Business Companies, Foundations, Limited Partnership and International Trust in Seychelles. The Seychelles Securities Dealer License will allows a company to trade in securities either as a principal (on its own account) or as an agent (on behalf of its clients).

FCA Seychelles is one of the most sought-after licenses for offshore forex brokers. To get the license, the broker does not need restrictions in the number of clients to be accepted and low required capital or no blocked capital.

Broker Regulation Max Leverage Min Deposit General Rating
Tickmill
Seychelles
2014
BaFin 146511
CySEC, 278/15
FCA (UK), 717270
FSA (Seychelles), SD008
FSCA (South Africa), 49464
1:500 $100 Review
Finq
Seychelles
2005
FSA (Seychelles) SD007
1:300 $100 Review
Fondex
Cyprus
2010
CySEC 138/11
FSA (Seychelles), 8424819-1
1:30 $250 Review
easyMarkets
Australia
2001
ASIC 246566
CySEC, 079/07
FSA (Seychelles), 19.09.2020
1:400 $100 Review
Exness
Cyprus
2008
CySEC, 178/12
FCA (UK) 730729
FSA (Seychelles), SD025
FSCA (South Africa), 51024
1:2000 $1 Review
HotForex
Cyprus
2010
CySEC, 183/12
DFSA (Dubai) F004885
FCA (UK), 801701
FSA (Seychelles), 8419176-1
FSA (St. Vincent & the Grenadines), 22747
FSC (Mauritius), 094286
FSCA (South Africa), 46632
1:1000 $5 Review
Alvexo
Cyprus
2014
AFM (Netherlands) 02-04-2015
BaFin, 142529
CNMV (Spain), 3917
CONSOB (Italy), 4789
CySEC, 236/14
FCA (UK), 683301
FSA (Seychelles), SD030
ESMA
1:400 $500 Review
CM Trading
Cyprus
2011
FSA (Seychelles), SD070
FSCA (South Africa) 38782
1:200 $250 Review
BDSwiss
Cyprus
2012
BaFin, HRB 160749B
CFTC/NFA 0486419
CySEC, 199/13
FSA (Seychelles), SD047
FSC (Mauritius), C116016172
1:400 $100 Review
Valutrades
Seychelles
2013
FCA (UK), 586541
FSA (Seychelles), SD028
1:400 $100 Review
Global Prime
Australia
2010
ASIC, 385620
FSA (Seychelles), SD057
Vanuatu Financial Services Commission 40256
1:200 $200 Review
FXLinked
Seychelles
2018
FSA (Seychelles), SD011
1:400 $10 Review
M4Markets
Seychelles
2019
FSA (Seychelles), SD035
1:1000 $5 Review
Skilling
Cyprus
2016
CySEC, 357/18
FCA (UK), 810951
FSA (Seychelles), SD042
1:500 $100 Review
Yadix
Seychelles
2010
FSA (Seychelles), SD021
1:500 $100 Review
BlackBull Markets
New Zealand
2014
FCA (UK), 9556804
FMA (New Zealand) FSP403326
FSA (Seychelles), BBG Limited
1:500 $200 Review
SquaredFinancial
Cyprus
2017
CySEC, 329/17
FSA (Seychelles), SD024
1:30 $1 Review
FXGT
Seychelles
2019
FSA (Seychelles), SD019
1:500 $10 Review
Admirals
Argentina
2001
ASIC, 28381
CySEC, 201/13
FCA (UK), 595450
FSA (Estonia), 10932555
FSA (Seychelles), 8426894-1
1:500 $100 Review
ForexVox
United Kingdom
2019
FCA (UK), 586541
FSA (Seychelles), Securities Dealer License No SD028
1:500 $1 Review

Every country creates a different set of rules regarding brokerage licenses. Some are easier than others. Seychelles is one of the countries with a less restrictive regulation when it comes to a brokerage.


A Brief Intro to Seychelles


The Republic of Seychelles is a small archipelagic country located 1500 kilometers east of mainland Africa, in the Indian Ocean. This country consists of 115 islands and has the highest nominal per capita GDP when compared to any other African country. They are also the first country to surpass the Human Development Index score of 0.800. The World Bank put Seychelles on the list of countries with high-income economies.

The financial service sector is one of the fastest-growing sectors in Seychelles. All the more reason to apply for a brokerage license here. One of the more specific advantages of applying for a brokerage license in Seychelles is no blocked capital. USD50,000 that is required to apply for a brokerage license can be withdrawn later on for the company's expense.


Is It Safe to Trade in a Seychelles Regulated Broker?


There are several reasons why choosing an offshore jurisdiction for a brokerage license is preferred when compared to onshore brokerage licenses. One of those reasons is the cost, because applying for an onshore brokerage license usually requires a large sum of capital in addition to many other requirements. Several brokerage licenses in offshore jurisdiction also offer a very low tax on profits, about 1.5% p.a. that can be reduced to almost zero, allowing a forex broker to spend less compared to when they are licensed by an onshore regulation.

See also: The Story Behind Tax Haven Countries for Forex Trading

In that case, the Financial Services Authority of Seychelles has become a reputable and respected international financial services jurisdiction over the last 10 years, started by the establishment of the International Business Companies Act in 1994, the International Trust Act in 1994, the International Trade Zone Act in 1995, and recently, Seychelles Securities Act in 2007.

Seychelles Securities Act of 2007 gives a legal framework for the provision of Securities Dealer Services. In order to trade in securities on its own account or on behalf of its clients. For further information, you can visit " Discovering Seychelles Regulation for Forex Brokers ".



Usually, the Seychelles Offshore Securities Dealers License will be settled in 3 months after the applicants set up a domestic company in 24 hours and prepare the paperwork in 2 weeks. Keep in mind that the broker does not need to personally visit Seychelles to take care of the document because all forms of application including bank account forms are included in the mailing charges as a part of the pricing modules.

Here are the requirements to apply for Securities Dealers License in Seychelles:

  • Domestic company in Seychelles with a share capital of USD50,000. The funds do not need to stay there after the licensing process is done, as the company is free to use it at their disposal later on.
  • Two people who act as the directors. Their CVs will be screened according to the FSA's standard.
  • A fully furnished office in Seychelles. The FSA will visit the office and see if it has paid its rent, electricity, water, active phone number, cleaning services, and an internet connection.
  • A qualified compliance officer in Seychelles and a Securities Dealers Representative who can be the company director themselves.

After fulfilling the requirements above, the head of the company will need to submit the following paperwork:

  • Certified copy of passport
  • Certified utility bills from last month
  • Curriculum Vitae
  • Academic and professional certificate
  • Professional reference letters - two of them
  • Bank reference letter
  • Employment letter from current employer if there is one
  • Police Criminal Certificate, issued within the last three months
  • The most recent Tax Compliance Certificate
  • Two passport photos
  • A bank statement showing at least USD50,000. This fund needs to be in a Seychelles bank account later on.

After the license is issued and sent, the company can conduct several activities such as offering forex and CFD-related products, accepting their clients’ deposits, as well as providing other forex-related services to anyone through its official website. There is also no limit on how many clients it can attract.


In short, the Financial Services Authority of Seychelles can offer a lot when it comes to brokerage licenses. Low taxation and no capital blocking can help brokers' businesses grow faster when compared to being regulated in onshore jurisdictions.



FAQ

What does FSA regulated mean?

Being regulated by FSA (Financial Services Authority) of Seychelles means operating under the standards of a Seychelles financial regulator. Previously known as SIBA, the agency has changed its name since 2013 to take care of regulating all non-banking financial companies operating in the country.

What are FSA rules?
To be licensed as an operating forex brokerage by the FSA, here are the rules and requirements:

  • A minimum capital of $50,000
  • A minimum of 2 local directors
  • A physical office

Being regulated by Seychelles financial agency means no restrictions on offering deposit bonuses, contests, and other promotions. Furthermore, low operational costs and corporate taxes in Seychelles give many opportunities for forex brokers to provide competitive trading conditions for clients, ranging from super low minimum trading deposits to higher leverage.

However, the Seychelles authorities are known to be highly proactive when it comes to anti-money laundering rules. They want to get rid of the common perception of being like most tax havens, wherein most are known for their indulgence in money laundering activities and financial frauds.


What is the main purpose of FSA?

To uphold the regulatory framework of financial companies in Seychelles. Under the new regulatory protocols of the reformed Financial Services Act of 2013, the Seychelles authorities hopes to concentrate more on protecting the consumer rather than the company.


What are the powers of FSA?

The FSA has the power over financial institutions and forex brokerages in Seychelles. The institution has adopted the global standards of broker regulation when it comes to supervising financial firms in Seychelles. It requires its members to regularly submit audit reports, financial statements, statement of accounts, and other documents to help them monitor brokers' activities.

If you are interested to open an account in one of the brokers in the list above, make sure to try the forex demo account before proceeding to register in the live account.



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