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List of Brokers with FSA (Seychelles) Regulation

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Founded in 2013, The Seychelles Financial Services Authority (FSA) is the autonomous regulatory body responsible for non-bank financial services in Seychelles with the task of licensing, regulating, and enforcing regulatory and compliance requirements. The agency is also actively monitoring and overseeing business conduct in the non-bank financial services sector.


Established : 2013
Country : Seychelles
Website : https://fsaseychelles.sc
Total Brokers : 43

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Score Broker Regulation Payment Min Deposit Max Leverage

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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.

Seychelles has been working to develop its financial services sector, particularly as an offshore financial center. The country has offered services like international banking, insurance, and offshore company registration, aiming to attract foreign investors and businesses.

 

The Financial Services Authority (FSA) of Seychelles 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, statements of accounts, and other documents to help them monitor brokers' activities.

In doing so, FSA 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 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".

 

Traders who open an account with FSA-regulated brokers mean they trade under the standards of a Seychelles financial regulator.

According to the rules, there would be no restrictions on bonus offers, 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, so traders could trade with super low minimum trading commissions, higher leverage, and affordable deposits.

Registration in Seychelles forex brokers tends to be simple and easy as there's no strict requirement from the regulator to conduct AML and KYC procedures.

 

There are many regulatory agencies in forex trading, but the most popular names that come across many publications can be narrowed down into the Cyprus Securities and Exchange Commission (CySEC), the Financial Conduct Authority (FCA) of the United Kingdom, and the Australian Securities and Investments Commission (ASIC).

As such, let's compare FSA Seychelles with the 3 regulatory institutions above:

Regulatory Aspects FSA Seychelles FCA ASIC CySEC
Scope Oversees a range of financial services, including offshore companies, international insurance, securities, and forex trading in Seychelles. Regulating financial markets and firms operating within the UK, including forex trading. The number approximately reaches 27,500 firms across all industry sectors. Regulates financial services and consumer credit, and authorized financial markets operating in Australia Regulating all financial and investment companies registered in Cyprus, including forex brokers.
Perception Viewed as less stringent compared to some of the more established regulatory authorities in major financial centers Known for strict regulations and high standards of oversight, which can provide a higher level of protection for traders and investors. Generally considered a reputable regulator, maintaining a balance between oversight and promoting a competitive environment. Faced criticism in the past for its lenient approach, but the perception is changing for the better since it has taken steps to enhance regulations and supervision in recent years.
Requirements Relatively more accessible for forex brokers More challenging due to stringent requirements, but it's also seen as a mark of credibility. Rigorous licensing requirements, including a focus on client fund protection and compliance.

More flexible than FCA and ASIC, but is stricter than FSA Seychelles.

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 FSA 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 standards.
  • 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 internet connection.
  • A qualified compliance officer in Seychelles and a Securities Dealers Representative 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.


Additional FAQ

Based on the Financial Services and Market Act, FSA had at least four primary objectives:

  1. Encouraging market confidence in the UK financial system,
  2. raising public awareness and understanding of the UK financial system,
  3. securing adequate consumer protections, and
  4. reducing the incidence impact of financial crime.

Continue Reading at FSA Vs FCA: Exposing the Differences and the History

When it comes to online trading regulation, the ambiguity of laws in Nigeria contrasts with other African countries that have already implemented regulations. For example, South Africa's Financial Sector Conduct Authority (FSCA) and Kenya's Capital Markets Authority (CMA) have already regulated online forex brokers in their countries. Furthermore, South Africa has even established rules for forex trading taxation.

Continue Reading at Is It Safe to Trade Forex in Nigeria?

Some of the top regulatory agencies in the world include:

  • The Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) in the United Kingdom
  • The Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA) in the United States
  • The Swiss Financial Market Supervisory Authority (FINMA) in Switzerland
  • The Australian Securities and Investments Commission (ASIC) in Australia
  • The Financial Services Agency of Japan (JFSA) in Japan
  • The Cyprus Securities and Exchange Commission (CySEC) in Cyprus

If the broker you use is regulated by one of the regulatory agencies above, you can be confident that it is safe. The reason is that these regulatory agencies have strict requirements that brokers must meet to be licensed.

Only the most reputable and trustworthy brokers can obtain a license.

Continue Reading at How to Avoid Forex Broker Scams

Selecting a broker regulated by the Monetary Authority of Singapore (MAS) should be the foremost consideration when embarking on your trading journey in Singapore. MAS is Singapore's premier financial regulatory body, renowned for its unwavering commitment to maintaining the integrity and stability of the financial sector. When a broker is subject to MAS regulation, the institution adheres to the highest industry standards.

Continue Reading at Top Forex Brokers in Singapore