South Africa Forex License.
A Category II Financial Services Provider (FSP) licence regulated by the FSCA, enabling discretionary forex and derivatives intermediary services. Entities registered in and outside South Africa may apply; the process requires local presence, regulatory exams and a local bank account.
Licence overview
Important: JY Global does not act as broker, market maker, principal, counterparty or product issuer. Our role is coordination only.
The licensing process may involve company incorporation, document preparation and regulator review. JY Global's role is limited to project coordination and preliminary compliance input.
Comprehensive guide to licensing
The application for a Category II licence involves substantial paperwork, continuous liaison with the FSCA, and local presence to pass regulatory exams and attend verification at a local bank. The proposed activity, identity and background of all appointed individuals and entities are closely investigated by the regulator.
At least one Key Individual must be resident in South Africa. Each Key Individual and Representative must pass regulatory examinations held regularly in South Africa or the UK. A licensee must hold a local bank account for the initial capital and corporate needs, and is subject to strict compliance reporting monitored by a compliance officer.
Company structure and staff
- Min. 1 shareholder (legal entities or natural persons)
- Min. 1 director (natural persons only)
- A Representative
- At least 1 (preferably 2) Key Individuals
- A Compliance Officer (appointments of representatives, key individuals and compliance officers must be assessed against FSCA requirements by qualified local professionals)
- External auditor(s)
Taxation
- Corporate income tax – 28%
- No withholding taxes
- Capital gains tax – 18.6%
Other requirements
- Accounting – annual submission of audited financial statements
- Local office – not required
- Registered office – required
- Local employees – required (Key Individual)
- Regulatory examinations (Key Individual(s) and Representative(s)) – required
- Professional Indemnity Cover – required (ZAR 5 million, around USD 350,000)
Steps to obtain licence
- 1Gathering of relevant KYC documents for initial verification
- 2Registering Key Individual(s) and Representative(s); attending regulatory exams
- 3Establishment of an external company / branch / shelf company in South Africa (if applicable)
- 4Preparation of business plan and necessary manuals and procedures; obtaining the insurance
- 5Opening a local bank account and depositing capital
- 6License application with the FSCA
- 7The FSCA conducts investigations and raises questions / comments on the application to be clarified or fulfilled
Standard documents
- Notarized passport
- Notarized second ID
- Certified utility bill
- Notarized criminal record
- Bank reference letter
- Two character reference letters issued by professionals
- Certified diplomas of higher education
- Detailed CV, dated and signed by the applicant
- Detailed business plan
- Manuals (AML policy, security policy and procedures, and others if requested by the regulator)
* Subject to legal review, eligibility assessment, regulatory approval and local professional advice. No approval or timeline is guaranteed.
Tell us about your structure. We'll tell you what's realistic.
A senior advisor reviews eligibility, beneficial-ownership and substance requirements before any application begins. Initial conversations carry no engagement fee.
3076 Sir Francis Drake’s Highway
Road Town, Tortola VG1110, British Virgin Islands