Company

Spread

for EUR/USD

Min.

Deposit

Platforms

Offered

Account

Types

Spread

Type

Funding

Methods

Customer

Support

Execution

Details
CFDs are leveraged products and can result in the loss of your capital. All information collected on 1/11/2017.

The Ultimate Guide to

Choosing a Broker
For FSB

Not sure which broker is right for you?

Don’t worry - we’ve got you covered. In this guide, you’ll learn:

Ready?

Part 1

Why Choose
For FSB?

scored best in our review of the top brokers for fsb, which takes into account 120+ factors across eight categories. Here are some areas where scored highly in:

  • + years in business
  • Offers + instruments
  • A range of platform inc.
  • 24/7 customer service
  • Tight spreads from pips
  • Used by 0+ traders
  • Offers demo account
  • 0 languages
  • Leverage up to

offers one way to trade: . If you wanted to trade EURUSD through copy trading or other means, skip to part two.

The two most important categories in our rating system are the cost of trading and the broker’s trust score. To calculate a broker’s trust score, we take into account a range of factors, including their regulation history, years in business, liquidity provider etc.

have a trust score, which is . This is largely down to them being regulated by , segregating client funds, being established for over years, and much more. For comparison:

Trust Score comparsion

Trust Score
Year Established
Regulated by
Uses tier 1 banks
Company Type Private Private Private
Segregates client funds

The second thing we look for is the competitiveness of the spreads, and what fees they charge. We've compared these in detail in part three of this guide.

Part 2

Who is (& Isn’t)
Suitable For

As mentioned, allows you to trade in one way: .

Suitable for:

  • Spread Betting
  • CFD Trading
  • Forex Trading
  • Social Trading

Not Suitable for:

To trade with , you'll need a minimum deposit of $. offers a range of different account types for different traders including a , .

Finally, isn't available in the following countries: . They do not offer islamic accounts either.

Part 3

A Comparison of vs. vs.


Want to see how stacks up against and ? We've compared their spreads, features, and key information below.



Spread & fee comparsion

The spreads below are illustrative. For more accurate pricing information, click on the names of the brokers at the top of the table to open their websites in a new tab.
Fixed Spreads
Variable Spreads
EUR/USD Spread
GBP/USD Spread
USD/CAD Spread
USD/JPY Spread
DAX Spread
FTSE 100 Spread
S&P500 Spread

Comparison of account & trading features

Spread type Fixed
EUR/USD Spread
EUR/GBP Spread
Crude Oil Spread
Gold Spread Private Private Private
DAX Spread

Part 4

The Role of the Financial Services Board in South Africa

The Financial Services Board (FSB) is the regulatory agency of the financial markets and its operators in South Africa. With offices in Johannesburg, South Africa, the FSB operates as an independent institution that regulates the non-banking financial services segment of the South African market. The FSB has carried out this function for more than 20 years.

Financial Services Board (FSB) Overview

The financial services industry in South Africa is divided into the banking and non-banking services. While the Reserve Bank of South Africa oversees the banking segment of the market, the FSB oversees the non-banking segment. The services that constitute the non-banking financial services include the following:

  • The capital markets (the Johannesburg Stock Exchange or JSE)
  • Derivative markets (forex, binary options, etc)
  • Insurance (long and short term)
  • Funeral insurance
  • Companies offering capital market, derivative market and insurance services
  • Collective investment schemes such as unit trusts
  • Financial advisors
  • Brokerage firms

History of the Financial Services Board (FSB)

The FSB was founded in 1996. The constitution of the FSB management team is as follows:
There is a board comprising of 10 members and a team of 7 Executive members.

Functions of the Financial Services Board (FSB)

The FSB carries out its functions through the various departments within it. These departments are:

  • Market Conduct Strategy Unit
  • Capital markets
  • Credit ratings
  • Insurance
  • International and Local Affairs
  • Financial Advisory and Intermediary Services (FAIS)
  • Media Centre

Some of these units are directly involved in the core regulatory function of the FSB, working to protect investors from deceptive investments and impropriety on the part of companies servicing the non-banking financial services industry.

How the FSB Protects Traders

The FSB has four core mandates which can be summarized below.

  1. Registers providers of financial services after they have met the proper requirements
  2. Supervises such providers on a continuous basis to ensure compliance with the law
  3. Takes necessary regulatory action against unregistered entities or registered entities that have flouted the relevant laws.
  4. The FSB Enforcement Committee and the FAIS division are responsible for carrying out these functions.
    • What does each mandate entail and how do these ensure consumer protection?

      Registration
      The starting point for any company or entity that wants to operate in the South African financial services industry is registration and licensing. FAIS maintains an e-portal where new license applications are made. Applications can therefore be made to the FSB directly using this portal, or through a recognized representative body.

      Compliance
      New license applications follow a process of payment of requisite fees and approval. The schedule of fees is shown below:

      Supervision
      As part of the supervisory functions of the FSB, the agency requires all companies that it licenses to submit periodic compliance reports as well as submit to auditing of their financial statements. These statements are to be submitted electronically. Failure of a financial service provider to submit these statements attract financial penalties of up to R1,000 per extra day, calculated from the deadline until when the statement eventually gets to the Registrar. Companies that flout this rule or refuse to pay the penalties could risk losing their FSP licensing.

      Compliance
      The FSB routinely withdraws the licenses of companies that fail to meet its regulatory requirements. Cases are usually reviewed when the companies in default address the reasons for their license suspensions. The FSB maintains a list of companies whose licenses have been provisionally or fully withdrawn, provisionally suspended or reinstated. These lists are available from the FSB’s website and can be viewed by the general public.
      Enforcement

      The FSB through its FAIS Unit, also performs enforcement of its decisions. Where a financial service provider’s license has been withdrawn, forceful closure of the business premises of the affected provider can be undertaken.

      What the FSB Requires of Financial Service Providers

      The Financial Services Board has put in place certain competency requirements which financial service providers in South Africa must fulfill before they are licensed to carry out business in South Africa. These competency requirements border on:

  5. Experience
  6. Qualifications
  7. Regulatory Examinations
  8. Experience
    • The various categories of financial service providers and their company representatives regulated by the FSB carry different experience level requirements. The table below shows the experience level requirements for FSPs operating in the core investment business of forex trading, bonds, securities and money market instruments.

      fsb-experience-table-a

      Qualifications
      There are minimum qualification requirements for the management level and regular staff which each financial service provider must maintain. The full list of qualifications (academic and professional) which are accepted by the FSB can be found here.
      Examinations

      The FSB administers a regulatory examination as part of the requirements of the Financial Advisory and Intermediary Services Act, 37 of 2002. The FAIS Act was passed primarily to achieve consumer protection on one hand, and to ensure that the financial services industry in South Africa is professionalized. Consequently, all financial advisors, intermediaries and their representatives are required to achieve certain standard of competency, which is measured by the FSB Level 1 Regulatory examinations. The exams, rated RE1 to RE5, are administered in English and Afrikaans.

      Conclusion

      The FSB roleis to maintain the integrity of the South African financial services industry. Consumers of financial products therefore can have peace mind when it comes to protection of their interests in the South African financial services industry.

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