The FSCA is the South African financial regulator. It is responsible for regulating all Forex brokers with an office in the country. South African traders are not required to trade with FSCA regulated brokers, but local regulation does provide an extra layer of protection.

FSCA-regulated brokers are required to keep client funds segregated from their own operating funds. They are also audited on a regular basis to ensure that client funds are not misused. All FSCA-regulated brokers must also apply for an ODP licence, which further protects South African traders.

In this guide, you will learn who the best FSCA-regulated Forex brokers are. We put together a list of all the brokers regulated by the FSCA and then selected those with the best trading conditions, trading platforms and educational material for new traders.

  • AvaTrade - Best FSCA Regulated Forex Broker
  • FXTM - Best FSCA-Regulated Broker for Beginners
  • MarketsX - Best Trading Platform with FSCA Regulation
  • HotForex - Highest Leverage with Market Execution
  • FXCM - Best Specialty Trading Platforms
  • CM Trading - Largest FSCA Regulated Local Broker
  • Khwezi Trade - Best Local FSCA Regulated Broker
  • FxPro - Best FSCA Regulated No Dealing Desk (NDD) Broker
  • IG Markets - Best FSCA Regulated MT4 Broker
  • Blackstone Futures - SA Broker with the Tightest Spreads
  • ThinkMarkets - Best Market Execution
  • IronFX - Best Regulated FSCA Broker
  • FxPrimus - Most Secure FSCA Regulated Broker
English

Best FSCA Regulated Forex brokers 2021

Last updated on 17 Dec 2020
Updated 17 Dec 2020
by Editorial Director Jeffrey Cammackby Jeffrey Cammack
Jeffrey Cammack
All Brokers Regulated
All Brokers Regulated
by Trusted Authoritiesby Trusted Authorities
Trusted
1
AvaTrade
Min. Deposit
USD 100
4.184.18
FSCA Licence
45984
Fx Pairs
50+
Platforms
Overall Rating
11110.54.18/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.90 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 & MT5 platforms supported. AvaTrade Group regulated by ASIC, FSCA, B.V.I FSC & FSA.
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With over 200,000 active traders around the globe, on both the MetaTrader 4 and AvaGo platforms, and the award for Best Trade Execution 2016 by the African Finance Expo, AvaTrade is a good partner for all types of trader. AvaTrade has built its reputation on being a client-focused, dependable broker, and continues to add to that reputation with the recent addition of AvaProtect to its product lineup.

With great trading conditions across Forex, commodities, cryptocurrencies, ETFs, bonds, and equities and boasting FSCA and ASIC regulation, AvaTrade is competitive with some of the best brokers in the world.

Pros
  • Good for beginners
  • Well regulated
  • Low minimum deposit
Cons
  • Dealing desk
  • Limited education
Read More About AvaTrade
2
FXTM
Min. Deposit
USD 10
4.234.23
FSCA Licence
46614
Fx Pairs
59
Platforms
Overall Rating
11110.54.23/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.90 pips on trading account with lowest minimum deposit. Max leverage Flexible. Islamic account available. MT4 & MT5 platforms supported. Leverage offered can vary depending on country of residence, and your trading knowledge and experience. FXTM is regulated by CySEC, FCA, FSCA, and the FSC.
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FXTM is regulated by the FCA, CySEC and the FSCA in South Africa and the educational material offered is first-class. By keeping the focus on beginners looking for reasonable trading conditions, the FXTM team of educators and analysts have succeeded in creating a welcoming environment for new traders. Additionally, FXTM are one of the few brokers with 24/7 support, allowing new traders to get set up on weekends or holidays.

For the absolute beginner, FXTM has a great deal of training material to help new traders get started. Materials include articles, videos, webinars and a searchable glossary of new vocabulary. This is an excellent resource and many hours can be spent covering the basics of Forex Trading. There is an additional set of videos that cover analysis topics, and more detail on chart reading techniques.

FXTM has an open “Daily Market Analysis” section on their website where research analysts post bulletins that connect daily news items with analysis and actionable trading ideas. This can be combined with other sources to achieve a more comprehensive view of global events and the trading opportunities they represent.

The Standard Account has a minimum deposit of 100 USD and spreads start at 1.3 pips. FXTM also offers a Cent Account where the minimum deposit if only 10 USD but the spreads will be wider. If you can afford it, I would recommend starting with the Standard Account.

Pros
  • Good for beginners
  • Excellent education
  • Well regulated
  • Low minimum deposit
Cons
  • Expensive withdrawals
Read More About FXTM
3
MarketsX
Min. Deposit
ZAR 2500
4.394.39
FSCA Licence
43906
Fx Pairs
50+
Platforms
Overall Rating
11110.54.39/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.60 pips on trading account with lowest minimum deposit. Max leverage 300:1. Islamic account available. MT4 & MT5 platforms supported. MarketsX is regulated by CySEC, ASIC, and the FSCA.
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Marketsx is a premium trading platform. It’s operated by Markets.com and offers traders fast, low-cost trading on over 2,200 financial instruments. Marketsx provides CFD trading on global stock, forex, commodity, indices, cryptocurrency, ETF and bond markets. Clients in the UK can also use spread bets on applicable instruments.

The proprietary Marketx trading platform is packed full of features and trading tools and is optimised for lightning execution. As well as in-depth charting and asset comparison tools, Marketsx also gives traders a wealth of decision-supporting data with sentiment tools, tutorials, and regular live-streamed, expert analysis.

Owned by Tradetech Markets (South Africa) Pty Ltd., a subsidiary of Playtech PLC, Markets.com (South Africa) SA is one of the best-recognised Forex brands.

Pros
  • Well regulated
  • Tight spreads
  • Wide range of assets
  • Fast and free withdrawals
Cons
  • High minimum deposit
Read More About MarketsX
4
HotForex
Min. Deposit
ZAR 70
4.294.29
FSCA Licence
46632
Fx Pairs
51
Platforms
Overall Rating
11110.54.29/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.20 pips on trading account with lowest minimum deposit. Max leverage 1000:1. Islamic account available. MT4 & MT5 platforms supported. HF Markets Group regulated by the FSCA, FCA, FSC, CySEC and the DFSA.
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An STP broker regulated by multiple major authorities including the FCA and CySEC, HotForex has built a reputation among traders for its tight spreads, low fees, and fast market execution. Excellent educational and analytical material is available for both visitors and clients, and customer service is world-class.

Listed as one the Top 100 Companies by World Finance Magazine and with an award for Business Excellence 2015 (World Confederation of Businesses), HotForex is not just celebrated by their industry peers, but also by the financial industry as a whole.

Pros
  • Low minimum deposit
  • Tight spreads
  • Well regulated
  • Good range of accounts
Cons
  • Limited base currencies
Read More About HotForex
5
FXCM
Min. Deposit
USD 50
4.134.13
FSCA Licence
46534
Fx Pairs
40
Platforms
Overall Rating
11110.54.13/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.3 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 & Ninja Trader platforms supported. Forex Capital Markets is regulated by FCA, ASIC, and the FSCA.
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FXCM has been a global Forex and CFD broker since 1999 and are regulated by the FCA, ASIC, and the FSCA in South Africa.

One of the major advantages of FXCM for beginner traders is the quality of the educational material they offer. FXCM offers eBooks on Forex basics, trading strategies, trading habits, the FXCM’s proprietary Trading Station platform, and how to identify potential trading opportunities on the market. FXCM’s extensive video library is organised into different categories that span from how to make deposits, to more advanced trading topics like order types that help traders manage risk in trades.

Like most of their competitors, FXCM ZA uses webinars to teach Forex trading – these are exclusive webinars for South Africans and hosted by Russell Shor, the Senior Analyst for FXCM’s South African team. Having a dedicated education section for South Africans is extremely rare and is one of the greatest advantages to using FXCM ZA. Moreover, FXCM ZA runs free workshops in Pretoria and Johannesburg on a monthly basis.

FXCM has a standard demo account and a single live account offering. The demo account has 5000 USD virtual money and expires after 30 days of inactivity. The standard account is commission free with a minimum deposit of 50 USD

Pros
  • Well regulated
  • Great platform choice
  • Excellent education
  • Innovative trading tools
Cons
  • Limited demo account
Read More About FXCM
6
CM Trading
Min. Deposit
USD 250
3.383.38
FSCA Licence
38782
Fx Pairs
47
Platforms
Overall Rating
1110.503.38/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.5 pips on trading account with lowest minimum deposit. Max leverage 200:1. Islamic account available. MT4 & Sirix platforms supported. CM Trading is regulated by the FSCA.
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CM Trading is a well-regarded South African broker, regularly cited as the largest in the country, and headquartered in Sandton, Johannesburg.

CM Trading is a market-maker, but offers competitive spreads and is a good choice for new traders due to their great educational material and the CopyKat copy-trading system. Maximum leverage is 200:1 and both MetaTrader 4 and Sirix Webtrader platforms are available, allowing for some flexibility.

Customer service is generally excellent and, while deposit and withdrawal costs are high, many customers will find comfort in working with a good local broker.

Pros
  • Good for beginners
  • Great customer support
  • Copy trading accounts
Cons
  • Expensive withdrawals
  • Local regulation only
Read More About CM Trading
7
Khwezi Trade
Min. Deposit
ZAR 2000
3.473.47
FSCA Licence
44816
Fx Pairs
32
Platforms
Overall Rating
1110.503.47/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.80 pips on trading account with lowest minimum deposit. Max leverage 200:1. Only MT4 platform supported. Khewzi Trade is regulated by the FSCA - FSP:44816
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Khwezi Trade is a South African FSCA regulated broker headquartered in Cape Town. As is common with other STP brokers, Khwezi Trade uses MetaTrader 4 as their single choice of platform, as it provides fast and reliable market execution.

Khwezi Trade offers four account types depending on minimum deposit but all accounts come with a personal account manager.  Leverage is less than is offered by other international brokerages, and currency pairs are more limited, but the clear appeal with Khwezi Trade is their competitive trading conditions that rival other local players.

For beginner traders with higher deposits above R15,000, Khwezi Trade awards clients five trading sessions led by a professional trader as well as more profitable trading conditions. For deposits over R50,000 unlimited training is provided.

For a South African trader looking for a genuinely local broker, Khwezi Trade has local regulation, local offices, local staff and uses local banks.

Pros
  • ZAR Accounts
  • Fast and free withdrawals
Cons
  • Local regulation only
  • No swap-free account option
Read More About Khwezi Trade
8
FxPro
Min. Deposit
USD 100
4.214.21
FSCA Licence
45052
Fx Pairs
70+
Platforms
Overall Rating
11110.54.21/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.50 pips on trading account with lowest minimum deposit. Max leverage 500:1. Islamic account available. MT4, MT5, cTrader and FxPro proprietary trading platform supported. FxPro Group is regulated by FCA, CySEC, FSCA, and the DFSA
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FxPro is one of the most respected Forex brokers in the industry. Regulated by the FCA and CySEC and with over 870,000 client accounts in 173 countries, FxPro is a truly global powerhouse.

FxPro offers a no dealing desk execution model on MT4, MT5, cTrader and a browser-based platform. A reasonable 100 USD opening deposit and outstanding customer service are combined with competitive spreads – often as low as 0.6 pips – to match profitability with security.

Pros
  • Well regulated
  • Great platform choice
  • Tight spreads
Cons
  • Limited education
Read More About FxPro
9
IG Markets
Min. Deposit
USD 250
4.634.63
FSCA Licence
41393
Fx Pairs
93
Platforms
Overall Rating
11110.54.63/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.6 pips on trading account with lowest minimum deposit. Max leverage 200:1. Islamic account available. MT4, ProRealTime and L2 Dealer platforms supported. IG Markets Group is regulated by FCA, ASIC, and the FSCA.
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As the world’s largest financial spread betting and CFD broker by revenue, and winning highly-acclaimed awards such as Broker of the Year 2018 (UK Forex Awards) and Best CFD Provider 2017 (Investment and Wealth Management Awards), IG Markets is an attractive choice for both the beginner and the seasoned trader.

With regulation from the FCA, ASIC, and the FSCA, award-winning technology and over 195,000 clients worldwide IG Markets is a principal player in the CFD, Forex trading and spread betting industries.

Pros
  • Well regulated
  • Tight spreads
  • Great platform choice
  • Excellent education
  • Excellent market analysis
Cons
  • High minimum deposit
Read More About IG Markets
10
Blackstone Futures
Min. Deposit
ZAR 1000
4.084.08
FSCA Licence
49846
Fx Pairs
32
Platforms
Overall Rating
11110.54.08/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.6 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 and CloudTrade platforms supported. Blackstone Futures is regulated by the FSCA - FSP:49846
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Founded in 2009, BlackStone Futures is an established FSCA-regulated broker based in Johannesburg. It offers both ZAR and USD accounts on MT4 and the proprietary CloudTrade platforms, and STP execution ensures no conflict of interest. Beginner traders are well-catered for with excellent educational support, really emphasising the duty of care BlackStone Futures feels for their clients. Spreads are tight and leverage is kept sensibly low until traders can prove their ability, thereby limiting the chance of account wipe out for beginners.

Pros
  • ZAR accounts
  • Tight spreads
  • Fast and free withdrawals
Cons
  • Limited platform choice
  • Local regulation only
Read More About Blackstone Futures
11
ThinkMarkets
Min. Deposit
USD 5
3.983.98
FSCA Licence
49835
Fx Pairs
36
Platforms
Overall Rating
1110.503.98/ 5
AlertAccepts South African Clients. Average spread EUR/USD 1.20 pips with 0 USD commission round turn on the trading account with lowest minimum deposit. Islamic account available. MT4 & MT5 platforms supported. ThinkMarkets is regulated by the FSCA, FCA, and ASIC.
Show Details

ThinkMarkets is a very well-regulated international broker which has been operating in South Africa since 2017. It offers support for MT4, MT5 and its own ThinkTrader platform on two account types: One with a very low minimum deposit and the other a commission-based ECN account for more experienced traders.

Education is well-structured and useful for beginners, though market analysis is poor and sometimes left to in-platform third parties. Customer support is excellent and provided locally and execution times are world-class, perfect for automated trading.

Pros
  • Low minimum deposit
  • Well regulated
  • Great platform choice
Cons
  • Limited market analysis
  • Non-transparent spreads
Read More About ThinkMarkets
12
IronFX
Min. Deposit
USD 100
4.194.19
FSCA Licence
45276
Fx Pairs
85
Platforms
Overall Rating
11110.54.19/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.2 pips on trading account with lowest minimum deposit. Max leverage 500:1. Islamic account available. Only MT4 platform supported. IronFX is regulated by CySEC, FCA, ASIC, and the FSCA - FSP:45276.
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IronFX, a brand of Notesco, was founded in 2010 with the goal of creating a trading company bringing together customized trading functionality, the widest suite of trading products, the best pricing, execution and liquidity.

Regulated incomparably better than most brokerages including the ASIC, the FCA, CySEC and the FSCA, and offices in over 50 countries around the world and 30 languages spoken by customer service, IronFX has taken their product offering to a global audience.

Pros
  • Well regulated
  • Tight spreads
  • Wide range of assets
Cons
  • Expensive withdrawals
Read More About IronFX
13
FxPrimus
Min. Deposit
USD 100
3.393.39
FSCA Licence
46675
Fx Pairs
43
Platforms
Overall Rating
1110.503.39/ 5
AlertAccepts South African Clients. Average spread EUR/USD 0.30 pips with 10 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 1000:1. Islamic account available. MT4 platform support. FxPrimus is regulated by the CySEC, FSCA, and the VFSC.
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FXPRIMUS is an STP market maker founded in 2009 and fully regulated in South Africa since 2018. Globally acclaimed for offering one of the fastest and most secure online trading environments, the company has a strong focus on customer satisfaction with free deposits and withdrawals and negative balance protection for all clients.

A multi-asset broker, FXPRIMUS offers multiple tradeable instruments including Forex, Commodities, Energies, Indices on the MT4 platform. Both Standard and ECN account types are available, with spreads starting at 1.5 pips on the standard account and 0.3 pips on the ECN account.

Pros
  • Tight spreads
  • Wide range of assets
  • Fast and free withdrawals
  • Great customer support
Cons
  • High commission
  • Limited education
  • Limited market analysis
Read More About FxPrimus

🏆AvaTrade – Best FSCA Regulated Forex Broker

Winner of the Award for Best Broker of 2020, AvaTrade offers the best overall trading environment of all FSCA regulated brokers with:

  • Low spreads on a single account
  • Award-winning customer service
  • An excellent mobile trading platform, AvaTradeGo
  • Great trading tools like AvaProtect

✔️Tight Spreads, Seven Markets, One Simple Account

AvaTrade has low spreads across Forex, commodities, stocks, indices, crypto, bonds and ETFs. Leverage is set at 1:400 and spreads are some of the tightest we have seen for an account with only 100 USD minimum deposit and no commission – as low as 0.9 pips on the EUR/USD.

AvaTrade Spreads

✔️Outstanding Customer Service and Fast and Free Funding Options

AvaTrade excels here, with no fees for either deposits or withdrawals and a commitment to processing your funding request as fast as possible. The customer service team is available 24/5 via telephone, live chat, and email in 14 languages.

AvaTrade W+D

 

✔️Innovative Trading Tools and a Great Trading App

AvaTrade’s reputation as a client-focused broker was enhanced with the launch of the AvaProtect tool, which allows traders to purchase loss-protection for a time. Any losses during that time are fully refunded, but any gains are the traders to keep. In a further benefit, AvaProtect is available on the award-winning AvaTradeGo app.

🚩Summary: Why Should Traders Use AvaTrade?

AvaTrade offers full support for MT4 and MT5 (including EA’s, indicators, scalping and hedging) and provides free access to the integrated Trading Central dashboard for both platforms.

It is one of the most regulated brokers in the world, with regulation in Europe, Japan, the UAE, South Africa, British Virgin Islands, and Australia. Education for beginners is detailed and helpful and copytrading is available via both ZuluTrade and Duplitrade. With over 200,000 active traders around the globe and awards for its trade execution AvaTrade is a good partner for all types of trader.


AlertAccepts South African Clients. Average spread EUR/USD 0.90 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 & MT5 platforms supported. AvaTrade Group regulated by ASIC, FSCA, B.V.I FSC & FSA.

🏆FXTM – Best FSCA-Regulated Broker for Beginners

FXTM is the best FSCA-regulated broker for beginner traders. Great value and a strong focus on assisting new traders is just the start here, highlights are:

  • Great value Cent Account
  • Tight Spreads and Low Minimum Deposits
  • Weekend customer support
  • Copytrading via FXTM Invest
  • Huge education section

✔️Tight Spreads and Low Minimum Deposits

While FXTM’s Standard Account is good with a minimum deposit of 100 USD and spreads starting at 1.3 pips, FXTM also offers a Cent Account with a minimum deposit of only 10 USD but only slightly wider spreads, starting at 1.5 pips.  

FXTM Cent Account

✔️Weekend Customer Support and CopyTrading

Additionally, FXTM are one of the few brokers with weekend support, allowing new traders to get set up outside of the working week. The FXTM Invest copytrading scheme is one of the best in the business. Traders with little experience can choose a Strategy Manager whose risk profile matches their own.

FXTM Strategy Managers

 

✔️Education for New Traders

FXTM has a great deal of training material to help new traders get started. Materials include articles, videos, webinars, and a searchable glossary of new vocabulary. There is an additional set of videos that cover analysis topics, and more detail on chart reading techniques.

🚩Summary: Why Should Beginner Traders use FXTM?

For beginner traders in South Africa, FXTM should be the first Forex broker on their list. FSCA regulation guarantees local protection, and low minimum deposits and tight spreads reduce risk. Weekend customer support allows part-time traders to get set up when they’re not working and FXTM’s education section is ideal for those who want to get up to speed quickly. Finally, FXTM’s best in class copytrading system means that new traders can follow professional strategies and learn from the best traders in the business.


AlertAccepts South African Clients. Average spread EUR/USD 1.90 pips on trading account with lowest minimum deposit. Max leverage Flexible. Islamic account available. MT4 & MT5 platforms supported. Leverage offered can vary depending on country of residence, and your trading knowledge and experience. FXTM is regulated by CySEC, FCA, FSCA, and the FSC.

🏆Marketsx – Best Trading Platform with FSCA Regulation

Marketsx Chart

Marketsx is a premium trading platform operated by Markets.com. Not only is Markets.com regulated by CySEC and ASIC, but it has also been regulated by the FSCA since 2012. The new Marketsx platform offers traders fast, low-cost trading on over 2,200 financial instruments. Launched in 2019, some of the highlights of the platform are:

  • Over 2200 tradeable instruments
  • Tight spreads with no commission
  • 1:300 Leverage
  • Lightning execution
  • In-depth charting, asset comparison and sentiment tools
  • Live-streamed, expert analysis

✔️Trade Every Market with Tight Spreads

Traders have a choice of over 2,200 instruments on the Marketsx platform. These include

Over 50 global FX pairs including GBP/USD and EUR/USD, with spreads starting at 0.9 pips and leverage of 1:300. Other CFDs include leading stocks such as Apple, Amazon, Facebook, and Tesla, six of the world’s biggest cryptocurrencies, over 25 major market indices, commodities including precious metals and energies, dozens of regional and sectoral ETFs and US, UK and German government bonds.

Marketsx Crypto Spreads

✔️Trading Tools and Expert Analysis

The Marketsx platform has built-in advanced charting – trendlines, channels, pitchforks, Fibonacci Retracements, and much more can be drawn on the charts. The trading tools menu features a range of tools that crunch big data from leading analysts, hedge funds, and commentators to give traders better insight into the market. Each tool has integrated buy and sell buttons, so traders can quickly act upon the information presented.

Marketsx Tools

🚩Summary – Why Should Traders Use Marketsx?

For traders looking for an FSCA-regulated broker with a modern, top-tier platform – Marketsx is unbeatable. The platform is clean, intuitive, and packed full of features and analytical tools. Spreads are tight on Forex and almost any other asset is available to trade. Couple all this with lightning-fast execution and ZAR Account and traders should be sorely tempted.


AlertAccepts South African Clients. Average spread EUR/USD 0.60 pips on trading account with lowest minimum deposit. Max leverage 300:1. Islamic account available. MT4 & MT5 platforms supported. MarketsX is regulated by CySEC, ASIC, and the FSCA.

🏆HotForex – Highest Leverage with Market Execution

An STP broker regulated the FCSA here in South Africa, CySEC and the FSA, HotForex has built a reputation for:

  • Tight Spreads with STP Execution
  • High Leverage Micro Accounts
  • Detailed Market Analysis and Great Customer Service

✔️STP Execution and 1000:1 Leverage

HotForex provides No-Dealing Desk (NDD), STP execution for all trades. Client’s trades are posted directly to the market and leverage is flexible – all the way up to 1000:1 on the Micro Account where the minimum deposit is 5 USD. Spreads are tight, starting at 1 pip even on the Micro Account.HotForex Micro Account

✔️Market Analysis and Customer Support

HotForex devotes an entire section of their website to market analysis and trading tools; these include daily market news, trade analysis, and outlooks. Trading calculators and economic calendars are also available for reference outside of a trading platform.

Customer support is available 24/5 in over 27 languages. Toll-free local phone numbers and local email addresses give clients direct free access to quality customer service in their language.

hotforex charts

🚩Summary: Why Should Traders Use HotForex?

Market execution is a top priority for many traders and HotForex guarantees this on all trades. Spreads remain tight though, with flexible leverage up to 1000:1 on the Micro Account. With accounts that suit both beginners and professionals and detailed market analysis, HotForex is a good choice for new and experienced traders. 


AlertAccepts South African Clients. Average spread EUR/USD 1.20 pips on trading account with lowest minimum deposit. Max leverage 1000:1. Islamic account available. MT4 & MT5 platforms supported. HF Markets Group regulated by the FSCA, FCA, FSC, CySEC and the DFSA.

🏆FXCM – Best Specialty Trading Platforms

FXCM South Africa is an FSCA-regulated market-maker with tight spreads and low minimum deposits. While FXCM caters for new traders, is also offers innovative trading tools and platforms for experienced traders. Traders can expect:

  • Wide Range of Specialty Platforms
  • MT4 Support
  • Innovative trading tools
  • Excellent trader education
  • No deposit or withdrawal fees

✔️Platforms for Specialised Traders

FXCM Platforms

 

FXCM supports a wide range of trading platforms including the industry-standard platform MetaTrader 4, its award-winning proprietary platform Trading Station, Ninja Trader, and other speciality platforms. Many of these platforms are suited to professional traders – highlights include:

  • QuantConnect – An algorithmic trading platform with API integration.
  • SeerTrading – An algorithmic trading platform with strong back-testing capabilities.
  • NeuroShell Trader – A technical trading platform for building custom strategies for manual and automated trading.
  • StrategyQuant – A machine learning automated trading platform.

FXCM is also unique in the number of algorithmic trading tools available. Major tool sets include apps and API tools to build custom applications for algorithmic trading.

FXCM Apps

 

✔️Deep and Detailed Education + Free Funding

For less experienced traders, FXCM does spare any cost on its education and analysis. Both the Education Section and the Analysis Section are updated daily and are full of helpful information in both video and text form. FXCM South Africa also hosts webinars for local customers with local professionals providing dedicated expertise. Finally, a great advantage for all types of traders is FXCM’s free deposits and withdrawal policy.

FXCM Deposit

 

🚩Why Should Traders Use FXCM?

Experienced traders, especially API traders, will love FXCM’s range of platforms. For those who prefer their trading to be a less complex affair, FXCM offers full MT4 support. All accounts benefit from tight spreads and low minimum deposits. New traders will find the education and analysis useful and free withdrawals are always very welcome.


AlertAccepts South African Clients. Average spread EUR/USD 1.3 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 & Ninja Trader platforms supported. Forex Capital Markets is regulated by FCA, ASIC, and the FSCA.

🏆CM Trading – Largest FSCA Regulated Local Broker

A South African powerhouse, CM Trading has been regulated by the FSCA since 2009. Winning awards for its innovation, CM Trading has developed its own CopyKat copytrading system and traders appreciate the Guardian Angel automated feedback tool.

  • Largest South African Broker
  • Innovative Trading Tools

✔️Largest South African Brokerage

With over 1 million clients worldwide, CM Trading is by far the largest South African broker. Traders are attracted by the personal account managers, negative balance protection and simple account types coupled with optional ECN execution.

CM trading

✔️A Guardian Angel for All Clients

CM Trading offers a range of tools for traders, but the most popular is the Guardian Angel system. This system provides traders with market trends but also provides automated feedback on a trader’s behaviour, helping them optimise their trading strategies and preventing errors.

CM Trading Guardian Angel

 

🚩Summary: Why Should Traders Use CM Trading?

CM Trading offers South African traders a truly world-class brokerage, operating from a South African office and with FSCA regulation. Negative balance protection, personalised customer service and fixed spreads on a range of assets are coupled with innovative trading tools such as the Guardian Angel system and CopyKat copytrading platform.


AlertAccepts South African Clients. Average spread EUR/USD 1.5 pips on trading account with lowest minimum deposit. Max leverage 200:1. Islamic account available. MT4 & Sirix platforms supported. CM Trading is regulated by the FSCA.

🏆KhweziTrade – Best Local FSCA Regulated Broker

Winner of the Award for Best Forex Broker in Africa, Khwezi Trade is a South African FSCA regulated broker headquartered in Cape Town. An STP broker, Khwezi Trade supports MetaTrader 4 and provides fast and reliable market execution. For South African traders looking for a genuinely local broker, Khwezi Trade provides:

  • FSCA Regulation and ZAR Accounts
  • Tight Spreads and STP Execution
  • Excellent Local Customer Support
  • Free Deposits and Withdrawals

✔️Cape Town’s Finest

KhweziTrade are the best African Broker for good reason. FSCA regulation, ZAR Accounts, MT4 support and STP execution are combined with tight spreads and a local focus. Not just local regulation, but local offices, local staff, and local banks. With KhweziTrade, all your funds are kept in segregated accounts at Standard Bank.

KhweziTrade Homepage

 

✔️Personal Customer Support and Free Funding

Khwezi Trade offers four account types depending on minimum deposit, but all accounts come with a personal account manager. Support is offered via live chat, email, and phone from 7 am to 6 pm, but clients can call after-hours for emergency assistance. Help is available in English, Afrikaans, Zulu, Sotho, and Xhosa. In addition, there are no deposit or withdrawal fees, and withdrawals are processed daily. There are also no inactivity fees applied to accounts.

KhweziTrade Testimonials

🚩Why Should Traders Use KhweziTrade?

KhweziTrade is honest, transparent, and genuinely interested in the welfare of its clients. Trading conditions are competitive with some of the best international brokers and the personalised customer support is the best amongst local brokers. FSCA regulated and locally focused, KhweziTrade is one of the brightest stars in the local Forex industry.


AlertAccepts South African Clients. Average spread EUR/USD 1.80 pips on trading account with lowest minimum deposit. Max leverage 200:1. Only MT4 platform supported. Khewzi Trade is regulated by the FSCA - FSP:44816

🏆FxPro – Best FSCA Regulated No Dealing Desk (NDD) Broker

FSCA-regulated since 2015, FxPro offers an NDD execution model on MT4, MT5, cTrader and a browser-based platform. A reasonable 100 USD opening deposit and outstanding customer service are combined with competitive spreads – often as low as 0.6 pips. Features traders will like at FxPro are:

  • Ultrafast NDD Execution
  • Wide Platform Choice
  • Tight Spreads
  • ZAR Accounts
  • Free Funding via the FxPro Wallet

✔️Fast Execution and No Dealing Desk

FxPro’s NDD execution model has won awards over the years for its speed and reliability. Most trades are executed in less than 10 milliseconds and only 9% of orders receive negative slippage. These execution statistics are perfect for scalpers and traders who like to take advantage of volatile markets.

FXPro No Dealing Desk 

✔️Tight Spreads on All Three Major Platforms

FxPro has three accounts, one for each of the major platforms: MT4, MT5 and cTrader. Both the MT4 and MT5 accounts offer commission-free trading while the cTrader account has a 4.50 USD commission per trade but raw spreads – down to 0.3 pips on the EUR/USD. In addition, FxPro has its own FxPro (EDGE) web platform for those that want to keep this simpler.

FxPro cTrader

 

✔️FxPro Wallet: ZAR Accounts and Free Deposits and Withdrawals

FxPro also offers the FxPro Wallet to all customers. This wallet is kept separate from the trading account, so will not be considered when calculating margin or leverage – as such it is a valuable risk management tool. FxPro also offers ZAR Accounts and ZAR FxPro Wallets, so South African traders can avoid paying any conversion fees. All deposits and withdrawals from the FxPro Wallet are free of charge via all methods.

FxPro Wallet

 

🚩Why Should Traders Use FxPro?

FxPro offers its clients a choice of platform and then provides the execution and simplicity that many traders crave. Superfast execution, tight spreads, simple funding, and complete transparency. FSCA regulation and ZAR Accounts are a definite bonus for South African traders.


AlertAccepts South African Clients. Average spread EUR/USD 1.50 pips on trading account with lowest minimum deposit. Max leverage 500:1. Islamic account available. MT4, MT5, cTrader and FxPro proprietary trading platform supported. FxPro Group is regulated by FCA, CySEC, FSCA, and the DFSA

🏆IG Markets – Best FSCA Regulated MT4 Broker

IG Markets, the world’s largest broker by revenue, has been regulated by the FSCA since 2010 and has 240,000 clients worldwide. As one of our highest rated brokers, there is little that IG Markets does wrong. Traders frequently cite the following features:

  • Tight Spreads and Full MT4 Support
  • Excellent education and market analysis
  • Responsive and knowledgeable customer support

✔️IG Market’s MT4

MT4 is the world’s most popular trading platform. Automated trading, micro lots, customisable charts, and reliability has kept the platform in the lead for over 14 years. IG Market’s version of MT4 takes MT4 to another level with its package of free add-ons and indicators. Highlights include a Trade Terminal, Stealth Orders, a Correlation Matrix as well as a dozen indicators. In addition, all IG clients get access to Autochartist for free. This powerful automated technical analysis tool scans the markets for opportunities that you may have missed. All these features are available with tight spreads, with the EUR/USD averaging 0.86 pips but sometimes as low as 0.6 pips, and commission-free trading.

IG Markets MT4

✔️Top Tier Education and Analysis

Millions of traders have started their trading careers at IG Markets, and its easy to see why from the excellent material available at the IG Academy and constantly updated News and Trade Ideas page. IG Markets also offers a free Trade Analytics tool that evaluates trading performance over time and offers diagnosis and suggestions to improve your trading.

IG Trade Analysis

 

✔️Truly Supportive Customer Service

IG Markets also provides expert customer support by phone, email, twitter and live chat, 24hrs a day from 8am Saturday to 10pm Friday. In addition, the IG Community forum is a great space for traders to communicate issues to IG staff and other traders. This is an ideal additional resource for traders who have questions about the platform, analysis or just want to share trading ideas.

IG Markets Customer Support

🚩Why Should Traders Use IG Markets?

Regulated by the FSCA as well as ASIC and the FCA, tight spreads, no commission and excellent education and analysis. In addition, a great MT4 package and round-the-clock customer support for every issue or question a trader might have. The real question is why wouldn’t a trader use IG Markets?


AlertAccepts South African Clients. Average spread EUR/USD 0.6 pips on trading account with lowest minimum deposit. Max leverage 200:1. Islamic account available. MT4, ProRealTime and L2 Dealer platforms supported. IG Markets Group is regulated by FCA, ASIC, and the FSCA.

🏆BlackStone Futures – SA Broker with the Tightest Spreads

Founded in 2009, BlackStone Futures is an established FSCA-regulated broker based in Johannesburg. One of South Africa’s favourite brokers, it offers:

  • ZAR Accounts with SA’s tightest spreads
  • Responsible Client Care
  • Fast withdrawals

✔️Tight Spreads on a Local Account

Blackstone Futures are proudly South African and offer ZAR accounts on both the MT4 and CloudTrade platforms. Traders will struggle to find a South African broker with tighter spreads, with the EUR/USD down to 0.6 pips at times – exceptional for a no-commission broker.

✔️Responsible and Client Focused

At BlackStone Futures all clients are offered negative balance protection and, as an STP broker, the broker will never be counterparty to your trades – removing any conflict of interest. Blackstone Futures also has a responsible approach to leverage: On the MT4 platform, leverage is also initially limited to 100:1 but can be increased to 400:1 once you have a track record of responsible trading. Blackstone Futures also processes all withdrawals on the same day, with no charges attached, and aims to have client funds back in their accounts within 24 hours.

Blackstone Futures Trading Conditions

🚩Why Should Traders Use BlackStone Futures?

BlackStone Futures is an FSCA-regulated broker with a track record of responsibly assisting traders to launch successful Forex trading careers. With tight spreads on its ZAR Account and a clear focus on customer support, BlackStone Futures is a great choice in a broker for South African traders.


AlertAccepts South African Clients. Average spread EUR/USD 0.6 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. MT4 and CloudTrade platforms supported. Blackstone Futures is regulated by the FSCA - FSP:49846

🏆ThinkMarkets – Best Market Execution

Regulated by the FSCA since 2019, ThinkMarkets is an international broker with support for MT4, MT5 and its own ThinkTrader platform on two account types: One with a very low minimum deposit and the other a commission-based ECN account for more experienced traders. Traders can take advantage of:

  • Split-second Execution and 99.99% uptime
  • Wide choice of platform
  • Low Minimum Deposits
  • ThinkZero Account with Raw Spreads

✔️UltraFast Execution and Full MT4/MT5 Support

ThinkMarkets operates twin Equinix trading servers located in Hong Kong and London allowing for trade execution within milliseconds. This state-of-the-art technology allows ThinkMarkets to deliver uptime of 99.99% and provides traders with the fastest execution speeds available. With both the MT4 and MT5 platforms supported, ThinkMarkets is the perfect venue for automated trading and scalping.

ThinkMarkets Equinix

 

✔️Low Minimum Deposit or ECN

ThinkMarkets offers two general accounts, a Standard Account with a tiny minimum deposit of 5 USD and wider spreads and the ThinkZero Account – a raw account with tight spreads and a 7 USD commission per trade. The ThinkZero requires a 500 USD minimum deposit but spreads are down to 0 pips on the EUR/USD, while spreads on the Standard Account average about 1.2 pips on the EUR/USD.

ThinkMarkets Spreads

🚩Why Should Traders Use ThinkMarkets?

For South African traders who prefer automated trading and scalping, then ThinkMarkets should definitely be on their list. MT4 and MT5 support allow for all trading algos which, when combined with the raw spreads on the ThinkZero Account provides the best conditions for profitable trading. Beginner traders can also take advantage of the low minimum deposit on the Standard Account with the same ultrafast execution speed.


AlertAccepts South African Clients. Average spread EUR/USD 1.20 pips with 0 USD commission round turn on the trading account with lowest minimum deposit. Islamic account available. MT4 & MT5 platforms supported. ThinkMarkets is regulated by the FSCA, FCA, and ASIC.

🏆IronFX – Best Regulated FSCA Broker

Regulated incomparably better than most brokerages including the ASIC, the FCA, CySEC and the FSCA, and offices in over 50 countries around the world and 30 languages spoken by customer service, IronFX has a truly global audience. While IronFX’s South African clients have enjoyed having local protection from the FSCA since 2014, they have also been attracted by IronFX’s:

  • Regulation from all major authorities
  • Tight Spreads on a Wide Range of Accounts
  • Large selection of CFDs to Trade
  • AutoTrade CopyTrading and MT4 Support

✔️Tight Spreads on Seven Accounts

IronFX offers no less than seven account types with an almost dizzying array of options. Standard Accounts come in four types, the most notable being the Zero Fixed Account which offers a 0 pip spreads on the EUR/USD but 18 USD commission per lot. All Standard Accounts have relatively tight spreads and a maximum leverage of 1:1000 and require a 100 USD minimum deposit. For traders looking for the best conditions, the ECN/STP accounts ask for a 500 USD minimum deposit but spreads can start at 0 pips on the Zero Spread Account with a commission of 7.50 USD.

✔️Trade the World’s Largest Markets

IronFX offers over 300 instruments from 6 asset classes. Included are a staggering 85 Forex pairs to choose from. Other asset classes include precious metals, indices, shares, commodities and futures. All assets are available on the MT4 platform, with IronFX offering full support and free VPS hosting. IronFX also offers access to AutoTrade, a comprehensive copytrading platform which allows traders to tap into hand-picked forex trading systems, follow successful techniques, and diversify their trading portfolio without any additional software needed.

IronFX AutoTrade

 

🚩Why Should Traders Use IronFx?

Traders concerned about regulation will be happiest with IronFX. Regulated by the FSCA in South Africa as well as the FCA, ASIC and CySEC, there is no broker in the world with more oversight. Traders who like having options will also be intrigued by the array of account types available – though it may require a little research there is a trading account for everyone at IronFX. The range of assets is also a serious draw, and being able to copy other traders without additional software direct from the MT4 platform is an excellent advantage.


AlertAccepts South African Clients. Average spread EUR/USD 0.2 pips on trading account with lowest minimum deposit. Max leverage 500:1. Islamic account available. Only MT4 platform supported. IronFX is regulated by CySEC, FCA, ASIC, and the FSCA - FSP:45276.

🏆FXPRIMUS – Most Secure FSCA Regulated Broker

FXPRIMUS Home

 

FXPRIMUS is an STP market maker founded in 2009 and fully regulated by the FSCA since 2018. Globally acclaimed for offering one of the fastest and most secure online trading environments, the company has a strong focus on customer satisfaction with free deposits and withdrawals and negative balance protection for all South African clients.

Highlights are:

  • Negative Balance Protection
  • Third-party monitoring of client withdrawals
  • Investor compensation
  • Low minimum deposits
  • Great customer support

✔️Secure and Trusted

Security and trustworthiness is of the utmost importance at FXPRIMUS. FXPRIMUS is a regulated member of the Investor Compensation Fund (ICF), meaning that client funds are protected up to €20.000. As an added safety measure, FXPRIMUS has introduced professional indemnity insurance of €2.5million. In addition, FXPRIMUS has partnered with the Boudica Client Trust to introduce third-party monitoring of client withdrawals. This ensures that withdrawal requests are executed as quickly and efficiently as possible.

FXPrimus Safety

✔️Tight Spreads and Great Customer Support

Not just secure and trusted, FXPRIMUS also offers tight spreads across two simple accounts with low minimum deposits. Customer support is also knowledgable and helpful and available via WeChat, Zalo, Line, Telegram, Live Chat, WhatsApp, Facebook Messenger, Email and telephone.

FXPRIMUS Data Centres

🚩Why Should Traders Use FXPRIMUS?

For traders concerned about the security of their funds or the trustworthiness of other brokers, FXPRIMUS should be a option. FSCA regulation, negative balance protection for all South African clients and third party monitoring of client withdrawals makes FXPRIMUS one of the most secure brokers in the industry. Also, customer support is top-notch and minimum deposits are kept low with tight spreads.

AlertAccepts South African Clients. Average spread EUR/USD 0.30 pips with 10 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 1000:1. Islamic account available. MT4 platform support. FxPrimus is regulated by the CySEC, FSCA, and the VFSC.

What is the FSCA?

FSCA Building

The Financial Sector Conduct Authority or FSCA is the local regulator of all non-banking related activities and has oversight over all regulated brokers in South Africa.

The FSCA regulates all Forex brokers with an office in South Africa

Previously known as the Financial Services Board (FSB), the FSCA was founded in 1991 following the recommendations of Van der Horst committee. The committee recommended the creation of an independent body to supervise and regulate the non-banking financial services sector in South Africa.

In 2018, the FSB changed their name to the FSCA or the Financial Sector Conduct Authority. It is responsible for the market conduct regulation and supervision of financial service providers like Forex brokers, investment funds, and investment managers.

The Financial Sector Conduct Authority has the following four goals:

  • Protect customers of financial services.
  • Improve efficiency and integrity of financial markets.
  • Promote financial stability.
  • Increase financial inclusion.

To achieve these goals, it also creates regulations in the interest of the public and publishes warnings of illegal schemes.

Internationally, the Financial Sector Conduct Authority is a recognised member of the International Organization of Securities Commissions (IOSCO) and takes a leading role in regulation in the SADC block.

Why should I trade with an FSCA-regulated Forex broker?

Boy thinking

All FSCA regulated brokers must keep client funds segregated from operational funds. This ensures that in the case of broker bankruptcy, all client funds can be returned.

FSCA-regulated brokers must also have a physical office in South Africa and submit regular audits to the FSCA. This ensures that any disputes are governed by South African laws and that client funds are not being misused.

FSCA regulated brokers must keep client funds in segregated accounts

Having a physical office in South Africa allows brokers to partner with local banks, which are governed by South African laws. Local bank accounts also mean that bank transfers between South African clients and brokers are faster and cheaper.

Deposits and withdrawals are faster at brokers which use South African banks

If your FSCA regulated broker does go bankrupt, you will also be able to walk into any branch of your broker’s local bank and remove all your funds from your segregated account. Gaining access to your funds will not be so easy in the event of a foreign broker’s bankruptcy. 

South Africans can trade with brokers which are not regulated by the FSCA, but these organisations are not governed by South African institutions, and funds are not handled by local banks.

Remember: South Africans do not have to use an FSCA regulated broker

Over-the-counter Derivative Provider (ODP) licence

Since 2019, the FSCA has required all Forex brokers in South Africa to apply for an Over-the-counter Derivative Provider (ODP) licence. This has created a new set of requirements for South African Forex brokers to follow:

Due Diligence: Brokers now need to conduct due diligence on new traders before they can be allowed to trade. Clients will need to prove their capital adequacy before starting to trade. New traders must also show that they understand the risks involved.

Reporting: Every broker that has been authorised must also report the details of every transaction to an authorised trade repository. These transaction details include the names of the parties, the valuation of the transaction, the underlying asset of the trade, details of the instrument traded, and the margin that has been maintained.

FSCA JP Markets Liquidation

Forex brokers who do not hold an ODP licence are in contravention of the regulations and can be liquidated at the request of the FSCA, as happened to JP Markets in September 2020 (see image above).

All FSCA regulated brokers must apply for an ODP licence

These new requirements have put the FSCA firmly in charge of the Forex industry in South Africa and will provide a much safer and more secure environment for traders.

How to check if your Forex broker is regulated by the FSCA

All Forex brokers that are regulated by the FSCA are required to publish their Financial Service Provider (FSP) number on their website. KhweziTrade is a popular South African Forex broker, and we can see from the bottom of their website that their FSP number is 44816:

KhweziTrade FSP

Once you have the FSP number of a broker you can go use the FSCA’s search page to enter the FSP and verify that the broker is indeed licenced. You can see below that we have entered KhweziTrade’s FSP as listed on their website.

Once we submit the FSP number via the FSCA’s search page, we can see that there is a company called Khwezi Financial Services (Pty) Ltd with that FSP number.

A broker having a legal name different to their trading name is quite common, so it is sometimes difficult to search for a broker by trading name alone using this service. When you can, use the FSP number, or legal name if you know it.

If we click on the Details button, we then have a full overview of Khwezi Financial Services regulatory status:

Khwezi Financial Services Details

The important part of this section for our purposes is the Products Approved section. Let us have a look at it in closer detail:

Khwezi Financial Services Products

Here we can see that Khwezi Financial Services, as a large financial services company, holds a wide range of licences. We have highlighted the two product licences that matter for our purposes. We can see that they hold a Category I and a Category II licence for Derivative instruments.

All Forex trading is over-the-counter derivative trading

All Forex trading is derivative trading, as traders never actually hold any currency – they are just speculating on a price derived from a real-world asset (such as the USD or the ZAR). So Khwezi Financial Services’ two Derivative instruments licences allow them to provide derivatives (such as Forex derivatives) to traders.

If you are ever unsure whether a broker is FSCA regulated, the FSCA search page is the best place to find out. Be aware that some bad brokers will use names similar to licenced financial services companies so as to confuse people.

Other FSCA Protections for Forex Traders

The FSCA’s supervises activity in the Forex currency market to protect Forex traders from irregularities and rogue brokers. If you want local protection when trading Forex, you want your broker to be regulated locally.

The FSCA issues public warnings about fraudulent brokers in the regularly-updated Media Releases section of their website.  These warnings include guidance on individuals or companies misrepresenting themselves, or organisations falsely representing their services.

This register of FSPs will also show if an entity has submitted an application to the FSCA, or if it has been stripped of regulation in the past.

Financial regulation is a crucial metric in our review process, as regulation is the primary way we establish the trust of the brokerage. We believe that there is value in being locally regulated as it gives clients more straightforward access to solve any disputes that could arise.

Regulation is the primary way to establish trust in a Forex broker

FSCA Strategy 2018-2022

Central to the mission of the FSCA are four core statements, which together, form the reason why residents want to trade with an FSCA regulated Forex broker.

The FSCA improves the efficiency and integrity of the South African financial markets. By monitoring the whole financial market and not just any particular entity, it ensures the safety of the entire market, and in doing so, can protect all market participants including retail Forex traders.

In addition, the FSCA ensures that regulated brokers treat all clients fairly. A client of a regulated brokerage who feels they have been cheated has a legally defined process to resolve their issue.  All regulated brokers must have this process available to potential clients.

FSCA-regulated brokers must present written material in a way that does not confuse or mislead the reader. They are required to provide financial education and promote the financial literacy of potential clients. As financial products can be complicated, it is the obligation of all regulated members to explain all products and their associated risks.

Finally, the FSCA assist in maintaining financial stability in South Africa by supervising the registered entities.

A client trading with an FSCA regulated broker should expect to be treated fairly, expect to be educated on financial products whenever needed, and can rest assured that the government is monitoring their broker’s activities to ensure they are safe and secure.

History of the FSCA

Previously known as the Financial Services Board (FSB), the FSCA opened in 1991 following the recommendations of Van der Horst led committee. The committee had recommended the creation of an independent body to oversee or supervise and regulate the non-banking financial services sector in South Africa.

After the Van der Horst committee, various acts have increased and expanded the mandate of the Financial Services Board. In 2001, the Financial Intelligence Centre Act and the subsequent amendments that followed later increased the FSB mandate to include issues of combating money laundering.

Later in 2004, the Financial Advisory and Intermediary Services, also known as FAIS, expanded the role of FSB to include, among other things, the conduct of market in the banking sector.

As of April 1st, 2018, the FSB changed their name to the FSCA or the Financial Sector Conduct Authority which is responsible for market conduct regulation and supervision.

The FSCA Structure

A board oversees the Financial Sector Conduct Authority which executes its mandate through divisions. The FSCA has the sole mandate to select its own Commissioner, making the organisation less of a target of the financial politics and pressures. Apart from overseeing the day-to-day running of the institution, the Commissioner acts as the Registrar of the Non-banking Financial Institutions in South Africa.

The authority of the Commission is distributed to Deputy Commissioners appointed by the Minister of Finance, and are supported by the Chief Risk Officer, General Counsel, Media Liaison Officer.

Key Financial Sector Conduct Authority Responsibilities

As part of its mission of ensuring that the investment environment in South Africa is sound and conducive, the Financial Sector Conduct Authority has built a strong reputation for its regulatory framework in the following sectors:

  • Capital Markets
  • Insurers
  • Financial Services Providers
  • Collective Financial Schemes
  • Nominee Companies
  • Friendly Societies
  • Retirement Funds

The FSCA ensures the cooperation of regulated entities and has the power to impose compensation orders, unlimited penalties and cost orders for those who do not comply.  These orders are adhered to as though they are a judgment from South Africa’s Supreme Court, and are a matter of public record.

A customer complaints service is effective in fielding complaints, plus a separate self-policing appeals board which any aggrieved entity can approach should they feel like they might have been aggrieved by either the regulator or any of its executive officers.

Summary

The FSCA is credited for bringing stability and transparency to South Africa’s investment industries.  Forex traders who want to have protection can find brokers that are locally regulated, and who comply with South African law.  In some cases, South African clients can keep their funds locally, further increasing trust with the brokerages.

FAQs

Do South Africans have to trade with FSCA regulated brokers?

No, South Africans can legally trade with any broker in the world. We do recommend that you always trade with a well-regulated broker, regardless of the jurisdiction in which they operate.

Should I trade with an FSCA Regulated Broker?

While it is not essential for South Africans to trade with an FSCA regulated broker, local regulation ensures that in the case of broker bankruptcy your funds will be protected by local laws. FSCA regulation also ensures segregation of client and broker funds. Many FSCA regulated brokers also keep their accounts in local banks, resulting in faster deposits and withdrawals.

But there are many well-regulated international brokers who can offer better trading conditions, platform options and market analysis than most FSCA-regulated brokers.

If local protection is important to you, then you should trade with an FSCA regulated broker.

How do I know if a Forex broker is regulated by the FSCA?

Every broker regulated by the FSCA is required to post their FSP licence number on their website. If you know the broker’s FSP number or legal name, you can also use the FSCA’s search facility to check on their regulatory status.

Do FSCA regulated brokers offer ZAR trading accounts?

Not necessarily. While some FSCA regulated brokers offer ZAR trading accounts, most do not. If you are looking for a ZAR trading account, check out our page on the best ZAR trading accounts in South Africa.

Forex Risk Disclaimer

Trading Forex and CFDs is not suitable for all investors as it carries a high degree of risk to your capital: 75-90% of retail investors lose money trading these products. 

Forex and CFD transactions involve high risk due to the following factors: Over-leveraging, unpredictable market volatility, slippage arising from a lack of liquidity, inadequate trading knowledge or experience, and a lack of regulatory protection for clients.

Traders should not deposit any money that is not disposable. Regardless of how much research you have done, or how confident you are in your trade, there is always a substantial risk of loss. (Learn more from the FCA or from ASIC)

Our Methodology

Our State of the Market Report and Broker Directory are the result of extensive research on over 100 Forex brokers. The explicit goal of these resources is to help traders find the best Forex brokers – and steer them away from the worst ones – with the benefit of accurate and up-to-date information.

With over 150 data points on each broker and over 3000 hours of research and review writing, we believe we have succeeded in our goal.

In a world where trading conditions and customer support can vary based on where you live, our broker reviews focus on the local trader and give you information about these brokers from your perspective.

All research has been conducted by our in-house team of researchers and writers, gathering information from various company representatives, websites and by sifting through the fine print. Learn more about how we rank brokers

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Trading Forex and CFDs is not suitable for all investors and comes with a high risk of losing money rapidly due to leverage. 75-90% of retail investors lose money trading these products. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

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