FSA (Seychelles) Regulated Forex Brokers

Written by Zornitsa Stefanova

Zornitsa Stefanova

Zornitsa Stefanova is experienced forex and crypto analyst. She also covers various financial topics such as stocks trading and retirement investments.

, | Updated: December 6, 2024

The Seychelles is an attractive jurisdiction for setting up a brokerage business due to the country’s lenient regulatory framework, favorable tax environment, and lower minimum capital requirements. Over 180 broking firms have obtained licenses from the FSA (Financial Services Authority of Seychelles), so separating the wheat from the chaff could be difficult for beginner traders. The good news is we have done all the heavy lifting for you, testing dozens of trading sites to create this toplist of the 9 best brokers regulated in the Seychelles.

1Fusion Markets

Rating: 4.9 ⭐

74-89% of retail CFD accounts lose money

Top Rated

2IC Markets

Rating: 4.5 ⭐

70.64% of retail investor accounts lose money

3BlackBull Markets

Rating: 4.5 ⭐

4Trade Nation

Rating: 4.4 ⭐

86% of retail investor accounts lose money

5Capital.com

Rating: 4.3 ⭐

75% of retail investor accounts lose money

6eToro

Rating: 4.2 ⭐

51% of retail investor accounts lose money

7Plus500

Rating: 4.1 ⭐

82% of retail investor accounts lose money

8Admirals

Rating: 3.9 ⭐

73% of retail investor accounts lose money

9Tickmill

Rating: 3.7 ⭐

70% of retail investor accounts lose money

Comprehensive Comparison of the Top 9 FSA Regulated Forex Brokers

Top 9 FSA-Regulated Brokers

1. TRADE NOW READ REVIEW
   1. Fusion Markets

   Fusion Markets is a relatively new online broker, having started doing business with customers in 2019. Despite its seeming lack of experience, the broker quickly captured the attention of international traders with its low trading costs, razor-sharp spreads, and no minimum account requirements for both Zero and Classic accounts. The company is featured in the FSA register of regulated entities under license number SD096.

   The Seychelles license as an authorized securities dealer enables Fusion Markets to operate in most regions worldwide, although customers from Russia, Japan, and the US cannot register live trading accounts with this broker. Retail traders at Fusion Markets can leverage their positions at maximum ratios of 1:500. From what we understand, only clients registered through the broker’s ASIC-regulated entity benefit from negative balance protection.

   Gleneagle Asset Management Limited (ABN 29 103 162 278) trading as Fusion Markets, is the issuer of the Fusion Markets Products described in this communication. Trading in Fusion Markets Products involves the potential for profit as well as the risk of loss which may vastly exceed the amount of your initial deposit and is not suitable for all investors. You should read all of these Financial Product Service Terms, the Product Disclosure Statement (PDS) and the Financial Services Guide (available on our website) carefully, consider your own financial situation, needs and objectives for investing in these Fusion Markets Products and obtain independent financial advice.
2. TRADE NOW READ REVIEW
   2. IC Markets

   Launched in 2007, IC Markets has established itself as a key player on the online forex trading scene due to its low fees, favorable trading conditions, and superb order processing. The company serves international customers with a securities dealer license from the FSA (SD018) and has registered offices on the picturesque Eden Island. The FSA-registered entity of the company is Raw Trading Ltd. Clients can trade over 2,200 financial instruments in a secure and regulated environment.

   The Seychelles license enables IC Markets to facilitate trades in most countries worldwide, although customers from Canada, New Zealand, Israel, Iran, and the USA are not accepted. Traders registering through the FSA-regulated entity will benefit from leverage of up to 1:1000, raw spreads from zero pips, and order execution speeds of less than 40 milliseconds.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70.64% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
3. TRADE NOW READ REVIEW
   3. Admirals

   Founded in 2001, Admirals poses an attractive option for traders insisting on security, price transparency, and lightning-fast order execution. The company has received authorization from the FSA and appears in the regulator’s register under license number SD073 as a securities dealer. The broker has registered offices on Mahe Island.

   As a fully regulated entity, Admirals safeguards traders from slipping into the red zone by offering negative balance protection for margin accounts. Retail customers will additionally benefit from client funds segregation and insurance coverage of up to $100,000 per claimant. As for market range, Admirals offers a choice from over 2,500 financial instruments, including 80+ forex pairs, 25 exchange-traded funds, 12 equity indices, and 500+ stocks.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
4. TRADE NOW READ REVIEW
   4. eToro

   In business for over 17 years, eToro has earned a reputation for delivering a best-in-class trading experience to clients from more than 140 countries. The reputable broker has a solid international presence and registered offices in multiple jurisdictions, including the Seychelles, Cyprus, and Australia. The company’s Seychelles entity operates under license number SD076 for a Securities Dealer from its offices in the capital Victoria. Retail clients registered under the FSA-registered entity of Etoro can use leverage of 1:30 for major currency pairs and 1:20 for non-major pairs. The maximum advanced leverage is capped at 1:400 and 1:50 for these FX instruments.

   Customers can confidently invest at eToro as the broker provides a safe trading ecosystem and excellent conditions. There are plenty of lucrative trading opportunities at eToro, where you can trade and invest in over 5,000 instruments across major asset classes like forex, commodities, indices, crypto, stocks, and exchange-traded funds. All clients of eToro Seychelles have access to negative balance protection, which is yet another benefit of trading with this entity.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 51% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
5. TRADE NOW READ REVIEW
   5. Capital.com

   Capital.com started doing business with retail customers in 2016 and quickly gained traction with its extensive product lineup, affordable pricing, and transparent trading conditions. The London-based broking firm has obtained regulatory approval from five financial regulators, including the FSA. Its Seychelles outfit has registered offices in Mahe and operates under a securities dealer license number from SD101.

   The broker provides a comprehensive choice from over 3,000 currency pairs, ETFs, stocks, commodities, cryptocurrencies, and equity indices. Customers can trade via two popular third-party platforms, MetaTrader 4 and TradingView. Inexperienced traders can broaden their knowledge in the Education section, where they will find exhaustive yet accessible guides on different financial instruments.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
6. TRADE NOW READ REVIEW
   6. Plus500

   Plus500 is a trusted securities dealer that falls under the regulatory purview of the FSA, operating under license number SD039 from the Seychelles capital Victoria. The broker caters to customers with hundreds of CFDs on popular financial instruments, including forex, stocks, commodities, options, indices, and crypto. The FSA-regulated entity of Plus500, Plus500SEY Ltd., offers a maximum leverage of 1:300 to retail customers.

   Other advantages of trading here include swift order execution, competitive spreads, and the absence of commissions. The broker stores client funds in segregated accounts in line with the requirements of its regulators. Customers trading with leverage should never worry about slipping into debt as Plus500 deploys automated margin calls to prevent negative balances.

   *This information is NOT relevant to EU residents who are to be serviced by EU subsidiaries of the Plus500 Group, such as Plus500CY Ltd, authorised by CySEC (Reg. 250/14). Different regulatory requirements apply in Europe such as leverage limitations and bonus restrictions.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
7. TRADE NOW READ REVIEW
   7. BlackBull Markets

   BlackBull Markets is a Seychelles-authorized broker specializing in seamless trading with over 26,000 financial instruments. The broker hails from New Zealand but serves international clients with an FSA license (SD045) granted to its parent company, BBG Limited. The company’s Seychelles entity operates from offices based on Mahe Island. The broker maintains a strict AML and CFT policy and upholds high standards of compliance.

   This well-regulated broker caters to traders from all walks of life, offering retail, institutional, and swap-free accounts. Registered customers can connect their BlackBull live accounts to MT4, MT5, cTrader, or TradingView. The broker has also developed a proprietary platform (BlackBull Copy Trader) geared to the needs of copy traders. The Seychelles-authorized entity caps maximum retail leverage at 1:500.

8. TRADE NOW READ REVIEW
   8. Tickmill

   In operation since 2014, Tickmill is a trustworthy broker offering favorable conditions for over 600 tradable symbols. The broker carries the stamp of approval of the FSA (SD008) as a securities dealer and has set up its offices on Eden Island. Its parent company has obtained licenses from four other regulatory bodies, including CySEC, FCA, DFSA, and FSCA.

   The broking firm has achieved great renown in the retail trading community thanks to its affordable fees, speedy order processing, and a broad range of tools for market analysis. Customers of Tickmill Seychelles Limited can access leverage of up to 1:1000. The broker is adequately capitalized and adheres to stringent client funds segregation policies. Each client is eligible for compensation between $20,000 and $1 million via Tickmill’s investment insurance scheme.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with Tickmill Europe Ltd. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
9. TRADE NOW READ REVIEW
   9. Trade Nation

   Previously known as Core Spreads, Trade Nation is a reliable broker with a global reach and registered offices in multiple jurisdictions, including the Seychelles, where it operates under a securities dealer license No. SD150. The broker has garnered an excellent reputation for offering low-cost trading in a fair and secure environment.

   The FSA-regulated entity of Trade Nation safeguards retail margin traders with negative balance protection, allowing them to leverage their positions at maximum rates of 1:500. Customers can feel confident their money is in good hands as Trade Nation segregates client funds from its operating capital. The broker stores the funds of its customers at Absa Bank, one of the largest commercial banks in the island country.

   ‌Financial Spread Trades and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 86% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

FSA Regulated Forex Brokers Ranked by Trustpilot Score

Financial Services Authority of Seychelles in Brief

The Financial Services Authority of Seychelles (FSA) began life in 2013 after the Financial Services Authority Act passed into law. The FSA is an independent regulatory entity tasked with the oversight of non-bank financial institutions and services registered in the island country. It regulates all securities exchanges, clearing agencies, investment advisors, fiduciaries, insurance companies, and brokers operating within the Seychelles.

The FSA carries out several key functions, such as promoting the development of the local financial services industry, granting licenses, and monitoring for compliance with the law. The regulatory body also has the remit to submit recommendations on legislative amendments to the Seychelles Minister of Finance (Naadier Hassan at the time of publication).

The watchdog keeps an up-to-date register of all companies it oversees, allowing traders to conveniently confirm whether their chosen brokers carry Seychelles licenses. Navigate to the Securities Dealers tab for the full list of FSA-authorized broking firms.

Requirements for Obtaining FSA Broker License

Online brokers must acquire securities dealer licenses from the FSA to operate legally within the Seychelles. Over 180 broking firms have already chosen this option since the country has a relatively lenient and business-friendly regulatory environment, with lower corporate tax rates, licensing costs, and capital requirements compared to other jurisdictions.

The process starts with submitting an application form brokers can download directly from the regulator’s website. Candidates must provide accurate information about their source of funds, overall capital, shareholders, compliance officers, and high-level executives. Companies applying for licenses must establish local offices in the Seychelles. Each applying broking firm must appoint at least two directors and two shareholders who are professionally suitable for their positions. Directors and other key personnel must have spotless criminal records and adequate qualifications in the financial sector to gain approval.

Each broker interested in obtaining a Seychelles license must pay an application fee of $1,500. Approved candidates are liable for paying $3,000 in annual license fees. If all documents are in good order, candidates can anticipate a decision from the FSA within three months of submitting their applications. Submitting incomplete or inaccurate applications commonly results in delays and outright rejections. Application fees are not refundable even if candidates suffer rejection.

The Seychelles has considerably lower minimum capital requirements compared to other regulatory jurisdictions. Companies interested in acquiring security dealer licenses must maintain capital of at least $50,000 throughout their operations in the country. Brokers must deposit this minimum amount in an account at an approved bank in the Seychelles.

Failure to deposit this minimum capital in time also leads to rejected applications. Approved candidates must appoint FSA-approved auditors within one month of receiving their licenses. Licensees are subject to regular audits and must report their earnings to the Seychelles watchdog. All approved brokers must actively work to counter illegal activities like money laundering and terrorist financing.

Below, you can see a summarized list of all the steps forex brokers are required to go through during the license application process in the Seychelles:

1. Application fees: Forex brokers submitting documents for an FSA license must pay an application fee of $1,500. In addition, applicants are required to pay a state fee of $6,300. Entities approved to operate under an FSA license need to pay annual license fees of $3,000.
2. Minimum capital requirements: To be eligible for an FSA license, broker companies must have a minimum share capital of $50,000.
3. Application assessment timeframe: If the company has been fully compliant and has submitted all required documents, it usually takes up to three months for the regulator to review the application. However, any inaccuracy during the application process may lead to delays.
4. Physical presence required: To be able to apply for an FSA license, a broker must have a local office registered in the Seychelles. The financial service provider must also appoint a brokerage license representative, a regulatory compliance officer, and a legal advisor – all three must be located in the Seychelles.
5. Key employees: The company needs to employ two directors as well as 2 shareholders, all of whom must be experienced, well-educated in the respective field, and provide proof of pristine reputation. The applicant must also employ an auditor who is also approved by the FSA, with the latest date of his/her employment being one calendar month after the licensing of the broker.
6. Corporate tax rates: Forex brokers licensed by the FSA are required to pay a corporate tax of only 1.5%, with the rate being calculated on the total income of the licensed entity.
7. Client funds segregation: FSA requires licensed brokers to cover operational costs using only funds in the company’s bank account. To ensure that, FSA-regulated brokers must keep their customers’ funds in segregated bank accounts.
8. Investor protection scheme: While FSA-regulated brokers are not required to adopt a specific investor compensation scheme, most entities operating under an FSA license offer their customers a certain compensation in the case of insolvency.
9. Other requirements: In addition to being registered in the Seychelles, applicants must also open a bank account with a local bank. This account will be used to deposit the share capital required for the license application procedure. Once licensed, the company will also carry out its financial operations using the same bank account.

Client Funds Protection at FSA-Regulated Brokers

The Seychelles financial regulator also has the responsibility of protecting consumers doing business with locally licensed entities. Brokers authorized in the country must segregate clients’ capital from their operational funds and store it in separate accounts at banks approved by the FSA. This requirement prevents firms facing financial challenges from using their customers’ money to cover their day-to-day business and operating expenses. It guarantees traders can retrieve their assets and deposits if a broker goes into liquidation.

The FSA makes no explicit provisions for negative balance protection, although many brokers regulated in the country have adopted this safeguard. If your live trading account falls into arrears, negative balance protection ensures you never lose more than your available equity. Brokers offering this measure enforce automatic close-outs on losing positions, preventing retail customers from running up debt.

Finally, many FSA-regulated brokers offer insurance coverage of client assets. If one such broking company fails to meet its financial obligations due to bankruptcy, eligible customers are entitled to compensation but the maximum amounts are broker-specific. For example, Admirals’s Seychelles entity offers maximum insurance coverage of $100,000, whereas Tickmill has a ceiling of $1 million per claimant.

You might also be interested in exploring forex brokers regulated by other institutions

• CySEC (Cyprus) Regulated Forex Brokers
  
• FCA (United Kingdom) Regulated Forex Brokers
• IFSC (Belize) Regulated Forex Brokers
• VFSC (Vanuatu) Regulated Forex Brokers
• ASIC (Australia) Regulated Forex Brokers

Written by Z. Stefanova