Foreign exchange, also known as Forex, is one of the best sectors to develop your business skills. However, if you are looking to start a forex brokerage business, you need to understand forex licences. If you are wondering why, the answer is simple: with a forex licence, you can legally offer forex trading. And this is an interesting business for financially oriented family offices.

Besides this, obtaining forex licenses will impact favorably on the operational and financial success of your business, since it greatly improves your reputation within the trading community and it also boosts client’s trust. When obtaining forex licences, you have to know that the physical location of your operations does not need to be the same as your place of incorporation. The forex license allows one to conduct business around the globe through the internet.

What licence should you choose?

As we mentioned before, with forex licences you can absolutely legally offer services to others in this sector and you are also allowed to conduct business all over the world via the Internet. You can even open representative offices around the world. But the challenge comes when choosing the best jurisdiction to get one of these licences.

Although every country has its own legal framework, the most popular jurisdictions to get forex licences tend to belong to the world-leading economies such as the US, UK, and Australia. Having a license issued by one of these country’s jurisdictions can get you a higher level of trust from traders and will make your brokerage more appealing to them.

Nevertheless, obtaining a forex trading license in these countries can involve a large amount of capital, and it may not be within reach for most new brokers. But don’t worry, because there are several alternative choices.

For instance, if you are interested in Europe, Cyprus is one of the leading jurisdictions of choice to obtain a forex licence, since the country’s EU membership allows brokers to offer their services to all member states in the European Union. Also, the cost of a Cyprus Investment Firm (CIF) license ranges between €40,000 - €100,000 with the entire process taking around 6 months to be completed.

Additionally, Malta’s MFSA is another popular choice for regulatory purposes. This European country has become an established business environment for FX businesses, due to a reliable regulatory framework and a friendly environment for businesses. Then, if you are thinking about Asia, a Hong Kong forex license (FSC) is a great option to incorporate your forex company in an offshore location at a relatively low cost.

And we can help you receive a licence in all these three cases.

In other instances, you may want a licence just for the sake of it to comply with regulatory requirements. For example, Russia requires a licence, but it doesn’t issue it, therefore the only possibility is obtaining it abroad. However, you probably don’t want to spend much time or money trying to get one. In this case, Vanuatu is the perfect jurisdiction for you. Read more about it in this article.

As you can see, it all depends on your profile, needs and expectations. We also understand that the application procedure for a forex licence is quite complicated and time consuming, but we can offer you our support and guide you through. This will ensure that you follow all the correct procedures and it can surely save you time and money. 

What can we do for you?

In Mundo, we work with experts in all the best jurisdictions to obtain forex licences in the world. We can help you obtain a forex licence easily and securely, since our experts can find a tailor-made solution for you. We always consider your specific business needs because, in today’s regulatory environment, the decisions you make today have huge impact on your business in the future.

Contact us right now, and we’ll find a forex licence solution for you.

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