In terms of the Financial Markets Act Regulations, the FSCA have authorized Khwezi Financial Services as an Over-the-Counter Derivatives Provider on the 9th of November 2021. Khwezi Financial Services is regulated to offer forex, indices, and commodities for trading. The FSCA has created a regulatory and a legislative framework for the supervision of entities who wish to operate in the Over-the-Counter Derivative Providers (ODP) market, as an issuer or product provider.
Exert from FSCA press release issue on 15 April 2020.
“FSCA warns public against Forex trading platforms promising income streams during COVIS-19 lockdown.
Although some of these Financial Service Providers (FSPs) are licensed under Financial Advisory and Intermediary Services Act, 2002 (FAIS Act), this is not enough, they also need to be licensed as ODP (OTC Derivatives Providers) in order to trade CFDs.”
Khwezi Trade [FURL]https://khwezitrade.co.za/[/FURL], a division of Khwezi Financial Services (Pty) Ltd an authorized financial services provider (44816) established in 2013 is a proudly South African regulated forex broker with a category 1 and category 2 FAIS license.
Khwezi Trade provides South African traders with a safe trading environment with both state-of-the-art online desktop and mobile trading platforms.
Khwezi Trade exemplifies exceptional compliance standards as a forex broker with FSCA authorized representatives and a management team which constitutes over 60 years of experience in the forex and CFD industry.
Khwezi Trade offer Rand-based forex and CFD trading accounts, providing safeguarding of client funds through segregated third-party administrative bank accounts. Unlike foreign brokers, your trading money does not go offshore, but remains within the borders of South Africa and thereby complying with the South African Reserve Bank laws.
Why Khwezi Financial Services received their ODP license?
Khwezi fulfils the criteria for authorization as they comply with the following.
• Meet the Operational Capital Requirements
• Khwezi maintains and holds sufficient capital and reserves proportional in the Republic of South
Africa proportional to the risks relating to the business as derivative provider.
• Meet the Fit and Proper Requirements
• Khwezi complies with the fit and proper requirements of honesty, integrity, and competency.
• Khwezi has shown the ability to maintain the operational ability to fulfil the responsibilities imposed
by the Act.
• Financial Soundness of the business and its members of the controlling body.
• Risk management and internal controls are met
• Khwezi has established an effective compliance function with systems and controls in place to
promote and monitor with its regulatory obligations.
• Adequate business continuity plan with proper record keeping
To view ODP licensed entities in South Africa follow the link: https://www.fsca.co.za/MagicScripts/mgrqispi.dll?APPNAME=Web&PRGNAME=Search_ODP
For further information visit our website: www.khwezitrade.co.za
Do not hesitate to contact our head office on 021-300 3117 or email info@khwezifs.co.za.