What license does Weltrade operate under in South Africa?
Weltrade operates in South Africa through Weltrade SA (PTY) Ltd, a company registered in the Republic of South Africa and regulated by the Financial Sector Conduct Authority (FSCA).
🛡️ Weltrade SA holds a Financial Services Provider (FSP) License No. 50691, issued under the Financial Advisory and Intermediary Services Act (FAIS Act). This license authorizes Weltrade SA to provide intermediary services in respect of derivative instruments, including CFDs.
What does this license mean for you?
Under the South African regulatory framework:
Weltrade SA operates as a licensed intermediary, not as a trading counterparty
Weltrade SA introduces you to CFD trading services provided by a product supplier
Weltrade SA must comply with strict conduct, compliance, and consumer protection rules
This includes obligations related to transparency, fair treatment of clients, data protection, and complaint handling.
What services does Weltrade SA provide?
Weltrade SA provides intermediary and support services, including:
Client registration and initial verification (KYC/AML checks under South African law)
Suitability and appropriateness checks required by regulation
Referral to the CFD product supplier for opening a trading account
Customer support and administrative assistance
Coordination of deposits and withdrawals via approved payment providers
Weltrade SA does not execute trades, manage trading accounts, or provide investment advice.
Who provides the actual trading services?
All CFD trading services are provided by Weltrade Ltd (St. Lucia), which acts as the product supplier and trading counterparty.
This means:
Your trading account is opened with Weltrade Ltd (St. Lucia)
Trading platforms, instruments, leverage, and execution are provided by the product supplier
Trading conditions are governed by the Weltrade Ltd Client Agreement
Weltrade SA and Weltrade Ltd (St. Lucia) are separate legal entities, each with its own responsibilities.
Frequently asked questions (FAQs)
Does Weltrade SA hold my funds?
Does Weltrade SA hold my funds?
No. Weltrade SA does not hold, store, or custody client funds. Client funds are held by the product supplier or licensed payment service providers, depending on the transaction stage. Weltrade SA acts only as a coordinator and intermediary and does not use client funds for its own operations.
Is migration to the South African entity mandatory?
Is migration to the South African entity mandatory?
No. Migration to Weltrade SA is optional. You may choose to migrate to the South African regulated entity or remain with another Weltrade entity, subject to availability and applicable regulations in your jurisdiction. The entity you choose determines the legal framework, regulatory protections, and complaint resolution mechanisms that apply to you.
What additional checks apply under the South African license?
What additional checks apply under the South African license?
Under FSCA regulation, you may be asked to complete:
Re-verification of identity and address
AML and source-of-funds checks
Suitability or appropriateness questionnaires
Politically Exposed Person (PEP) declarations, where applicable
These checks are required by law and apply even if you were previously verified under another jurisdiction.
How are complaints handled?
How are complaints handled?
Weltrade SA follows formal FSCA-compliant complaints procedures. If you are not satisfied with the outcome of a complaint handled by Weltrade SA, you may escalate it to the FAIS Ombud, an independent dispute resolution body in South Africa.
Does the license guarantee profits or protect me from losses?
Does the license guarantee profits or protect me from losses?
The South African licensed entity is not a broker and does not act as a counterparty to client trades. Its role is limited to regulatory compliance and oversight, ensuring that services are provided in line with local requirements.
However, CFD trading involves significant risk. Regulatory oversight does not remove market risk, and trading may result in partial or total loss of invested funds.