Gallant Capital Markets becomes the first forex broker to be licensed by the BVI FSC
BVI, which for many is a synonym for an offshore haven and lax regulation, is no longer such. While it
BVI, which for many is a synonym for an offshore haven and lax regulation, is no longer such. While it is still a place where corporate tax is 0%, its financial sector and regulation has undergone a major overhaul. Getting a financial license in BVI is now almost as difficult as getting it in Europe. Of course for investors BVI will always sound as a place for monkey business but the tiny island is adamant to change this perception and is strictly enforcing its new rules. BVI’s FSC also reluctant to handout too many financial licenses therefore any firm applying should expect quite a lengthy (about a year) and costly (100k+) process.
TORTOLA, British Virgin Islands, June 6, 2011 – Gallant Capital Markets (Gallant) announced today that the British Virgin Islands Financial Services Commission (BVIFSC) approved its application for an investment business license. The license allows Gallant to deal in investments as a principal. Receiving this license from the Financial Services Commission (FSC) of the British Virgin Islands (BVI) is particularly noteworthy as Gallant is the first and currently the only Forex broker-dealer domiciled in the BVI to be authorized and regulated by the FSC under the Securities and Investment Business Act of 2010 (SIBA), which is the new regulatory regime which now regulates this type of investment business activity in the BVI.
BVI confirmed its growing importance as a financial center in the latest Global Financial Centres [sic] Index (GFCI) ratings. It was the only offshore financial center to rise in the GFCI ratings. The improvement comes as other offshore jurisdictions continue to decline, a trend that began with the global financial crisis in 2008. Equally important, the International Monetary Fund reported in October 2010 that public revenues have remained steady in the BVI since 2008. The same report pointed out that the BVIFSC remains a full partner in international, information sharing.
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Adding Gallant’s investment business license to deal in investments as a principal to its powerful suite of products and services raises the bar for its competition, enabling Gallant to offer its services within the confines of a respected regulatory framework, advancing its commitment to expanding its products and services for its global clientele.
“Both receiving and being the first to receive an investment business license from the BVIFSC to deal in investments as a principal is exciting and a huge milestone for our company. It symbolizes our commitment to our global clients, and it adds momentum to our continuing effort to expand our company through our products and services,” said Salvatore Buccellato, CEO of Gallant Capital Markets.
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The BVIFSC is the regulatory authority for all financial services businesses operating in the BVI. This highly regarded body regulates all financial services conducted within the BVI, and it ensures compliance with international standards and best-conduct business practices.
About Gallant Capital Markets:
Gallant Capital Markets is one of the world’s leading providers of Forex trading technologies and services to private and institutional traders. Gallant’s clientele have long benefited from strong products and quality services. Gallant’s Order Management System (OMS) is key to its proprietary “Straight Through Processing” technology, powering its trading platforms. Gallant offers trading on the following platforms MetaTrader 4, MetaTrader 5, and Mirror Trader.
Gallant’s renowned Partner Programs are ideal for Introducing Brokers, Money Manager Solutions, and White Label Services.
Securities and Investment Business Act, 2010 License#: SIBA/L/11/0964.
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I am curious what are the minimum capital requirements to be regulated in the BVI. I am sure it is low. At least there is some regulatory oversight but I would never choose a broker in BVI. I would choose a firm where the regulatory capital is the highest like US or Switzerland since the firms that are doing business there are the most financially strong. Then I would most likely go with Switzerland since there is little trading constraints compared to US. Is is possible someone can post the link from the regulators website which shows the details of… Read more »
I am curious what are the minimum capital requirements to be regulated in the BVI. I am sure it is low. At least there is some regulatory oversight but I would never choose a broker in BVI. I would choose a firm where the regulatory capital is the highest like US or Switzerland since the firms that are doing business there are the most financially strong. Then I would most likely go with Switzerland since there is little trading constraints compared to US. Is is possible someone can post the link from the regulators website which shows the details of… Read more »
Stefan i dont think capital adequacy is the key determinant of how good your broker treats, although in US its nearly 15 times the UK (or Cyprus/ Malta) amount for new starts up for the bipru730 it comes down to the dealing desk management and company ethics.
In BVi i know for banking license its around $2million for the tier 1 license and i know the minimum deposit is around $500k.
not sure exactly for a securities broker
Stefan i dont think capital adequacy is the key determinant of how good your broker treats, although in US its nearly 15 times the UK (or Cyprus/ Malta) amount for new starts up for the bipru730 it comes down to the dealing desk management and company ethics.
In BVi i know for banking license its around $2million for the tier 1 license and i know the minimum deposit is around $500k.
not sure exactly for a securities broker
Adil, your point seems important, but what about this; as Stefan says, I would much a sooner be with US or Switzerland because I know that the protection/insurance of funds is required and backed by the regulators. In the US it is now $250,000 (increased since the economic crisis to bring back sense of security to clients) and in Switzerland it is CHF 100,000.
2 Questions, up to how much is protection in BVI? and…BVI being ruled by the UK (Commonwealth member) is their regulator overseen by the FSA?
Adil, your point seems important, but what about this; as Stefan says, I would much a sooner be with US or Switzerland because I know that the protection/insurance of funds is required and backed by the regulators. In the US it is now $250,000 (increased since the economic crisis to bring back sense of security to clients) and in Switzerland it is CHF 100,000.
2 Questions, up to how much is protection in BVI? and…BVI being ruled by the UK (Commonwealth member) is their regulator overseen by the FSA?
“I would much a sooner be with US or Switzerland because I know that the protection/insurance of funds is required and backed by the regulators. In the US it is now $250,000 “.
NOT TRUE, THAT IS FOR A BANK ACCOUNT , FIND OUT FACTS FOR YOUR SELF FIRST BEFORE POSTING AND TELLING OTHERS,THAT IS DANGEROUS
..IT CAN BE CONFUSING BUT IN USA ,NO PROTECTION ON FOREX FUNDS , ONLY IN FUTURES ACCOUNTS AND IN BANK ACCOUNTS
“I would much a sooner be with US or Switzerland because I know that the protection/insurance of funds is required and backed by the regulators. In the US it is now $250,000 “.
NOT TRUE, THAT IS FOR A BANK ACCOUNT , FIND OUT FACTS FOR YOUR SELF FIRST BEFORE POSTING AND TELLING OTHERS,THAT IS DANGEROUS
..IT CAN BE CONFUSING BUT IN USA ,NO PROTECTION ON FOREX FUNDS , ONLY IN FUTURES ACCOUNTS AND IN BANK ACCOUNTS
Yes, I am sorry, what want to say is that in the US the safest to trade forex with is probably Citi FXPro, as part of Citibank they are FDIC member and so the funds should be protected, especially if you have a bank account with Citibank and use some to trade FX. Do you agree “facts”? In Switzerland all brokers offering FX are now required to have a bank license, and they are regulated by FINMA so in Switzerland all FX accounts are protected to CHF 100,000 (-/+ $120,000 US) Anyone have answer about if the BVI regulator is… Read more »
Yes, I am sorry, what want to say is that in the US the safest to trade forex with is probably Citi FXPro, as part of Citibank they are FDIC member and so the funds should be protected, especially if you have a bank account with Citibank and use some to trade FX. Do you agree “facts”? In Switzerland all brokers offering FX are now required to have a bank license, and they are regulated by FINMA so in Switzerland all FX accounts are protected to CHF 100,000 (-/+ $120,000 US) Anyone have answer about if the BVI regulator is… Read more »
The USA as a safe site is such a falacy. Remember FXCM from Miami, and REFCO from NY ??Refco went under in 2005 and FXCM went under during de fall of the swiss franc by 20% y 1 day. All the SEC and FINRA oversight did nothing, same with many other brokers. I have been dealing with Gallant and Treadeview both from regulated in the caribbean and are perfect. Safe, withdrawals take few days but they arrive. SO having a high requirement to list is no guarantee. Remember Bernie Maddof from the USA ?? He ahd bought his last stock… Read more »