Plus500 is committing to a big expansion in Africa. The brokerage has announced via the London Stock Exchange’s RNS that it has established a brand new subsidiary in South Africa called Plus500 SA Pty. The Financial Services Board (FSB) has licensed the firm as an Authorized Financial Service Provider.
Plus500 has already been providing its services in the region via its Australian subsidiary, which was licensed in February 2017, Plus500 AU Pty.
The move signifies a big commitment by Plus500 to expand its presence in the region. The company is planning to open a fully staffed operational base in South Africa. The company is expanding its presence in the region at a key time when regulations in Europe are expected to stifle growth for the foreseeable future.
New Operations Office
Plus500 is continuing on the diversification effort that it started several years ago. The firm has now licensed subsidiaries on four continents. The operational base of the firm is spread across its big offices in Haifa (Israel), Sofia (Bulgaria) and Limassol (Cyprus).
The locations are not only diversifying the company’s client approach on a regional basis but are also securing a diversified cost base for staff. The South African location will further boost the company’s capability to onboard clients from emerging markets, an important effort at a time when the regulatory grip is tightening in Europe.
Commenting on the company’s move, the CEO of Plus500, Asaf Elimelech, said: “We are pleased that the FSB has granted us this license which will enable us to grow our global customer base further. We continue to identify opportunities to add new licenses in order to expand globally and diversify our geographical revenues.”