Establishing a Securities Dealer in Seychelles in 2025
Engaging in capital markets, collective investments, insurance, and fiduciary services in Seychelles requires prior authorization from the Seychelles Financial Services Authority (FSA). The FSA is responsible for licensing and supervising financial service providers, ensuring a regulatory framework that prioritizes market integrity, investor protection, and international compliance.
With the enactment of the Amendment of 2024, effective from January 1, 2025, which comes to enrich the already established Securities Act of 2005, Seychelles has introduced additional regulatory requirements for Securities Dealers. These changes reinforce its position as an attractive and well-regulated jurisdiction while ensuring stronger oversight of licensed entities.
In this article, the SALVUS Investment Firms Licensing team explores the benefits, regulatory framework, and updated requirements for obtaining a Securities Dealer license in Seychelles. The article addresses the following key topics:
1. Why establish a business in Seychelles?
2. What is the regulatory framework for dealing in securities?
3. License categories and capital requirements
4. How SALVUS can support your Securities Dealer application
1. Why establish a business in Seychelles?
Seychelles continues to be an attractive jurisdiction for financial services, offering a range of advantages that make it a compelling choice for Securities Dealers.
One of the primary benefits of establishing a business in Seychelles is its favorable time zone, which enables financial firms to efficiently conduct transactions across four continents within a single business day. This strategic positioning allows seamless access to international markets and enhances business flexibility.
Seychelles also offers an English-speaking workforce, simplifying communication for international firms looking to establish operations in the region. The country has developed a strong financial services sector, supported by a skilled and well-educated labor market.
The jurisdiction is also known for its attractive tax regime, providing preferential tax rates for firms that meet substantial activity requirements. This makes Seychelles an appealing destination for financial services businesses looking to operate in a well-regulated yet cost-effective environment.
Additionally, Seychelles provides enhanced privacy and asset protection, supported by strong corporate laws that safeguard business interests. The regulatory framework is structured yet flexible, ensuring an efficient licensing process that allows businesses to establish operations swiftly.
The most notable change introduced by the Securities (Amendment) Act, 2024 is the new residency requirement for licensed Securities Dealers. Under the revised regulations, firms must now appoint at least two full-time resident personnel, such as directors or compliance officers, who must be based in Seychelles. This requirement enhances local regulatory oversight and ensures greater operational accountability within the jurisdiction.
2. What is the regulatory framework for dealing in securities?
Securities Dealers in Seychelles operate under the Securities Act, which provides a comprehensive legal framework governing the licensing, operations, and compliance obligations of financial firms. To further enhance market integrity, investor protection, and transparency, the Seychelles Financial Services Authority (FSA) enforces several regulations that all licensed entities must adhere to:
- The Forms and Fees Regulation outlines the application fees and due diligence costs required for obtaining a Securities Dealer license. These fees cover administrative processing, background checks, and financial assessments to ensure that applicants meet the FSA’s fit and proper criteria.
- The Advertisements Regulation establishes guidelines to ensure that all communications, advertisements, and public disclosures present accurate and fair information. This regulation prevents misleading marketing practices and ensures that financial promotions remain compliant with investor protection rules.
- The Conduct of Business Regulation sets the standards for fair, transparent, and client-centric business practices. It covers areas such as conflicts of interest, inducements, fair client communication, risk assessment, and suitability obligations. Securities Dealers must ensure that their investment offerings and advisory services align with the best interests of their clients.
- The Financial Statements Regulation establishes the capital adequacy, financial reporting, and record-keeping requirements for licensed firms. Under this regulation, Securities Dealers must maintain accurate financial records, submit annual audited financial statements, and ensure that they continuously meet the minimum capital requirements.
Under the 2024 amendments, additional compliance obligations have been introduced:
- Mandatory Annual License Renewal: Securities Dealers must renew their licenses annually, submit updated compliance documentation, and pay the required renewal fees to maintain their active status with the FSA.
- Enhanced Compliance Monitoring: The FSA has intensified supervisory measures to ensure that Securities Dealers maintain full compliance with all applicable regulations. Firms that fail to meet reporting and governance obligations may be subject to fines, license suspension, or revocation.
- Resident Personnel Requirement: Securities Dealers must now have at least two full-time personnel based in Seychelles to ensure stronger local presence and regulatory oversight.
These updates reflect the Seychelles’ commitment to international financial standards while ensuring a transparent and well-regulated environment for financial service providers and investors.
For tailored assistance in obtaining a Securities Dealer or Investment Advisor in Seychelles, contact us at info@salvusfunds.com or call us at +357 70007898.
3. License categories and capital requirements
The FSA Seychelles issues two primary licenses for firms engaging in securities-related activities:
License category Securities business Capital requirements
Securities Dealer Acting as principal or agent by way of business:
• Makes offers to make an agreement with another person to enter into or offer to enter into an agreement, for or with a view to acquiring, disposing of, subscribing for or underwriting securities or in any wat effects or causes to effect a securities transaction;
• Causes any sale or disposition of or other dealing or any solicitations in respect of securities for valuable consideration, whether the terms or payment be on margin, instalment or otherwise or any attempt to do any of the foregoing;
• Participates in any transaction in a security occurring upon a securities exchange;
• Receives under an order to buy or sell a security which is executed;
• Manages a portfolio of securities for another person on terms under which that person may hold property of the other person.
Minimum issued and paid-up capital of 100,000 USD
Investment Advisor Carrying on business of giving advice on securities by way of business:
• Advises other persons concerning investment in securities;
• Issues, analyses or reports concerning specific securities; or
• Manages a portfolio of securities for another person:
- without holding property of the other person; and
- on terms that preclude him from doing so.
Minimum issued and paid-up capital of 25,000 USD
The Securities (Amendment) Act, 2024 maintains these capital requirements, but the FSA now reserves the right to impose higher capital thresholds based on a firm’s risk profile and intended business activities. The definition of securities under Seychelles law includes shares, debt instruments, futures, options, contracts for differences (CFDs), swaps, metals, commodities, currencies, and cryptocurrency.
4. How SALVUS can support your Securities Dealer application
The SALVUS Investment Firms Licensing team applies a structured project management approach to guide firms through the entire licensing process. With extensive experience working with the Seychelles FSA, we assist clients in efficiently gathering, preparing, and submitting all necessary documentation for a smooth application process.
Our licensing services include:
- Regulatory Consultation – Ensuring compliance with licensing requirements.
- Document Preparation – Assisting with application forms, business plans, policies, and manuals.
- Meeting Residency Requirements – Guidance on staffing and operational structure.
- Financial & Capital Planning – Optimizing the allocation of financial resources.
- Post-Licensing Support – Ensuring firms remain compliant with annual renewals and regulatory obligations.
The licensing process in Seychelles typically takes three months when applications are complete and well-prepared. However, to accommodate potential regulatory review delays, we advise firms to budget four to six months for the full approval process.
For tailored assistance in obtaining a Securities Dealer or Investment Advisor in Seychelles, contact us at info@salvusfunds.com or call us at +357 70007898.
#StayAhead
The information provided in this article is for general information purposes only. You should always seek professional advice suitable to your needs.