Key Insights
- XS.com acquires South African broker Ubutyebi to establish regulated entity XS ZA
- New subsidiary licensed by FSCA to offer trading services across Africa
- Part of growth strategy for Dubai and Cyprus based firm founded originally in Australia
DUBAI (MarketsXplora) – Retail trading firm XS.com has acquired a South African regulated broker as part of plans to expand across the African continent from its Middle East and Australian bases.
The Dubai and Cyprus-headquartered company said in a statement on Wednesday it had purchased Johannesburg financial services provider Ubutyebi, gaining a local licence from the Financial Sector Conduct Authority (FSCA).
The new XS ZA subsidiary will allow the trading platform to offer foreign exchange, contracts-for-difference and other products to retail and institutional investors in South Africa under licence 53199.
“This move opens new opportunities and reinforces XS.com’s position as a global leader in the online trading industry,” said Group Chief Commercial Officer Wael Hammad.
Business Development Director Fabian Frants said the company, originally set up in Australia in 2010 before shifting focus to the Middle East, is committed to tailoring offerings to African investors and advancing regional financial services.
The FSCA began regulating the online trading industry in 2018, with the licence enabling XS.com to navigate South Africa’s oversight framework for financial markets and better access the wider continent.
XS.com has grown swiftly via a series of executive appointments from mainstream brokers like IQ Option and FxPro as well as through Saudi Arabian backing from the Mahfouz family, according to its website.