Global fintech group and trading platform Capital.com has entered the South African market after securing regulatory approval from the Financial Sector Conduct Authority (FSCA).
The group is an authorised over-the-counter derivatives provider and category one financial services provider.
Capital.com South Africa may provide financial and intermediary (non-advice) services for approved financial products, including shares and other investment products, subject to FSCA requirements.
It will compete with local and international players including Exness, Standard Bank Online Trading, EasyTrader (Part of EasyEquities), HFM, TradeNation, Scope Markets, CFI, XM, Clarity (part of Investec), FXCM, Brokstocks, Plus500, Markets.com and ThinkMarkets.
The South African operation plans to onboard clients and provide access to contracts for difference (CFDs) across more than 5 000 markets, including equities, commodities, indices and foreign exchange. It will also execute derivative transactions in accordance with SA's regulatory framework. The licence permits the offering of crypto CFDs under FSCA supervision.
Travis Robson, CEO of Capital.com South Africa, said a CFD is an agreement to exchange the difference in an asset's price between the point at which a position is opened and the point at which it is closed. The trader does not take ownership of the underlying asset – whether a share, commodity, index, currency pair or crypto asset – but takes a position on whether its price will rise or fall.
Robson cautioned that CFDs are complex, leveraged instruments and carry a high risk of loss. He said the products are not suitable for everyone and should only be traded by clients who understand the risks.
“From a single account, a trader can access a wide range of global markets and take a position in either direction. Leverage allows a trader to gain exposure beyond their initial deposit, but equally, losses can exceed that deposit. These instruments are not suitable for everyone, and the decision to participate should always be made with a full understanding of the downside."
Robson said the company's approach to the South African market is based on three elements: regulatory authorisation, pricing transparency and platform design.
“We are not approaching South Africa as a short-term acquisition exercise,” he said. “Our priority is to establish a long-term, credible, locally regulated business that competes on regulatory standards, platform quality, pricing transparency and client experience.
“Our focus is on onboarding clients who have a clear understanding of the products and the risks involved, not on reaching a volume figure.”
Robson added: “Operating through a regulated local entity matters because it shapes the environment in which decisions are made. Our role is to ensure clients engage with markets within a framework that is governed, supervised and designed to prioritise clarity around risk. By operating under FSCA oversight, we are focused on providing access to markets in a way that supports informed decision-making.”
Capital.com holds licences in two African markets: Kenya and SA. CC Kenya Securities is regulated by the Capital Markets Authority of Kenya under licence number 244.
Robson said the company would not comment on potential expansion into additional markets until regulatory and commercial processes had been completed.
“Beyond the markets where we hold licences, we are not in a position to confirm specific further countries. Capital.com discusses market entry only once the applicable regulatory and commercial processes are complete.”
The FSCA was approached for comment but had not responded by the time of publication.
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