In accordance to the Estonian law, services such as forex broker services qualify as investment services. Companies that carry out forex activities require a special license the EFSA, are governed by domestic law Securities Market Act, as well as the MIFID – EU directive of financial instruments on the EU markets. EFSA issues licenses to companies registered in Estonia, with an address in Estonia and the main activities in Estonia. Licensed activities that require a license of investment are as follows:

  1. Stock market (securities)
  2. Other services related to securities
  3. Forex broker services
  4. E-money services.

Estonia Forex Broker License Key features

In order to meet to obtain a license, a company must be registered with the organizational-legal form.

Capital Requirements are as follows:

  1. 50,000 euros, if the company provides the following services:
  2. Reception and transmission of orders related to securities
  3. Execution of orders related to securities on behalf of or for the account of the client
  4. 125,000 euros, if the company provides the following services:
  5. Portfolio management
  6. The organization offer or issue of securities
  7. Custody and management of securities for the client, as well as related activities, including the transfer of securities, mortgage securities and other actions related to the encumbrance of securities of clients and transfer for execution
  8. 730,000 euros, if the company provides the following services:
  9. Securities transactions for own account;
  10. Provision of securities or guarantee of the offer, issue or sale of securities;

Estonia Forex Broker License Legal Requirements

Estonia Forex Broker License

Description

General

  • Corporate  vehicle permitted

Estonia Company or Limited Partnership

  • Local physical office required

Yes

  • Currency

EUR

Share capital or equivalent

  • Minimum Capital Requirements

EUR 50,000

Directors

  • Minimum number

2

  • Corporate directorship allowed

Yes

  • Local director required

Yes

Shareholders

  • Minimum number

2

  • Corporate shareholders allowed

Yes

  • Local  shareholders required

No

Service Providers Required

  • Company Secretary

No

Estonia Forex Broker License Tax Treatment

Estonia has a flat tax system with an income tax rate of 26% for individuals and corporations.

Estonia Forex Broker License Duration for Set up

3 to 6 Months

Estonia Forex Broker License Distinctive Benefits

  • Estonia Forex Broker License has a wide scope of activities it can engage in.
  • Favorable tax regimes.
  • Favorable Regulatory conditions

Why US (Key Strengths)

  1. We will advise you on the optimal legal structure for your requirements, size, expectations and circumstances.
  2. Valsen will assist to complete every form for each process in the best way we know how (Based on our many years’ experience with various regulators and service providers across the world)
  3. We are very hands on in the post filing period checking with the regulator and service providers and updating you regularly.
  4. Any queries raised by the regulators and service providers during processing will be quickly synthesized by us and we shall craft the right responses to move the process forward fast.
  5. We have a full in-house compliance support for all compliance requirements with the regulator and service providers