VFSC Regulatory Entity

VFSC-Regulatory-Entity
1.
4.8 stars from 350 ratings

Broker Verified

Trade Nation is a truly Multi-Regulated Forex and CFD broker with offices located globally. They offer 24/5 support from market open to close.
CFD service. Your capital is at risk.
Financial spread trading comes with a high risk of losing money rapidly due to leverage. You should consider whether you understand how spread trading works and whether you can afford to take the high risk of losing your money.
2.
4.7 stars from 509 ratings

Broker Verified

Markets.com provides a unique trading experience for forex and stock traders alike. They are a global multi-regulated CFD broker regulated in SA.
CFD service. Your capital is at risk.
Remember that CFDs are a leveraged product and can result in the loss of your entire capital. Please ensure you fully understand the risks involved.
3.
4.6 stars from 785 ratings

Broker Verified

AvaTrade is truly a global broker, regulated across 5 continents. Their Cryptocurrency markets are available for trading 24/7. Local support.
CFD service. Your capital is at risk.
71% of retail investor accounts lose money when trading CFDs with this provider.

The Vanuatu Financial Services Commission is a regulatory organisation that supervises and regulates Vanuatu’s finance industry. It plays the role of an efficient registry so that the finance industry professionals may be satisfied. VFSC was previously known as the Registrar of Companies and the Official Receivership Department of the Treasury.

After independence, it became the Ministry of Finance and Economic Management. The commission was formally established in 1993 under the Vanuatu Financial Services Commission Act No. 35. The VFSC was introduced to provide licenses for financial service corporations.

Its main aim is to prevent money laundering and to maintain the reputation of Vanuatu’s financial market. VFSC is responsible for administering the legislation of financial markets in Vanuatu.

History of VFSC

Before its formal establishment, the authority was known as the Registrar of Companies and the Official Receivership Department of the Treasury.

It was established under British Administration way back in 1971. After independence in July 1980, the commission formed in Vanuatu was known as the Ministry of Finance and Economic Management. The Vanuatu Financial Services Commission was officially created in December 1993.

VFSC holds its main office in Port Vila, Vanuatu. Another office is located in Santo, Vanuatu.

VFSC-Regulatory-Entity-Vanuatu-Flag

Broker
Rating
Regulated
Bonus
Min. Deposit
Max. Leverage
1.
Trade Nation Broker Review
4.8 stars from 350 ratings

Broker Verified

FCA, FSCA, ASIC, SCB

N/A

USD 1

1:200

Review Sign up Sign up
CFD service. Your capital is at risk.
Financial spread trading comes with a high risk of losing money rapidly due to leverage. You should consider whether you understand how spread trading works and whether you can afford to take the high risk of losing your money.
2.
Markets.com Broker Review
4.7 stars from 509 ratings

Broker Verified

FCA, ASIC, CySEC, FSCA, BVIFSC

up to 25%

USD 100

1:300

Review Sign up Sign up
CFD service. Your capital is at risk.
Remember that CFDs are a leveraged product and can result in the loss of your entire capital. Please ensure you fully understand the risks involved.
3.
AvaTrade Broker Review
4.6 stars from 785 ratings

Broker Verified

FSCA, ASIC, B.V.I FSC, FSA

up to 20%

USD 100

1:400

Review Sign up Sign up
CFD service. Your capital is at risk.
71% of retail investor accounts lose money when trading CFDs with this provider.

Aims of VFSC

The Vanuatu Financial Services Commission strives to regulate and supervise the finance market. The main aim of VFSC is to protect the integrity of the financial industry of Vanuatu.

Additional objectives of the commission include:

  • To formulate and implement the appropriate strategies to achieve the desired effect on the finance industry.
  • To work as a team to improve the outcomes.
  • To provide an impressive extent of customer service.

Responsibilities of VFSC as a regulatory entity

The Vanuatu Financial Services Commission serves as a regulatory entity for the financial market of Vanuatu. The commission is responsible for enabling its clients and implementing strategies to ensure a high level of industry compliance. The responsibilities of VFSC are:

  • To adopt technology that will facilitate and encourage online servicing of the clients.
  • To have efficient, complete and up-to-date legislation related to the financial market.
  • To be recognised for their administrative jurisdiction.
  • To have sufficient levels of human resources in each of their main functional areas.
  • To implement methods that will ensure a high level of industry compliance.
  • To promote the finance centre at an international level.
  • To provide supervision of the financial businesses.
  • To protect the public in Vanuatu against financial loss and dishonesty.
  • To assist the Government on matters about any Act or Regulation relevant to financial business.
  • To be accountable for the general administration and the collection of payments.
  • To meet our customers’ needs and be fair to all the clients.
  • To make the best use of technology to improve the benefits.
  • To maintain the integrity and reputation of the financial market.

VFSC legislation

Along with the Reserve Bank of Vanuatu, VFSC is responsible for enacting legislation and supervisory activities on the following subjects:

  • Anti-Money Laundering
  • Counter-Terrorism Financing
  • Business Names Act
  • Company and Trust Services Providers
  • Charitable Associations (Incorporation)
  • Credit Unions
  • Dealers In Securities (Licensing)
  • Electronic Transactions
  • E-Business
  • Financial Institutions
  • International Banking
  • International Companies
  • Mutual Funds
  • Offshore Limited Partnerships
  • Personal Property Securities
  • Trade Unions
  • Unit trusts

Other companies, institutions or clients related to the financial market can also be included in this list.

Governance

The Vanuatu Financial Services Commission is headed by a Commissioner as its Chief Executive Officer. The Commissioner reports to a Board of Directors.

This board is appointed by the Minister of Finance and Economic Management. The Board of Directors is composed of 7 members who serve a term of 5 years. The Commissioner is assisted by a Deputy Commissioner. Departments that report to them include Supervision, Registration, Corporate Service, and Legal Enforcement & Insolvency.

Members

Members of the VFSC include most companies that are related to the financial market. Other VFSC members are company providers, financial institutes, and E-Businesses.

The investors or members of the finance industry must be registered under a regulatory body. Customers that need to register their company in Vanuatu are mandated to be licensed by the VFSC.

Facilitating clients

Various departments of the Vanuatu Financial Services Commission work diligently to facilitate members and protect market integrity.

For example, the Corporate Services Department of the VFSC works to facilitate improved individual and executive performance. It also seeks to meet statutory obligations and ensure the current and future survival of the commission. In addition, VFSC ensures that they have technology that will facilitate and enable online servicing of customers.

Requirements for the registration

The clients wanting to be registered by the VFSC have to fulfil some important requirements. Accordingly, the following submissions are required for authorised persons associated with the applicant, all directors and officers, shareholders and the ultimate beneficiary.

– Resume or CV summarising the experience in brokerage activities and qualifications.

– Notarised copies of the permit.

– Evidence of residential address.

– Original bank references.

– Certificate of no criminal record.

– Declaration of no history of bankruptcy.

The clients that meet the requirements are registered under the commission.

Financing of NFSV

VFSC is primarily financed by the payment made by the clients. This includes the fee paid by the clients during the registration and consultation. These payments comprise of the following:

  • The regulatory application fee
  • The governmental fee
  • The regulatory consulting fee
  • The legal fee

The members are also required to pay the entry fee while registering. The amount of the dues vary for each company, provider or client. This amount depends on the following:

  • The number of assets.
  • The number of personal funds.
  • The kind of activities of that particular client.

Securities license

A license issued by the Vanuatu Financial Services Commission is known as a ‘Securities License’. This license enables the client to buy, sell and trade in the following securities:

  • forex
  • commodities
  • future
  • shares
  • bonds

The companies or providers having this license are authorised to conduct their respective businesses in the finance industry.

Bottom line

To sum it all, the Vanuatu Financial Services Commission was created to improve and protect the integrity of the financial markets. In addition, the commission facilitated its clients by providing them good customer service. VFSC also works to protect the environment of Vanuatu against financial loss and deception.

Relevant Posts

Leave a Reply

Trade Nation TN Logo

$1 Minimum Deposit

Trade Nation TN Logo

$1 Minimum Deposit

South Africa's Top 3 Brokers

Minimum
Deposit

USD1

Welcome Bonus

N/A

Minimum
Deposit

USD100

Welcome Bonus

25%

Minimum
Deposit

USD100

Welcome Bonus

20%

South Africa's Top 3 Brokers

Trade Nation TN Logo

Minimum Deposit

USD1

Max. Leverage

1:200

Welcome Bonus

N/A

Markets.com Logo

Minimum Deposit

USD100

Max. Leverage

1:300

Welcome Bonus

up to 25%

AvaTrade Logo

Minimum Deposit

USD100

Max. Leverage

1:400

Welcome Bonus

up to 20%