Broking License Solutions | Pre-licensing Assessment | Broker License Application Management | Post-licensing Risk and Compliance Management

We offer a comprehensive set of solutions to help you obtain and maintain a broker license, tailored to:

• Your business goals and objectives
• Your client demographics
• Your countries of operation
• The size of your business
• The available human and technology resources
• Your risk appetite
• Your governance structure
• The products that you offer
• Regulated brokers' obligations covering risk and compliance management under financial laws and regulations, the applicable financial licensing requirements, AML/CFT laws, privacy laws, consumer protection laws, and more

We have designed our financial licensing solutions to help you navigate the complexities of the brokers' licensing regime in a commercially oriented and goal-focused manner, providing effective support for all stages of the brokers’ licensing process, including but not limited to the following aspects:

• Broker License Guidance: Advising on a wide range of aspects associated with broker license as it relates to your specific situation
• Pre-licensing assessment: Covering compliance gap analysis as well as risk and compliance assessment
• Pre-licensing support:
• Drafting the necessary policies and procedures to help you comply with the broker license conditions and financial markets' regulations
• Developing internal controls to help you meet your obligations under the brokers' licensing regime
• Broker License Application Support: Covering the entire licensing process
• Post-licensing Support: Covering
• Ongoing compliance advice
• Comprehensive second-line risk and compliance support, including leading the implementation of your risk management framework (RMF), compliance management framework (CMF), compliance monitoring program (CMP), compliance calendar and checklist, ongoing risk assessments, internal and external reporting, outsourced providers' management, and more
• AML/CFT advice
• AML/CFT compliance management
• Compliance assurance solutions, including compliance assurance program (CAP) development, implementation, and internal control testing

 

Jurisdictional Coverage of our Broker License Solutions

We assist in obtaining broker licenses or their equivalents in the following jurisdictions:

• Australia: For more information on the Australian broker license equivalents – the Australian Financial Services License (AFSL) for finance brokers, stock brokers, and insurance brokers, as well as the Australian Credit License (ACL) for mortgage brokers, you can visit our AFSL page for Australian Brokers.
• New Zealand: For more information on the closest New Zealand broker license equivalent – Financial Service Provider (FSP) Registration for Client Money or Property Service Providers, you can visit our FSP Registration page for New Zealand Brokers.
• United Kingdom: For more information on the United Kingdom broker license equivalents:

• FCA Authorisation for Consumer Credit Brokers
• FCA Authorisation for Mortgage Brokers
• FCA Authorisation for Wealth Management or Stockbroking Firms
• Investment Intermediation (Advising and Arranging), Dealing in Investments as Agent, Dealing in Investments as Principal, and Credit Broking Permissions under the Financial Services and Markets Act 2000 (FSMA), you can visit our FCA Authorisation page for the UK brokers.

• Singapore:

• For more information on the Singapore broker license equivalent –Capital Markets Services (CMS) License for brokers dealing in securities and capital markets products, you can visit our CMSL page for Singaporean Brokers.
• For more information on the Singapore broker license equivalent – Financial Adviser’s License (FA License) for brokers involved in advisory services, you can visit our Financial Adviser’s License page.
• For more information on the Singapore broker license equivalent – Moneylender’s License for brokers involved in credit and lending activities, you can visit our Moneylender’s License page.

• United States of America: For more information on the United States broker license equivalents – SEC and FINRA Registration for U.S. Stock Brokers and Broker-Dealers, as well as state-specific licensing for mortgage brokers, you can visit our US Broker-Dealer Registration page.
• Prominent Financial Centres and Offshore Tax Havens: We also offer broker licensing solutions in other major financial hubs.

 

Service Coverage

We offer comprehensive support for a wide range of broker license applications tailored to meet the specific needs of the following businesses:

• Finance Brokers
• Stock Brokers
• Mortgage Brokers
• Insurance Brokers
• Forex Brokers- please visit our Specialised Forex Broker Licensing Page for more.

You can find more information about our broker license solutions below:

 

 

Brokers’ Licensing Preparation

Pre-licensing Compliance Assurance

Our broker license solutions cover the following focus areas:

• Compliance Goals Analysis: We review your business-specific goals and resources against the suitability criteria for a broker license
• Initial Consultation: We provide guidance on potential risk and compliance issues that may arise during the brokers' licensing process
• Choosing the Right Jurisdiction: We assist in evaluating regulatory, risk, and compliance environments to determine the most suitable jurisdictions for your broker license, tailored to suit your:

• business objectives,
• operational capacity,
• client base,
• markets of operations,
• and other relevant factors

• Gap Analysis: We identify gaps between your existing operations and regulatory requirements and help you align them in a commercially oriented manner
• Broker License Application Plan: We help you establish a roadmap to effectively meet the broker license requirements

 

Broker License Guidance

Selecting the right compliance model is crucial not only for navigating the licensing process but also for maintaining ongoing compliance and avoiding potential breaches. Our brokers’ licensing solution covers:

• Compliance Model Selection: To help you best comply with the brokers' licensing regime and related risk and compliance obligations.
• Corporate Governance Model Selection: We offer practical guidance on establishing effective corporate governance practices that support your risk and compliance oversight.
• Operations Model Advisory: We advise you on optimising your operational and governance models to help you efficiently comply with the licensing requirements for broking firms and other applicable regulated brokers’ obligations, keeping in mind your specific circumstances, available resources and business goals.

 

Entering Brokers’ Licensing Environment

We help businesses transition from an unregulated environment to operating under the brokers' licensing regime, helping them meet their obligations as broker license holders.

We also assist already regulated businesses in aligning their existing risk and compliance management structures with the requirements of the brokers' licensing regime.

Our focus areas for this service include:

• New businesses
• Existing broking businesses operating in unregulated markets
• Regulated brokers expanding into foreign jurisdictions
• Financial institutions and/or service providers with established risk and compliance frameworks seeking to introduce regulated broking services trading as a new product.

 

Multi-Jurisdictional Compliance

With years of experience managing risk and compliance obligations for businesses operating under multiple financial licenses across various jurisdictions, we help businesses remain compliant with the obligations of regulated brokers globally.

 

Broker License and Wholesale Markets

Getting a broker license may not always be the best fit for all. For example, a retail market expansion may not always align with your goals or the products you offer.

Operating in the wholesale environment can sometimes be a more suitable option. We offer a wider range of risk and compliance management solutions to assist brokers that:

• Operate in the wholesale markets
• Operate under exemptions from the brokers' licensing regime
• Operate under a broker license limited to sophisticated, eligible, and wholesale investors

We help these businesses comply with the regulatory compliance obligations that still apply despite the absence of the brokers' licensing regime or apply under the wholesale-only licensing framework, including:

• Advertisement Rules
• Fair Dealing Regulations
• Risk Management
• Outsourced Providers' Oversight
• Restrictions on offering services to retail investors (an integral part of the brokers' licensing regime)
• Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) laws and regulations
• Data Management Laws and Regulations

 

Broker License Application

We assist with your license application through ongoing engagement in the brokers' licensing process:

• Document Compilation and Review: We compile and review all required supporting documents to support your broker license application.
• Application Form Completion: We assist you in completing the forms to ensure all material information is accurate and complete.

• Pre-Submission Review: We can arrange a pre-submission review session with key stakeholders to ensure all parts of your application are understood and agreed upon. This session aligns application details with the actual situation, removing ambiguity.
• Brokers' Licensing Process and Regulatory Liaison: We manage the end-to-end submission process, maintaining clear and effective communication channels throughout the licensing process.
• Timeline Management: We closely monitor and adhere to all necessary deadlines, providing timely updates and adjustments to keep the application process on track.

 

Resolving Broker License Issues

Having competent compliance advisors is crucial when licensing issues arise. Therefore, our broker license solutions include a range of services to address and resolve these issues effectively:

• Remediation Solutions for Broker License Applicants: We address and remediate risk and compliance issues identified by regulators, helping your operations align with brokers' licensing regime requirements.
• Specific License Conditions Compliance: We can help you manage additional conditions imposed on your broker license, developing a tailored action plan to maintain compliance and facilitate the eventual removal of these conditions with minimal disruption to your business operations.

• Licensing Issues Handling: We address common licensing issues encountered during the brokers' licensing process, providing you with solutions to navigate and resolve these challenges efficiently.
• Further Information: You can visit our Compliance Remediation Solutions page for more information.

 

Post-Licensing Support

We offer a full range of ongoing risk and compliance solutions for licensed brokers. Our services include, but are not limited to:

Ongoing Risk and Regulatory Compliance

• Regulated Brokers’ Obligations Guidance: We can advise your risk, compliance, management and other teams on meeting the requirements of the brokers' licensing regime and other regulatory compliance obligations. You can visit our Compliance Consultancy Service page for more information.
• Regulatory Risk and Compliance Management: We provide dedicated compliance managers to manage your overall compliance. For more information, visit our Specialised Compliance Management Solutions page for Brokers.
• Compliance Assurance Solutions: As part of our compliance assurance solutions, we offer:
• Compliance Assurance Program (CAP) development and testing options
• Internal Controls Design option
• Internal Controls Testing option
• Internal AML/CFT Review option
• Statutory AML/CFT Audit option
• Compliance Training Solutions: We offer training programs to different teams on complying with:
• Regulated brokers’ obligations for risk and regulatory compliance management. You can visit our Compliance Training page for more information.
• Brokers’ AML/CFT obligations and operational best practices for fraud prevention. You can visit our AML/CFT Training page for more information.
• Crisis Management Planning: We can develop proactive strategies to manage potential compliance crises effectively.
• Anti-Money Laundering (AML) and Counter Terrorist Financing Solutions: We provide a full range of AML/CFT solutions for brokers. For more information, visit our Specialised AML/CFT Solutions page for Brokers.
• Advanced Compliance Technologies: We can assist you with selecting and integrating advanced technology solutions, such as compliance automation tools and regulatory technology (RegTech), to streamline compliance processes without disrupting operations.
• Risk and Compliance Framework Adjustments: Including adjustments to risk management frameworks (RMFs), compliance monitoring programs (CMPs), compliance management frameworks (CMFs), and other core procedures and policies to align them with:
• new business goals
• regulatory changes
• changes in your operations
• evolving market conditions
• changes in stakeholders’ risk appetites (your banking partners, insurance companies, liquidity providers, etc.).

 

 

Risk and Compliance Obligations for Broker License Holders

Broker license holders are subject to various obligations set out in applicable laws and regulations. They are also expected to uphold standards for their conduct and internal operations, as outlined in regulatory guidance or accepted industry practices.

We can help you address these obligations and expectations through comprehensive support in the different areas. The list below is not exhaustive:

Broker License and Regulatory Compliance Obligations

• Compliance Management Systems: We can help you establish effective compliance programs, compliance monitoring plans, controls testing methodologies, compliance calendars and more.
• Risk Management Frameworks: We can help you develop comprehensive risk management frameworks to fulfil regulated brokers’ obligations for identifying, assessing, and mitigating operational, regulatory, strategic, financial and other types of risks.
• Policy and Procedure Development: We can help you draft and implement policies and procedures aligned with the brokers' licensing requirements.
• Compliance Monitoring Plans: We can oversee the execution of your CMPs, covering ongoing monitoring of your compliance obligations under the brokers' licensing regime.
• Internal Control Testing and Compliance Assurance: We can conduct internal reviews and audits of your controls to test their effectiveness and compliance with the applicable regulatory standards.
• Capital Adequacy Requirements: We can help you implement controls to comply with capital adequacy requirements, helping your businesses meet regulated brokers’ obligations for maintaining required financial resources (applies to stock brokers and finance brokers).
• Liquidity Management Requirements: We can assist you in developing controls to comply with liquidity management requirements (applies to stock brokers and finance brokers).
• Financial Auditing Standards: We can assist in establishing procedures to help you comply with the audit and assurance requirements under the brokers' licensing regime.
• Regulated Counterparty Engagement: We can help you develop controls to comply with regulated brokers’ obligations that restrict engagement with non-regulated financial service providers (applies to stock brokers and finance brokers).
• Automated Trading Regulations: We can aid you in developing controls to meet automated trading regulations, including compliance with algorithmic trading rules and reporting requirements (applies to Stock Brokers).
• Digital Payment Token Services: We can assist in developing controls to comply with regulations for digital payment tokens, cryptocurrencies, and digital assets, including obligations under the brokers' licensing regime and AML/CFT requirements for transaction monitoring and reporting (applies if brokers deal in crypto or digital assets (e.g., stock brokers offering tokenised securities, finance brokers offering digital asset products).

 

Broker License and Operational Oversight Obligations

• Oversight of Outsourcing: We can establish a set of effective controls to comply with brokers' licensing obligations for overseeing outsourced services, also covering related obligations under AML/CFT compliance, ISO requirements, and more.
• Structures for Governance: We can help you establish effective governance structures to comply with regulated brokers’ obligations and develop an effective approach to overseeing your risk exposure and compliance status across different functions of your business.
• Senior Management Accountability: We can help you comply with regulated brokers’ obligations for senior management and key staff conduct and competence.
• Maintaining Operational Resilience: We assist in developing continuity plans to meet regulated brokers’ obligations for operational resilience, helping critical business services withstand disruptions.
• Managing Technology Risks: We provide guidance on technology risk management obligations under the brokers' licensing regime.

 

Broker License and Market Integrity/Transparency Requirements

• Standards for Market Conduct: We can help you implement controls for regulated brokers’ obligations to maintain fair and transparent market conduct, including preventing manipulation and insider trading (applies to stock brokers and finance brokers).
• Principles for Fair Treatment: We can help you implement controls to comply with expectations that cover adherence to principles of fair treatment and transparent communications with clients.
• Standards for Conduct and Disclosure: We can help you comply with brokers' licensing standards for conduct and disclosure.
• Product Suitability and Governance: We can establish tailored controls to help regulated brokers’ obligations comply with product suitability and governance obligations, including risk management and governance arrangements across the product life cycle.
• Protection of Client Assets: We can help you comply with brokers' licensing obligations to protect and segregate client assets (applies to stock brokers and finance brokers).
• Resolution of Disputes: We can help you establish effective mechanisms for dispute resolution and complaints management, particularly for retail clients.

 

Broker License and Resource Management Obligations

We can help you comply with the following requirements of the brokers' licensing regime:

• Adequacy of Resources: Covering financial, technological, human and other resources.
• Competence of Professionals: Covering key personnel, their necessary skills, knowledge, and professional competence.
• Our focus areas include:
• Assessment and Gap Analysis: We can help you evaluate the adequacy of your financial, technological, and human resources against the requirements of the licensing regime.
• Resource Allocation Plans: We can help you develop strategies to optimise resource allocation, covering sufficient capacity for compliance, trading, operations, banking, customer support and other functions and departments.
• Technological Solutions: We can recommend and implement RegTech tools to streamline compliance processes, such as transaction monitoring, reporting, and audit trails.
• Key Personnel Assessment: We can help you assess the skills, qualifications, and experience of key personnel to identify areas for improvement.
• Training and Development Programs: We can design and deliver targeted compliance training programs to upskill personnel in compliance, risk management, and compliance regulations.
• Competence and Accreditations of Advisors and Representatives: We can advise you on certifications and continuing professional development (CPD) requirements for compliance professionals and senior management (applies to stock brokers and mortgage brokers).
• Representative Vetting: We can help establish a framework for assessing the competence and suitability of advisors and representatives before appointment (applies to stock brokers and mortgage brokers).
• Compliance Monitoring: We can help develop controls to monitor representatives' adherence to conduct and disclosure obligations.
• Ongoing Training: We can help you create a framework to support continuous education for advisors and representatives on licensing obligations, market integrity, and client interaction standards.
• Regulator Liaison: We can act as an intermediary with regulators to address queries and help you demonstrate compliance with resourcing obligations.

 

Broker License and Reporting

• Regulatory Reporting: We can help you prepare and submit periodic and ad-hoc reports covering:
  • Brokers' licensing obligations
  • Brokers’ AML/CFT obligations (SMRs, STRs, SARs, cross-border transaction reports, cash transaction reports, and other reporting obligations)
  • Regulated brokers’ obligations under financial market conduct regulations
  • Specific transaction reporting to relevant depositories
• Compliance Documentation: We can help you develop and maintain the necessary documentation to meet record-keeping obligations under various laws and regulations.
• Audit Readiness: We can prepare you for audits and reviews to demonstrate compliance with regulatory requirements, provisions of the brokers' licensing regime, applicable operational standards, and more.