Abantu Capital seeks Online Trading License
Abantu Capital, a citizen owned company which operates within the financial services sector, this week announced plans to lodge an application with relevant authorities in a bid to get an Online Trading license, which if granted, will be the first of its kind in Botswana.
Kgomotso Mmoko, who founded the company last year, said, there will be more opportunities once licensed by Non-Bank Financial Institutions Regulatory Authority (NBFIRA). First and foremost, there will be job creation and increased trading.
The new online trading platform will provide consumers with a new investment vehicle for investors locally and internationally. “Government and Private companies can use our service as a tool to generate revenue,” Mmoko told Botswana Guardian on Wednesday. With a license, the company will be ready to compete with giants like Berkshire Hathaway and JP Morgan, who are movers and shakers in the world of online trading, which is valued in billions of US dollars.
“The online trading company will be trading investors’ funds in financial markets (forex, commodities, stocks, precious metals, indices). There will be different investment offerings that investors will put money into, and our traders will be buying or selling securities in different markets, that is, US markets, Eurozone, and South Africa, commonly referred as Forex Trading locally. Investors will earn certain percentage from profits generated during trading,” explained Mmoko.
Provisionally, the company fund traders who deal in forex, stocks, bonds, commodities and indices. Abantu also provide market analysis and forecast, private mentorship and training for individuals and businesses that are looking to diversify into financial markets sector. “The fund we provide is not a loan, our clients are given access to trading accounts with funds to manage on behalf of Abantu Capital, and also our clients do not assume any risk that occurs in the trading accounts,” stated Mmoko.
Abantu Capital also provides private mentorship and trading. The service is designed for those who want to join the trading world. The company also offers step by step training on Interbank Price Delivery
Algorithm (IPDA). IPDA is a system that delivers price in the financial markets, so people who have trained under us have better market analysis skills and better success rate in this industry.
Since its establishment, Abantu Capital has received mixed fortunes.
“The uptake of our services locally has been slow because for one to be funded, they really need to prove they are good traders, exercise proper money management and show understanding of price movement. Even local “Facebook traders” have failed to take up the opportunity that we provide. Most of our clients are from South Africa and United Kingdom. We are currently working on the Online Trading license and also seeking for external investment for this major project which will improve our service uptake,” he announced.
The company has international partners who provide the capital for their clients. “Our operations are financed by the profits we make from trading, trainings and subscriptions, “he added.
The company’s target market include fund managers, financial advisors, private companies and individuals and those interested in starting a career in financial markets.
'One of the challenges that Abantu Capital faces is the corporate world look for formal education qualification over skill in order to work with you. In developed countries it is the other way around, that is why we have world class financial giants and other unicorn companies emerging from there.'
Abantu Capital also has a wing that deals with fintech and will soon launch the service on Whatsapp.