Mabyanine Phiri, FX Dream Team CEO, Shares Ideas on African FX Market

Africa remains largely a continent of mystery in terms of finance to many of us who are outside of it. Today, Fazzaco is honored to invite Mr. Mabyanine Phiri, CEO of FX Dream Team, a South Africa-based firm engaged in the continent's FX business, to have a chat with us, where he shares his ideas and insights on what forex trading looks like in Africa and many other trending topics.

Fazzaco: Thank you for joining Fazzaco today, Mabyanine. Could you tell us more about yourself and FX Dream Team?

Mabyanine: Thank you for the opportunity. I am a fintech enthusiast, who is passionate about the financial markets and the positive role it will play on the African continent. FX Dream Team regularly works with marketing, brand, and strategy executives of brokers to help them design and deliver customer insight –anchored change and growth in their broker businesses.

Fazzaco: FX Dream Team is a South Africa-based firm. What does the forex industry look like in Africa, South Africa in particular?

Mabyanine: There is no doubt Africa is the next big market for the FX industry and its emerging as the new frontier for forex trading with over 41 currencies spread across 54 countries. The continents broad retail and spot forex trading has massive potential. South Africa is leading the way with an extremely promising forex market, largely due to a very stable financial sector and competent regulatory bodies. As a result, South Africa has attracted several international brokers as a destination for their expansion projects into Africa.  

Fazzaco: What solutions does FX Dream Team provide to institutional customers?

Mabyanine: We have designed a turnkey solution for international Broker brands that want to establish and setup regional offices in South Africa. The turnkey solution includes aspects of marketing, sales, legal and human resources. We also help both local and international clients create executable strategies for growth, value creation, and differentiation.

Fazzaco: A number of firms in the forex business are also offering trading of other assets, most notably, cryptocurrencies, what is your opinion on crypto assets, especially after the violent volatility of Bitcoin value during the first six months of this year?

Mabyanine: Like any investment, cryptocurrencies come with risks and potential rewards. Compared to traditional types of investments, cryptocurrencies are particularly risky even riskier than FX and derivatives trading. Unless they really have the capital and appetite I think Instead, people interested in the sector should gain access to it through a less direct route. For example, by buying shares or CFDs in companies that develop blockchain technology or run crypto exchanges.

Fazzaco: We've noticed that you outsource remote agents and sales teams too, could you please elaborate on these services for us?

Mabyanine: We understand the common cost and compliance challenges in our industry specifically for brokers, when attempting to establish a brand in a foreign jurisdiction. We leverage our brand position in the South African market and offer these 'plug-n-play' services, simultaneously ensuring that the broker has a vetted, qualified, and compliant team. This eliminates the cost of outsourcing different service providers for the broker.

Fazzaco: What is your opinion on white labels? Do you believe that it is a wise choice for a forex start-up to choose a white label?

Mabyanine: I think white labels are a good solution for start-ups in a specific scenario. Most start-ups have capital challenges and might not have a robust team, adequate resources, and the expertise to runs a full operation unassisted. I believe white label solutions have value in the short term and it would probably be wiser for a brand to buy a full license as a long-term strategy.