DO YOU NEED A LICENSE TO TRADE FOR CLIENTS? UK

[ThatDevAaron]

If I want to do some trading for clients of mine who want me to earn them profit on their coin, do i need some kind of license or can I simply start doing it? (will be under self employment, so I'd pay tax )

[1714855037]

1714855037

[1714855037]

1714855037

[LeGaulois]

Isn't trading for clients considered as "Asset management" subject to money laundering requirements in the UK?
In such a case, you need the money laundering registration and an FX license probably.

The gov.UK's website has a 'license finder' IIRC. You describe your activity and it tells which licence is needed

... so I'd pay tax )

Self-employment or not there are always taxes. If a wife can leave you the taxes never leave you  

[JooBra]

Is it clients that pay you to do it or some friends that want to invest and you are doing them instead of them. I know in my country it isn't easy to get those papers if you are not in that type of business.

[so98nn]

Interesting topic. Would be watching to see what others has to say about this.

UK is kingdom with free gambling policy where you don’t need to pay taxes on your winnings.

If trading is actually considered as Asset management in UK then surely you will have to pay taxes. If you belong to UK then better hire a Chartered accountant for the detailed expression of this topic.

Good read here, might be helpful.

Is forex trading legal in U.K.? (Tax management)

[Kittygalore]

This kind of thing isn't a worry in my country because a lot of my friends have done this kind of thing already and they don't seem to have any problem doing it.

[crwth]

I think whatever you are going to do, as long as you are earning money or intend to earn money, you need to be registered and pay the corresponding taxes that come with it. Probably every governing body wants a piece of what you are profiting or something.

There is also the factor that you need to know is that there are different taxes for different types of trades. Like holding the trading position for a long time and short term trading. Like, there's a different type of tax with that IIRC.

Better consult with a lawyer there and find out who can assist you with that.

Self-employment or not there are always taxes. If a wife can leave you the taxes never leave you  

Tax is forever, love is not. Lol.

[jrrsparkles]

Yes it is legal as far as I know but you need the license since you need to register it as a company before managing the trading activity of other then only you can report taxes. if you are going to do with some of your friends then its necessarily not needed because you are not going to make that much but if you want to continue this as your profession then yes and you should seek help from a proper legal advisor than asking in online forum.

[leea-1334]

As people above already said if you are trading for clients then yes,,, even as a freelancer you need to have a license as asset manager. I think the best way here is just to go through an existing broker and apply for license as their agent, and then let your fund owner hire the firm. You lose a bit of commission but it is better this way to protect you plus who knows you do well and the company offers you a big job.

This is how someone I know did it,,, not sure if same in UK.

[livingfree]

Since you've been answered how will the process is likely. I'm interested to know that if there are potential clients of yours have offer you to do it and trusts you with their money?

You're starting small and you're be playing individually unlike those established asset management companies. You're starting from scratch and that's the part where clients are unlikely to give their trust to you.

[crzy]

If I want to do some trading for clients of mine who want me to earn them profit on their coin, do i need some kind of license or can I simply start doing it? (will be under self employment, so I'd pay tax )

Depends if you want to work legally and have a paper documents so you can attract more investors, actually you can work as a fund manager on a companies that is available on your country. If you just want to play the money from your friends then you must gain their trust first, since entrusting huge amount of money for someone to trade for you is not easy, you must have a proof that you know much about trading.