LFSA

Survey

The currency brokerage licence of Malaysia's Namien Financial Services Agency (LFSA) has become one of the most sought-after licences for brokers in Asia in recent years. Established in 1996, LFSA is Malaysia's offshore financial regulator. There are more than 6,500 offshore companies and more than 300 authorized financial institutions operating in Malaysia, including some of the world's top large banks.

Regulatory body

Labuan FSA was established on February 15, 1996 under the Financial Services Management Act of Namin Island 1996. The Namien Financial Services Authority is the statutory body responsible for the development and management of the Labuan International Business and Finance Centre (Labuan IBFC) in Malaysia.

Regulatory purpose

Promote and develop Namien Island as an international business and financial service center.

Develop national goals, policies and priorities to ensure orderly development of international and commercial financial services for Namien Island.




Regulatory features

The main role of the Namien Financial Services Authority is to issue licences and supervise entities operating the Namien International Business and Finance Centre in Malaysia to ensure that all entities comply with the best practices standards at home and abroad implemented in the Namien Judicial Area. The Namien Financial Services Authority also formulates policies for the orderly operation of enterprises and financial services institutions in Namien International Business and Finance Center, Malaysia. The Namin International Business and Finance Centre (IBFC) aims to help Malaysia become a major habitat for offshore investment. Unlike other licences, the currency brokerage licence provided by LFSA is the only licence in Asia for STP-only business. Brokers who have obtained this licence can only operate order matching business and are not allowed to be the counterparts of any order.