MFSA Regulated Forex Brokers
The Malta Financial Services Authority (MFSA) is an autonomous financial regulator of Malta since 2002. The MFSA supervises the financial behavior of all the licensed Forex Brokerage Firms, Credit institutions, Insurance and Pension Companies, Financial Advisors, Banks, Stock Exchange, and all the related firms that play a role in the entire Maltese Market.
The MFSA cooperates with several international organizations for conformity of the provisions and regulations, like the OECD, the European Union, the Commonwealth, the International Organization of Securities Commissions (IOSCO), and the International Association of Insurance Supervisors (IAIS).
| Broker | Regulation | Max Leverage | Min Deposit | |
|---|---|---|---|---|
| OANDA British Virgin Islands 1995 | CFTC/NFA 0325821 FCA (UK), 54257 FSA (Japan), 1571 FSC (BVI), SIBA/L/20/1130 Kanto Local Finance Bureau (Japan), 2137 MFSA, 18.12.2020 | 1:200 | $1 | Review |
| FXDD Malta 2002 | FSC (Mauritius) C117017252 MFSA, IS/48817 | 1:30 | $250 | Review |
| FXGlobe Cyprus 2008 |
BaFin, 136044 CNMV (Spain) 3628 CONSOB (Italy), 4071 CySEC, 205/13 MFSA, FLTD7 ESMA | 1:500 | $250 | Review |
| Deriv Malaysia 1999 |
FSA (Labuan), MB/18/0024 FSC (BVI), SIBA/L/18/1114 MFSA C70156 The Financial Commission, 08.06.2020 Vanuatu Financial Services Commission, 14556 | 1:1000 | $5 | Review |
| Binary.com Japan 1999 | FSA (Japan) 2949 MFSA, IS/70156 The Financial Commission, 08.06.2020 | 1:1000 | $1 | Review |
| NSFX Malta 2011 | BaFin 131055 CNMV (Spain), 3354 CONSOB (Italy), 3597 FSA (Denmark), 9221 MFSA, IS/56519 ESMA | 1:50 | $300 | Review |
FAQ
What does MFSA regulated mean?
Being regulated by MFSA (Malta Financial Services Authority) means operating under the standards of a Maltese financial regulator. The MFSA is an independent institution that reports directly to the Malta Parliament. It was first introduced in 1988 and later underwent some major changes in 1994, 2002, and 2014.
What are MFSA rules?
Since MFSA comes directly under the MiFID deirectives, all forex brokers authorized by the agency are able to operate in the entire EU and offer their services to investors from across Europe. Apart from that, MFSA also took over the regulatory responsibilities of the Central Bank of Malta to watch over the performance of various financial firms.
MFSA regulated brokers are required to hold an operating capital of at least €730,000. They are also expected to periodically submit detailed reports of audit for all financial transactions. Experts and professional employees are needed to ensure that the company's shareholders consist of those with previous experience in the forex markets.
In addition, brokers are required to have an independent chairman who has expertise in the market to have the needed authority over other shareholders so they can't indulge in financial malpractices. Forex brokers in Malta are prohibited to act as market makers; all client transactions should be delivered to the interbank exchange through approved liquidity providers. Last but not least, brokers under the MFSA are only allowed to partner with entities authorized by the agency.
What is the main purpose of MFSA?
- To regulate and supervise Maltese financial services industry.
- To manage Malta's registry of companies.
- To issue licenses subject to an initial assessment.
- To inspect licensed institutions on a regular basis to ensure compliance with recent regulations.
- To protect clients' and investors' interests.
- To keep investors informed with local and global developments in the financial industry.
- To encourage financial companies to provide a service of the highest possible standard.
- To work on initiatives that will improve the standard of education and training for those involved in the financial services industry.
- To improve existing legislation and create new legislation should it become necessary.
- To issue guidlines and directives to the financial services industry.
- To communicate with national and international organisations in regard with the financial industry.
What are the powers of MFSA?
MFSA has the right to inspect regulated companies to ensure their compliance with all the guidelines in the financial markets. Despite being recognized for its liberal approach in supervising financial firms, MFSA has worked with all parties to ensure a good and sustainable financial system. They are not keen on imposing penalties and sanctions for lack of compliance, but severe and repeated financial violations may prompt the MFSA to act accordingly.
If you are interested to open an account in one of the brokers in the list above, make sure to try the forex demo account before proceeding to register in the live account.
