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 General Rating
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
1:50 $1 Review
NSFX
Malta
2011
BaFin 131055
CNMV (Spain), 3354
CONSOB (Italy), 3597
FSA (Denmark), 9221
MFSA, IS/56519
ESMA
1:50 $300 Review
FXDD
Malta
2002
FSC (Mauritius) C117017252
MFSA, IS/48817
1:30 $250 Review
Binary.com
Japan
1999
FSA (Japan) 2949
MFSA, IS/70156
The Financial Commission, 08.06.2020
1:1000 $1 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


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.



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