Capital Markets

Labuan IBFC is committed to developing its capital market in line with internationally-recognised standards and best practices. To foster investors’ confidence, Labuan IBFC subscribes to the International Organisation of Securities Commissions’ (IOSCO) core principles of securities regulation.

In addition, Labuan IBFC’s legal and regulatory framework provides a sound business environment with adequate protection and stability for the industry.

The capital market industry in Labuan IBFC is further boosted by the presence of the Labuan International Financial Exchange (LFX), which was established as a cost-effective and practical alternative to existing exchanges in the region. Wholly owned by Bursa Malaysia, LFX plays a complementary role with respect to its parent company, in attracting international investors to the country.

Investors may establish mutual funds or issue securities out of Labuan IBFC as a platform to raise funding in the international market. The jurisdiction also offers fund management licence for entities that are interested to provide management, administrative and advisory services for the purposes of investment related activities.

In addition, securities licences are also available for companies that would like to deal in securities and provide securities advice and administration services for investment purposes.