Financial Services and Banking Law

Malta is undoubtedly a successful financial centre of excellence – a reputable EU member State offering high regulatory standards combined with rigorous enforcement. The financial and fiscal incentives offered by Malta render it an attractive jurisdiction for financial and investment services providers and private investors alike. Malta has also attracted a number of funds and fund managers, credit institutions, insurance (including tied insurance intermediaries [TII]s, captive insurance and reinsurance) companies and most recently FINTECH companies.

Malta’s body of financial services laws include, among others:

• The Financial Institutions Act

• The Financial Markets Act

• The Investment Services Act

• The Banking Act

• The Insurance Business Act and Insurance Distribution Act

• The Securitisation Act

The regulator of the financial services sector in Malta is the Malta Financial Services Authority (MFSA) established in July 2002. An additional regulatory authority, the Malta Digital Innovation Authority (MDIA) was established in 2018 to monitor and regulate services such as blockchain and cryptocurrency.

Persons carrying out the following activities need a licence to operate:

• Credit Institutions

• Financial Institutions

• Payment Service Providers

• Electronic Money Institutions

• Insurance and Reinsurance Undertakings

• Insurance Intermediaries

• Investment Firms

• Collective Investment Schemes

• Trustees and other fiduciaries.

• Company Service Providers

• Retirement Scheme Administrators

Malta is a reputable domicile for financial services mainly due to two factors, namely EU membership and its serious regulatory framework.

Lexvirtualis™ can help you with the following services:

• Advice relating to debt financing, equity financing and mezzanine financing

• Funds and Collective Investment Schemes

• Asset securitisation

• Special Purpose Vehicles

• Trusts and Foundations

• Tax advice

• Representation with MFSA

• Drafting of necessary documentation

• Advice on establishing and licensing of financial institutions referred to above

• The entire licensing and authorisation process - business model and strategy proposal, fitness and properness assessment, due diligence

• Post-licensing compliance

• Passporting of rights within the EU

• Anti-money Laundering and CFT

• Private wealth management