Supervision of conduct of business : ensuring a fair deal for clients in Europe’s smallest member state

Abstract

The Malta Financial Services Authority (MFSA) prioritizes promoting market integrity and consumer protection, particularly for retail clients. To prevent misconduct by financial service providers, the MFSA employs stringent regulatory requirements and effective supervision using robust tools. Financial conduct supervision, crucial for maintaining market fairness, is a key MFSA priority. This article highlights the importance of the MFSA’s specialised conduct supervision function in enhancing consumer protection and supervisory focus. The discussion includes the authorisation process for licensing financial entities in Malta, the MFSA’s supervisory approach, and the tools used to enforce consumer protection regulations, concluding with reflections on the overall strategy.