Is Exness Regulated in Malaysia? Is it Legit? - TU Expert review
A license is crucial for a broker, providing the legal framework for its operations and confirming compliance with established financial oversight regulations in each country. In light of this, many traders in Malaysia wonder, “Is Exness operating legally in Malaysia? Is it legitimate?”
TU experts have investigated all aspects of Exness operations and are prepared to answer questions regarding the broker's regulation and legality of operation in Malaysia.
Short summary about the broker Exness
Exness is one of the world’s largest brokers, known for its competitive trading conditions, high security, and wide selection of assets. The company serves over 700,000 active clients and processes a monthly volume exceeding $4 trillion.
While specializing in currency pairs, Exness also offers CFDs on stocks, commodities, indices, and cryptocurrencies. The broker caters to all experience levels with various account types – from cent accounts and social trading for beginners to high leverage and Expert Advisor support for seasoned professionals.
Exness holds multiple international licenses, including the stringent FCA and CySEC, ensuring trader funds are protected.
With features like 24/7 support, fast withdrawals, and analytics tools, Exness strives to provide an optimal trading experience.
| 💰 Account currency: | EUR, USD, GBP, CAD, AUD, and CHF for all account types; 38 more currencies for non-cent account types |
| 🚀 Minimum deposit: | $10 |
| ⚖️ Leverage: | 1:unlimited for retail clients |
| 💱 Spread: | Standard: from 0.3-1 pips subject to the account type; Professional: from 0-0.1 pips subject to the account type |
| 🔧 Instruments: | Forex CFDs on: cryptos, commodities, indices, and stocks |
| 💹 Margin Call / Stop Out: | Standard: 0%/60% Professional: 0%/30% |
Pros and cons of Exness
👍 Advantages of trading with Exness:
•Availability of 8 licenses and a membership in the Financial Commission with its own compensation fund to insure traders against losses;
•Wide choice of account types — Standard, Pro, Cent, Swap Free, and Demo;
•Wide range of CFDs, including over 100 currency pairs;
•Zero deposit and withdrawal fees;
•Proprietary platforms for active and social trading, as well as all versions of classic MT4 and MT5.
👎 Disadvantages of Exness:
•The broker’s website offers almost no educational materials;
•24/7 support isn’t available in all languages.
Why is it important for a broker to have the license in Malaysia?
A financial license is the key document for any broker. It confirms that the company complies with the requirements of the financial regulator and observes the law. It is important for traders to choose a broker registered their jurisdiction for the following reasons:
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Any claim is filed at the place of the broker’s registration. Accordingly, in case any dispute arises, it will be easier for the trader to file a claim.
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A license issued in Malaysia guarantees that the broker operates in compliance with the laws of this country and reports to the local regulatory authorities.
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Traders can claim compensation under the government programs of deposit guarantees in case the broker experiences financial problems.
It is also possible to choose a broker that is not regulated in Malaysia. In that case, however, the company must have a license from a reliable regulator, for example of an EU country, the UK, USA, Australia, etc.
Is Exness regulated in Malaysia? Broker’s license
Security (Protection for Investors)
The Exness Group includes 8 companies that are licensed in their respective countries of registration. The most reputable regulators of the broker are FCA and CySEC. However, subdivisions licensed by these regulators don’t provide their services to retail traders and private investors. Also, Exness is regulated by BVI FSC, FSCA, FSA (Seychelles), and FSC (Mauritius). Also, the broker is licensed by CMA and CBCS.
Since July 2021, Exness has been a member of the Financial Commission that protects traders in case of insolvency of the servicing broker. Therefore, if Exness goes bankrupt, each client can receive compensation of up to €20,000.
👍 Advantages
- Client deposits are segregated from the company’s capital
- Multi-regulation allows the broker to work with traders from different regions
- All regulatory licenses are valid, which means that regulators are satisfied with the broker’s activities
👎 Disadvantages
- FCA and CySEC licensed offices provide their services only to institutional B2B clients
Read more in Exness reviews from clients in Malaysia
Brokerage fees
Exness charges only trading fees. These are spreads on Standard and Pro accounts and spreads + fees per lot on Raw Spread and Zero accounts. The company doesn’t withhold non-trading fees.
| Account type | Spread (minimum value) | Withdrawal commission |
| Standard Cent | $0.3 | No |
| Standard | $3 | No |
| Standard Plus | $10 | No |
| Raw Spread | $0 | No |
| Zero | $0 | No |
| Pro | $1 | No |
Brokers that are similar to Exness
In addition to Exness, also other brokers from this jurisdiction have the license of Malaysia. Exness has many competitors, and before you start working with this broker, you need to compare it to other companies. TU analysts have prepared a comparison of brokers that operate in the Malaysia market and have a license of this or another reliable jurisdiction.
Comparison of Exness with other Brokers
| Exness | RoboForex | Pocket Option | Eightcap | Octa | XM Group | |
|---|---|---|---|---|---|---|
Trading platform |
Exness Trade App (mobile), Exness Terminal (web), MetaTrader5, MetaTrader4 |
MT4, MT5, R MobileTrader, R StocksTrader, R WebTrader |
Pocket Option, MT5, MT4 |
MT4, MT5 |
MetaTrader4, MetaTrader5 |
MT4, MT5, MobileTrading, XM App |
Min deposit |
$10 |
$10 |
$5 |
$100 |
$25 |
$5 |
Leverage |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:30 |
From 1:1 |
From 1:1 |
Trust management |
No |
No |
No |
No |
No |
No |
Accrual of % on the balance |
No |
No |
No |
No |
No |
No |
Spread |
From 1 point |
From 0 points |
From 1.2 point |
From 0 points |
From 0.6 points |
From 0.6 points |
Level of margin call / stop out |
No |
No |
No |
No |
No |
No |
Execution of orders |
Market Execution, Instant Execution |
Market Execution, Instant Execution |
Market Execution |
Market Execution |
Market Execution |
Market Execution |
No deposit bonus |
No |
No |
No |
No |
No |
No |
Cent accounts |
No |
Yes |
No |
No |
No |
Yes |
Is it safe to trade with Exness in Malaysia?
Exness is quite popular in Malaysia. The broker does not have a license of the local financial regulatory authority, but it is regulated in a reliable jurisdiction. Therefore, this company can be trusted. The trading conditions of Exness are rather beneficial compared to competitors. Accordingly, trading with this company is a good decision.
FAQ
How do I check a broker’s license?
Brokers should provide their license on their official website. It is also recommended to check it on the official website of the financial regulatory authority.
Does a broker need to have an official representative office in Malaysia?
Yes. According to the rules of Malaysia, brokers must have an office in Malaysia. This is a mandatory condition for obtaining the license.
Can the license issued by Malaysia be considered reliable protection against fraud?
Yes. The rules of the financial regulator of Malaysia are very strict, which makes obtaining a license in this jurisdiction extremely difficult for scammers.
What kind of information should a broker provide for traders?
On their official websites, brokers must provide the name of the managing company, r egistration certificate, legal address and internal regulatory documents.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.