Labuan IBFC’s capital market ecosystem consists of fund managers, fund administrators, custodians, and securities licensees, creating a hub for international investments. Investors can establish mutual funds or issue securities through Labuan IBFC as a platform for raising global funds.
Labuan's financial market offers both private funds and public funds, with flexible structures, including Shariah-compliant options. Listing on the Labuan International Financial Exchange (LFX) offers swift approval and tax benefits, such as a 3% tax on net profits for fund management activities.
💡See Also👉 Labuan Private Funds
What is a mutual fund? A mutual fund is a collective investment vehicle pooling funds for diversified investment with returns based on the value of its assets.
What is a private fund? A private fund restricts investor numbers and requires substantial initial investments, making it unavailable to the general public.
What is a public fund? A public fund is open to the general public and offers easier access to investment opportunities.
What is a fund management company? A company offering management and investment services for securities, ensuring professional fund operation.
What is a fund administrator? A professional providing administrative and accounting services for mutual funds.
Who may provide fund management services in Labuan? Licensed fund managers from recognized jurisdictions or authorized individuals approved by Labuan FSA.
What is a securities licensee? A licensed entity providing investment advice and services related to securities.
Can a protected cell company conduct mutual fund business? Yes, a Labuan Protected Cell Company (PCC) can manage mutual funds using conventional or Islamic principles.
What is the Labuan International Financial Exchange (LFX)? The LFX is a fully-fledged exchange in Labuan, facilitating the listing and trading of financial instruments.
What are the benefits of listing on LFX? Quick approval processes (within two business days) for complete and accurate documentation.
How is fund management taxed in Labuan? Fund managers are taxed at 3% of their audited net profits.
What are the tax implications for profit distribution by a Labuan fund management company? Dividends distributed by these companies are tax-exempt.
Labuan’s capital market offers a comprehensive platform for raising global funds through flexible structures. Whether you're considering setting up a fund or issuing securities, Labuan is an attractive jurisdiction with favorable tax and regulatory conditions.
Contact DingerCo today for expert guidance and support in applying for and managing your capital market related licenses.
💡See Also👉 Labuan ESR, Labuan Recruitment Services, Labuan Payroll Services & Labuan Office Setup