An Adventurer's Tale
Instead of blending in and hiding, Halflings in Malor immerse themselves in trade. Halflings form themselves into clans and out of the great cities they run large trade caravans. Plying the roads between the nations and even the Free lands the Halflings love the sense of freedom and adventure life on the road brings. As they age they work their way up the hierarchy, becoming wagon leads, then Caravan master, eventually winding up at one of the grand mansions in the cities running large swatches of each clans operations.
If a Halfling finds a town or city they particularly like they may settle down with an already established clan outpost or quite possibly start a new one of their own. These outposts report back to the main clan enclaves in the cities and give status updates as to what trade goods are coming out of an area, if there are any threats to the caravans, and the political leanings of the area. If unfavorable the outpost may be authorized to try to bribe their standings higher with the local officiants.
Halfings and gnomes share a bond. Both love the open road and the wide open. Halflings see great value in having their gnomish companions in tow on the caravans. Between keeping food cold, weaving enchantments during times of hardship and combat, and their general light heartedness, gnomes bring a lot to the halfling caravan.