ISLAMABAD, February 12 (Mudasser Chudhary): The Securities and Exchange Commission of Pakistan (SECP) has simplifies the licensing regime for capital market intermediaries through amending the regulations regulating Underwriter, Bankers, and Securities and Futures advisors.
The new licensing regimes for will provide more conducive regulatory environment and encourage more participation of financial institutions in capital market.
The SECP, through amending the Public Offering (Regulated Securities Activities Licensing) Regulations, 2017 has removed all cumbersome licensing requirements for Banks to act as Underwriter and Bankers to an Issue. As per new regulations, Banks are only required to submit a simple application for the grant of license. The application will only annex an undertaking by the bank that it is compliant with all regulatory requirements. There is no other documentary requirement for grant and renewal of license.
Moreover, through amendments in Securities and Futures Advisers (Licensing and Operations) Regulations, 2017, the annual renewal of securities and futures advisors has been simplified for the companies and scheduled banks which are engaged in the services of advisory and distribution of mutual funds of multiple Assets Management Companies.
This easy licensing regime would contribute to reduce regulatory burden on capital markets intermediaries and provide them ease of doing business. The notifications are available on SECP’s website, www.secp.gov.pk.