Mettis Global News
Mettis Global News
Mettis Global News
Mettis Global News

Trending :

SECP extends cutoff date for implementation of LC requirements on Securities Brokers till May 01

Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp

December 31, 2020 (MLN): The Security Exchange Commission of Pakistan (SECP) has given its approval to extend the cutoff date for phased implementation of a minimum threshold of Liquid Capital (LC) and relevant ratios till May 01, 2021.

According to the notice issued by the Authority, Trading Only (TO) brokers (which have not fully transferred custody) and Trading and Self Clearing Brokers (TSC) brokers will be required to maintain a minimum LC of Rs.5 million and Rs.10 million respectively by May 01, 2021. While Trading and Clearing Brokers (TC) will be required to uphold a minimum of Rs.50 million worth of LC.

Furthermore, Securities Brokers are advised to submit to the securities exchange and the clearinghouse the audited financial statements disclosing the LC or submit reviewed half-yearly LC statements, whichever is applicable, depending on the end of the financial year, from the cutoff date of June 30, 2021, onwards as per the regulatory requirements.

It further stated that Securities Brokers will continue to disclose the Net Capital Balance (NCB) in audited financial statements or submit half-yearly reviewed NCB statements, whichever is applicable, to the securities exchange and clearing house as per the regulatory requirements, for December 31, 2020.

Furthermore, Securities Brokers shall continue submission of monthly unaudited LC and NCB statements to the securities exchange and clearing house as per the existing practice and requirements, the notice said.

Copyright Mettis Link News

 

Posted on: 2020-12-31T17:33:00+05:00

38938