SEC directs maintaining minimum shareholder’s fund requirement

Sri Lanka’s Securities and ExchangeCommission has directed all licensed stockbrokers or stock dealer firms tradingin equityor debt securities to maintain a minimum shareholder’s fund requirement of Rs 100 million or 50 % of the firms stated capital whichever is higher.

The licensed stockbrokers or stock dealers who are also primary dealers regulated by the Central Bank of Sri Lanka (CBSL) are exempted from the application of this directive.

The rule will come into effect from March 15, 2017.