KARACHI: The representatives of PSX Stock Brokers Association (PSA) on Tuesday met with the management of the Securities and Exchange Commission of Pakistan to discuss the implementation of the new broker regime through amendments in the Securities Brokers (Licensing and Operations) Regulations, 2016.
During the meeting, both parties came to an agreement regarding the minimum net worth
requirement for the Trading and Self Clearing (TSC) category, whereby the requirement is to be increased to Rs50 million on September 20, 2020, followed by Rs60 million by September 31, 2021, and Rs75 million on September 31, 2022.
In addition, the meeting resulted in the removal of the condition for an independent director and audit committee for TSC category brokers. Moreover, the assets under custody limit are to be set at 15 times of net worth for TSC brokers that do not have broker fiduciary rating.
This, however, is exclusive of custody or proprietary books, directors, and close relatives.