CmaBoardReleases
Title: Press Release Regarding Amending Some Provisions Related to Registered Persons in Securities Activities
Kuwait, March 7, 2021 - As part of the Capital Markets Authority’s (CMA) continuous efforts in developing the rules regulating securities activities and its keenness to keep pace with the latest developments of the financial markets and the internationally recognized standards of securities activities, the CMA has issued on Sunday, March 7, 2021 Resolution No. (23) of 2021 regarding amending some provisions of Module One (Glossary) and Module Five (Securities Activities and Registered Persons) of the Executive Bylaws of Law No. (7) of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and their Amendments..
This amendment is a result of studies made by the CMA within the initiatives and changes it is executing through which it aims for further development and upgrade in the financial markets. It studied the proposals and notices provided by the financial institutions and the concerned bodies and analyzed the current situation and the international standards applied by the foreign entities and the other local supervising entities. The CMA decided to implement some amendments that shall develop fairness and competitiveness in the financial markets and keep pace with the latest standards that are approved internationally. The main points of the Resolution may be summarized as follows:
• Amending the registered positions and employment positions of Chapter Three (Registered Persons) of Module Five (Securities Activities and Registered Persons) and the corresponding amendments of the appendices of this Module, which included some conditions related to the academic and professional qualifications and experience required in the registered positions and employment positions at the licensed persons.
• Amending the registered employment positions, especially the positions related to the entity authorized to manage the investment portfolios and the collective investment schemes that included a larger scope to meet the requirements of the mentioned positions.
• Adding new fields that aim to expand the requirements of the registered positions at the licensed person.
• Adding new activities related to the core activities of the institution which aim to create a work environment in accordance with the international principles and standards of the financial markets.
• Expanding the subordination of the middle management positions of the financial and banking institutions.
• Updating the services related to licensing and registration of the registered persons that are offered through CMA electronic portal.
These amendments are part of CMA’s efforts to create a work environment that permits the persons of efficiency and integrity to occupy the registered positions or employment positions at the registered persons to advance in the financial markets.
Finally, it is worth noting that the licensed persons shall comply with Resolution No. (23) of 2021 starting from the date of its issuance.
Ends-
Notes to Editors:
The Capital Markets Authority was established pursuant to Law No. 7/2010, approved by the Kuwaiti Parliament in February 2010. Pursuant to the Law, the CMA shall regulate and supervise the securities activities, achieve transparency and fairness, observe listed companies’ execution of Corporate Governance regulations, and protect investors from unfair practices which violate the CMA's Law.
Furthermore, the Law's provisions stipulate the supervision of mergers, acquisitions, and disclosure operations. The CMA also aims to provide awareness programs related to securities activities.
For further information, please contact:
Public Relations & Media Office
Tel: 22903062
Fax: 22903505
Email: pr-media@cma.gov.kw