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CMA LAW: Circular No. (12) of 2022 Regarding Dealing with the Clients of the Licensed Persons
Date Publish
25 September 2022
"Circular to All Licensed Persons"
Chairman of the Board of Directors
Greetings,
As part of the objectives of the Capital Markets Authority (CMA), aiming to “Ensure compliance with the rules and regulations related to securities activities”, and the Board of Commissioners competencies which stipulates “Providing suitable systems to protect traders and working to reduce inappropriate, illegal and unfair practices in securities activities.” And within the framework of ensuring licensed persons compliance, when dealing with their clients, with the provisions of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and their amendments, in accordance with the regulatory and legal requirements related to knowing the client.
The CMA would like to draw the attention of the licensed persons when dealing with their clients, to take all necessary steps to acquire correct and complete information about the client, including “The client’s nationality, and legal residence in the State of Kuwait for residents”, as it was noticed that some licensed persons deal with their clients without meeting those requirements.
Accordingly, all licensed persons shall comply with all regulatory and legal requirements related to knowing the client (before and during trades) and take all necessary measures to regularize their position in accordance with the provisions of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and their amendments.
We hope that all will adhere to the instructions mentioned in this circular.
Prof. Ahmad Almelhem
Issued on: 25/09/2022
Disclaimer: The information provided on this page is for reference purposes only, visitors are encouraged to review and understand the information provided in the official scanned document attached in the link above (if available). The CMA endeavors to ensure that the information on this page is complete and accurate, but the CMA does not guarantee the quality, accuracy, or completeness of any content at any time. In the event the information on this page is different from the content in the official scanned document attached in the link (if available), the official scanned document attached shall take precedence.
