The Securities and Exchange Commission of Cambodia (SECC) has set a minimum capital requirement for securities firms, in order to protect their financial soundness.
A statement from the SECC, released yesterday, said that securities underwriters are required to hold a minimum of 40 billion riel of their shareholder’s equities, and to keep on deposit guarantee money of at least 4 billion riel.
This would be 25 billion riels for smaller securities dealers, as well as keeping a deposit of 2.5 billion riel, and 6 billion riel for securities brokers with 1 billion riel of guaranteed deposit at any time.
It also requires securities firms to maintain a net capital ratio not lower than 150 per cent and required them to report on the status of the net capital of their company.
To contact the reporter on this story: May Kunmakara at [email protected]