Bangkok, 21 December 2018 – SEC has revised its regulations regarding operation from third-party companies or outsourcing to help decrease the cost of operation of business operators and to provide more efficiency and liquidity in their operation. The regulations also provide quality protection for investors up to international standard. Effective from 16 November 2018.
SEC has revised regulations regarding outsourcing,
to provide more opportunities for business operators, such as, securities
business providers, asset management companies, and derivatives business
providers, to be able to operate their businesses with more liquidity and effectiveness. The regulations
also help business providers to dedicate their resources into excellent and
appropriate goods and service presentation, as a resolution to the issue of
investment and savings towards the investing public. The regulations also
emphasize on the significance of self-supervision for business providers.
SEC has revised such regulations for the
business providers to be able to mandate their operation to outsourcee with
proficient personnel and working system as business operators, but the
operation must also be reasonable and not resulting in a similar situation as
non-operation. The regulations aim to ease the flexibility of the operation of
business providers by reporting to SEC after outsourcing. Outsourcing does not
have a huge amount of service providers, resulting to a situation where
outsourcee cannot be employed immediately, and this might lead to an effect
regarding the capital market. Business providers must select SEC-approved
outsourcee and increase
the roles of business providers regarding self-supervision. Business providers
must regulate their outsourcing policies at least once a year, with appropriate
supervision and allocation of their necessary resources and personnel with
expertise for the most effective supervision of operation of outsourcee.
Additionally, business providers are also responsible for the operation of
their outsourcee.
SEC Deputy
Secretary-General Paralee Sukonthaman said: “This revision of regulations will
help build up the
strength for business providers, for them to manage their business with more
liquidity and efficiency, as well as to alleviate their burdens and costs in
related to their operation of their businesses, for the quickly ever-changing business
operation.”
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