Bangkok, 26 November 2020 – The Securities and Exchange Commission (SEC) is seeking public comments on the proposed regulations to exempt certain rules issued by subsidiaries of the Stock Exchange of Thailand (SET), which provide services in capital market, from requirement to obtain approval from the Capital Market Supervisory Board (CMSB) before their rules can come into force. Subsidiaries of SET which will benefit from this exemption are those that operate futures exchange, derivatives clearing house, securities clearing house and securities depository. The exemption would render the service providers more flexibility in their operations while their obligations to maintain the goals of investor protection, ensuring fair, efficient and transparent capital market, avoiding anti-competition practices, and reducing overall systemic risk, must remain in place.
Under the proposed regulations, in order to be qualified for exemption, the futures exchange, derivatives clearing house, securities clearing house and securities depository shall submit its rule to the SEC Office at least 10 working days before the intended effective date of such rule, along with a brief report on comments from the stakeholders (if any). The types of rule that can rely on this exemption are as follows:
(1) Rules that carry the material context similar to that stated in the Securities and Exchange Act B.E. 2535 or the Derivatives Act B.E. 2546 or the regulations prescribed thereunder by SEC Board, CMSB or SEC Office; or
(2) Rules that get insignificant revision while maintaining the original essence such as reclassification of subject matter or correcting minor error occurred during the drafting.
The consultation paper is available at https://www.sec.or.th/TH/Pages/PB_Detail.aspx?SECID=676. Stakeholders and interested parties are welcome to send comments or suggestions to www.sec.or.th or e-mail: sarochac@sec.or.th or sarochat@sec.or.th. The public hearing will end on 11 December 2020.
______________________