ISLAMABAD: Securities and Exchange Commission of Pakistan (SECP) has recommended to allow individuals to act as securities and future advisors in order to promote capital market.
The SECP on Tuesday proposed amendments in Securities and Futures Advisors (Licensing & Operations) Regulations, 2017 to propel the initiatives of the Commission for broadening investor base and enhancing outreach of capital market.
Through these amendments, the SECP has proposed to allow individuals to act as Securities and Futures Advisors and to act as distributor of units of mutual funds of multiple Asset Management Companies (AMCs).
This will enable creation of new distribution channels and increase financial inclusion in the country.
Moreover, to reduce regulatory burden on companies, the requirement of experience of CEO/or head of its advisory services, has been reduced to three years instead of existing requirement of five years.
This will encourage participation of young and qualified professionals in the capital market, meeting fit and proper criteria, to act as Securities & Futures advisors.