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Rules of work in stock market has been completely rewritten by the national Commission

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Officials have drafted rules under the new legislation

In Ukraine changed the rules of the stock market. At the end of last week they have corrected the national Commission on securities and stock market approved two new regulations: the functioning of the stock exchanges and the registration of changes with the rules of the stock exchange, the report said the securities Commission.

The documents were developed pursuant to two new laws. The communication controller identifies the key innovations of the new rules:

  • stock exchange shall be obliged in writing to notify issuers of listed securities in the exchange list, in the case that the initiator of such making is not the Issuer;
  • issuers, whose securities are included in an exchange list, are obliged to inform the stock exchange the date of publication on its website the schedule of their disclosures (including placement in a public information database of the securities Commission on its website or through the information agent regulated information and other information that must disclose in accordance with the legislation);
  • stock exchanges are required to verify the publication by the issuers whose securities are admitted to trading on such stock exchange, the calendar of the disclosure schedule;
  • stock exchange are required to analyze the data posted by issuers in the public information database of the NCSSM. In particular, the following requirements: the preparation of financial statements in accordance with IFRS, creation of accounting service headed by chief accountant and consisting of not less than two persons (except for collective investment institutions and pension funds), and the like;
  • stock exchange shall exclude from the exchange list of the Issuer, if he did not disclose on its website the schedule of disclosure information by January 31 of each year;
  • in the bond list of the stock exchange cannot be turned on and remain there the Issuer: private joint stock company, the number of shareholders which does not exceed 100 people, and the Charter which provide for the preemptive right of its shareholders to purchase shares proposed by the owner for sale to a third party.
  • “From now on, will be introduced only one level of listing, and requirements on entering and staying of the securities listing will meet the requirements that previously applied to the second level. All issuers whose securities are included in bond registry as of 1 January 2019, must have a valid prospectus for securities, that is, responding to the new requirements of the legislation and is registered with the securities Commission”, — is spoken in the message of the national Commission.

    Stock exchanges will have to enter in the course of their issuers that they already this year have been able to move to a new procedure.

    Also, the regulator has listed the main innovations in the derivatives segment as part of the justification, which must now contain:

    • description of the underlying asset, the reliability, quality and availability of data sources on the basis of which the strike price of the contract;
    • analysis of the dynamics of underlying asset price for the previous 1-3 years (if available);
    • assessment of compliance of the financial instrument to the needs of market and customers;
    • information about software and hardware that will be used in the conclusion and execution of derivatives, or information on planned activities and timing of the development or acquisition of software and technical means.

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