The Securities and Exchange Commission (SEC) says it has placed a moratorium on the issuing of new fund management licences for a period of six months effective 1st October, 2019.
According to the commission, this will enable it focus on a thorough review of the current licensing regime, for a stronger and a more efficient and resilient market and the introduction of new licensing guidelines and directives; as well as take a resolution of the current challenges facing the securities industry and the capital market.
The exercise is also to engender the introduction of new products in the capital market to deepen the existing market and provide more investment options for investors and the general public; while effecting a thorough overhaul of the commission’s activities.
“The SEC shall however continue to review applications for renewals for existing Fund Management Licencees and new market products.”
The commission also assured all market operators, investors and the general public that it was committed to ensuring rigorous enforcement of all the rules for operators in the capital market, in order to promote the growth and development of an efficient, fair and transparent securities market in which investors and the integrity of the market are protected.