Islamabad: The National Assembly’s Standing Committee on Finance, Revenue and Economics Affairs recently expressed reservations regarding the introduction and implementation of the government’s new stockbrokers’ regime, a news source reported.
The decision was taken during a meeting on January 31, 2020. Securities and Exchange Commission of Pakistan’s (SECP) Chairman, Director Pakistan Stock Exchange (PSX) and Chairman SECP Policy Board and other stakeholders were also present during the session. The committee asked the SECP to ensure transparency and consult with the brokers about the issues in the new broker regime.
The committee has expressed concerns that the new regime
will result in a monopoly of the big brokers. The new regime is based on the
categorisation of brokers into three categories – Trading & Clearing
(T&C), Trading & Self-Clearing (TSC), and Trading Only (TO). The
T&C and TSC categories permit brokers to keep custody of client assets.
