SEC freezes issuance of new licenses for Fund Managers

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 October 1, 2019.

A statement issued on Tuesday by SEC said, “The SEC shall, however, continue to review applications for renewals for existing Fund Management Licencees and new market products.”

The move according to SEC is to enable it to focus on the following:

• 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

• A resolution of the current challenges facing the securities industry and the capital market

• The Introduction of new products in the capital market to deepen the existing market and to provide more investment options for investors and the general public

• A thorough overhaul of the Commission’s activities

“The Commission wishes to assure all market operators, investors and the general public that it is 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,” the statement added.