Regulatory Alerts2020-01-01
Guidelines to the Securities (Prudential) Regulations, 2014 (Part I)
The Financial Services Commission of Jamaica issued these guidelines to clarify the implementation of the Securities (Prudential) Regulations, 2014, specifically regarding capital adequacy, leverage, liquidity, and stress testing. The document mandates that licensees maintain a minimum capital adequacy ratio of 10% and a leverage ratio of 6%, while requiring robust liquidity management strategies and comprehensive stress testing frameworks. These measures aim to strengthen prudential supervision by defining specific computation methods for risk-weighted assets and establishing expectations for board oversight and contingency planning.
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