Regulatory Alerts2018-01-01
Guidelines on Market Levies for 2018
The Securities and Exchange Commission issued these 2018 guidelines mandating fixed annual levies for market operators, transaction fees on share and bond trades, and a 0.003% depository charge. Market operators must pay their annual levies by the end of the first quarter, while transaction and depository fees are due within seven days after each month's close. The Commission enforces compliance through statutory powers and sanctions for non-payment, ensuring consistent funding for market regulation.
1 GUIDELINES ON MARKET LEVIES FOR 2018 ‘Ensuring Investor Protection’ THE SECURITIES AND EXCHANGE COMMISSION SEC/GUI/001/01/2018 1.0. Preamble These Guidelines are issued by the Securities and Exchange Commission (hereinafter referred to as “the Commission”) pursuant to section 15 of the Securities Industry Act, 2016 (Act 929) for the payment of market levies. 2.0. Applicability These guidelines shall be applicable to Fund Managers and other Market Operators for the financial year 2018. 3.0. Market Operators’ Levy Market Operators Levy (GHS)
GSE 20,000 Primary Dealers 15,000 Custodians 15,000 Trustees 10,000 Fund Managers 5,000
2 Broker Dealers 3,000 Investment Advisors 3,000 Registrars 3,000 3.1 Mode of payment The Market Operator shall pay the required levy by the end of the first quarter of the year either in full or in a maximum of three installments. 4.0 Transaction levy (1)The transaction levy shall be paid by the purchaser and seller of securities. (2)The transaction levy shall be charged on the purchase and sale as follows: (a)For shares, 0.15% of the total transaction value; (b) For Bonds, the regulators’ commission of 0.01% of the nominal value of the trade shall be apportioned as follows: (i) Ghana Fixed Income Market, 50/100 of the 0.01%; (ii) Central Securities Depository Ltd., 30/100 of the 0.01%; and (iii) Securities and Exchange Commission, 20/100 of the 0.01%. 4.1 Mode of payment The transaction levy shall be paid within seven (7) days after the end of the month in which the transaction was effected. 5.0 Depository levy. Securities in the depository shall attract a levy of 0.003% of the face value of the securities payable to the Commission.
3 6.0 Mode of payment The depository shall pay the required levy within seven (7) days after the end of the month in which the transaction was effected 6.1 Sanctions for non-payment i. The Commission shall exercise its powers exercise under section 209 (4) Securities Industry Act, 2016 (Act 929). Signed by Securities and Exchange Commission Date: 30th January, 2018