Regulatory Alerts2024-01-01
Securities (Advertisement) (Amendment) Regulations 2024
The Seychelles Minister of Finance, on the Securities Authority’s recommendation, amended the 2007 Advertisement Regulations to mandate specific risk disclosures for securities advertisements. Dealers must prominently display warnings regarding price volatility, potential losses exceeding profits or deposits, and instrument complexity using bold plain text within defined borders that remain fixed at the top of web or mobile screens. Existing licensees are granted an eighteen-month compliance window following the regulations' commencement on 31 December 2024.
Securities Act st [31 December 2024] 690 REPUBLIC OF SEYCHELLES SUPPLEMENT TO OFFICIAL GAZETTE SI S.I. 118 of 2024 SECURITIES ACT Securities (Advertisement) (Amendment) Regulations, 2024 In exercise of the powers conferred by section 133(1)(i) of the Securities Act, the Minister responsible for finance, on recommendation of the Securities Authority, hereby makes the following regulations — Citation
- These regulations may be cited as the Securities (Advertisement) (Amendment) Regulations, 2024. Amendment of Schedule
- The Schedule to the Securities (Advertisement) Regulations, 2007, is amended — (i) by inserting after paragraph 7(5) the following paragraph — “(6) A securities advertisement placed by a securities dealer shall contain a risk warning pertaining to — (a) the possibility of price fluctuations that may render securities valueless; (b) the likelihood of the investor incurring losses exceeding the potential for profits when engaging in the buying and selling of securities; (c) the possibility of incurring unlimited losses that are greater than the amount deposited with a licensee or investor's broker; (d) the fact that securities, futures, options and contracts for differences are complex financial instruments that require knowledge and understanding;
(7) The risk warnings under paragraph (6) must — (a) be displayed in a conspicuous and prominent manner; (b) be enclosed within defined borders and written in bold and plain font; (c) if occurring on a website or via a mobile application, be statistically fixed and visible at the top of the screen regardless the scrolling direction through the page; and (d) if occurring on a website, be included on each linked webpage on the website. Transitional provision 3. A person licensed before the commencement of these Regulations, shall, within eighteen months of such commencement comply with the provisions of this amended Regulations. MADE this day of December, 2024. NAADIR HASSAN MINISTER OF FINANCE, NATIONAL PLANNING AND TRADE ——————— th 30 Securities Act st [31 December 2024] 691 REPUBLIC OF SEYCHELLES SUPPLEMENT TO OFFICIAL GAZETTE SI