Regulatory Alerts2014-01-01
Decision of the Chairman of the Authority No. (63) of 2014 on Licensing Conditions and Procedures for Market Maker Activity
The Egyptian Financial Supervisory Authority issued Decision No. 63 of 2014 to establish the licensing conditions and procedures for securities companies to operate as market makers under Article 27(b) of the Capital Market Law. The regulation mandates that licensed entities maintain over 50% ownership by supervised securities firms, allocate a minimum of ten million Egyptian pounds per traded security, and strictly segregate market maker operations with dedicated accounting records. Applicants must submit comprehensive documentation proving managerial competence, robust internal controls, and financial compliance, with the Authority empowered to revoke licenses within sixty days of application review if operational standards or market stability requirements are not met.