Regulatory Alerts2019-11-18
Securities Central Counterparties Regulations
The Capital Market Authority of Saudi Arabia issued these regulations to authorize and regulate securities clearing activities through Central Counterparties (CCPs). The framework mandates strict authorization criteria, including a minimum SAR 100 million in liquid net assets, fit-and-proper governance, and continuous compliance with international financial market infrastructure principles. It further requires CCPs to implement comprehensive risk management protocols covering capital buffers, margin and collateral valuation, liquidity stress testing, settlement finality, and structured default procedures to maintain systemic stability.
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