Bangladesh Securities and Exchange Commission (Investor Education and Training) Rules, 2016 (Updated until November 06, 2025)

Registered No. D A -1
Bangladesh Gazette
Extraordinary
Published by Authority
Monday, December 26, 2016

[ Notifications and Notices issued to Private Persons and Corporations by Authority ]

Bangladesh Securities and Exchange Commission

Notification
November 22, 2016

No.-BSEC/CMRRCD/2016-351/194/Admin/74. - In exercise of the powers conferred by Section 24(1) of the Bangladesh Securities and Exchange Commission Act, 1993 (Act No. 15 of 1993), the Bangladesh Securities and Exchange Commission, with previous approval, hereby makes the following rules, namely:

Chapter I

Preliminary

1. Short Title. - These rules shall be called the Bangladesh Securities and Exchange Commission (Investor Education and Training) Rules, 2016.

2. Definitions. - (1) Unless the context or subject matter otherwise requires, in these rules;

(a) "Act" means the Bangladesh Securities and Exchange Commission Act, 1993 (Act No. 15 of 1993);

(b) "Academy" means the academic institution formed under Rule 12;

(c) "Commission" means the Bangladesh Securities and Exchange Commission established under Section 3 of the Bangladesh Securities and Exchange Commission Act, 1993;

(d) "Department" means the "Financial Literacy Department" of the Commission;

(e) "Board" means the 'Board of Governors' formed under Rule 13; and

(f) "Program" means investor education and training or various types of activities undertaken for this purpose as defined by the Commission or the Academy under these rules.

(2) Words or expressions (defined terms) not defined in these rules shall have the meanings assigned to them in the Securities and Exchange Commission Act, 1993 (Act No. 15 of 1993), the Depositories Act, 1999, the Exchanges Demutualization Act, 2013, and any rules or regulations made thereunder, where such words or expressions are used.

Chapter II

Investor Education and Training

3. Investor Education and Training Programs. - The Commission may undertake various programs of the following durations to increase the knowledge of existing and potential investors, capital market-related persons, and the general public regarding financial matters, namely:

(a) Short-term (one year or less);
(b) Medium-term (more than one year up to three years); and (c) Long-term (more than three years).

4. Investor Education and Training Process. - To promote investor education nationwide, the following programs shall be undertaken through various means, namely:

(a) Non-formal Education. - (i) For the implementation of non-formal education, the Academy and the Department shall jointly undertake distance education and non-formal education programs; (ii) For the purpose of sub-rule (i), the Academy and the Department shall jointly develop subject-based curricula, conduct evaluations, and manage examination programs; (iii) The Academy and the Department shall jointly take necessary measures for teaching and examination methods through online and website platforms; (iv) For this purpose, the Academy and the Department shall jointly use electronic and other media and arrange for the subject matter of investor education to be presented through dramas, advertisements, documentaries, cartoons, quizzes, debates, general knowledge competitions, etc., and arrange for the organization of such events and their promotion through electronic media.

(b) Formal Education. - (i) For the implementation of formal education, the Academy and the Department shall jointly take necessary measures to include investor education curricula in the education or training syllabi of secondary, higher secondary, university, and other institutions; (ii) For the purpose of sub-rule (i), the Commission shall form one or more committees comprising relevant persons or institutions by order;

(c) Education through other means specified by Commission Order. - The Academy and the Department shall jointly arrange for the expansion of education through other means such as road shows, seminars, workshops, etc., in accordance with the Commission's order.

5. Program Management. - (1) For the management of programs, the Commission may appoint one or more program managers.

(2) For the management of any program, the Commission may form one or more committees comprising relevant persons or institutions.

(3) The relevant department of the Commission shall supervise the programs and committees related thereto.

(4) The Commission shall determine the jurisdiction and powers of the programs and committees by order.

6. Training of Trainers. - (1) The Academy shall take measures from time to time to provide training to trainers of training programs related to investment.

(2) Any trainer may manage programs on their own initiative with the approval of the Commission or the Academy, and on behalf of the Commission or the Academy.

(3) The qualifications of trainers shall be determined by order of the Commission.

(4) Trainers must be certified or experienced from the Commission, the Academy, or any institution approved by the Commission.

7. Management of Investor Education and Training Programs by the Commission. - To fulfill the purpose of these rules, the Commission shall determine the procedures and guidelines for investor education and training by order from time to time.

8. Partnerships by the Commission. - (1) The Commission shall establish initial partnerships to expand investor education nationwide.

(2) A head for this purpose shall be created in the Commission's budget, and necessary allocations shall be maintained regularly in this head.

(3) The funds allocated in the head mentioned in sub-rule (2) shall be spent by the Commission in accordance with these rules.

Chapter III

Investor Education Fund

9. Investor Education Fund. - (1) A fund named "Investor Education Fund" shall be formed under these rules, and such fund shall be operated through an approved scheduled bank account.

(2) Grants provided by local authorities, exchanges, depositories, clearing and settlement companies, issuers, and other institutions related to capital markets, any person or institution, or any foreign organization, or funds received from the social responsibility head or any other head of any institution, shall be deposited into the aforementioned fund.

(3) A committee named "Fund Management Committee" shall be formed by order of the Commission for the management of the aforementioned fund, and the bank account mentioned in sub-rule (1) shall be operated with the signatures of at least two members nominated by this committee.

(4) Programs under Rules 3, 4, 5, 6, and 7 and other related expenses shall be met from the aforementioned fund in a manner approved by the Commission.

(5) The preparation of an annual budget and the release of funds for expenditure under these rules shall be determined by order of the Commission.

(6) The Commission may issue orders regarding the fund from time to time.

10. Accounting and Audit. - (1) The committee mentioned in sub-rule (3) of Rule 9 shall maintain the accounts of the fund created under sub-rule (1) of Rule 9 and prepare account statements.

(2) The internal audit department of the Commission shall audit the half-yearly account statements of the fund mentioned in sub-rule (1) of Rule 9.

(3) The audit mentioned in sub-rule (2) shall be completed within 30 (thirty) days after the end of each half-year.

(4) The annual account statement shall be audited by a recognized audit firm.

(5) The audit work mentioned in sub-rule (4) shall be completed within 120 (one hundred twenty) days after the end of each financial year, and the audited account statement shall be submitted to the Commission within the next 14 (fourteen) days:

Provided that, in case of delay in auditing the aforementioned account statement or submitting it to the Commission within the specified time due to any reasonable cause, the Commission may extend the said time limit.

11. Abolition of Investor Education Fund. - (1) After the establishment of the Academy mentioned in Rule 12, the Investor Education Fund mentioned in Rule 9 shall be abolished at the time and in the manner determined by order of the Commission, and such fund shall be merged with the fund of the Academy mentioned in Rule 17.

(2) After the merger mentioned in sub-rule (1), the operation of Rules 9 and 10 shall cease to be effective.

Chapter IV

Establishment of Academy

12. Establishment of Academy. - (1) For the expansion of investor education, an Academy named "Bangladesh Academy for Securities Market (BASM)" shall be established by the Commission under the supervision of the Department.

(2) The Academy shall undertake all matters mentioned in Rules 3, 4, and 6, and may conduct and certify training, certificate courses, diplomas, post-graduate courses, and other courses related to investment and the securities market as determined by the Commission:

Provided that, after Rule 11 becomes effective, the Academy may manage all programs and activities under Rules 5 and 7 in addition to the aforementioned programs.

(3) With the approval of the Commission, the Academy may conduct all programs mentioned in sub-rule (2) free of charge and, where applicable, with fees.

13. Board of Governors of the Academy. - (1) The Commission shall form a Board of Governors of the Academy consisting of not more than 17 (seventeen) members by order.

(2) The Commission may reconstitute this Board if necessary.

14. Board Meetings and Honorarium. - (1) The Board shall hold at least three meetings per year at the time and place determined by its Chairman.

(2) The Chairman of the Board shall convene meetings by giving notice of at least 07 (seven) days:

Provided that, in emergency situations, meetings may be convened with notice of less than 07 (seven) days.

(3) At least one-third of the members must be present to constitute a quorum at the meeting.

(4) The Chairman shall preside over all meetings of the Board, and in their absence, any member elected by the attending members shall preside over the meeting.

(5) Decisions at the Board meeting shall be taken by the majority vote of the members present, and in case of a tie in voting, the presiding person shall have the power to cast a second or casting vote.

(6) Members of the Board shall be entitled to honorarium for their attendance at meetings, which shall be determined by order from time to time under these rules.

15. Executives of the Academy. - (1) The Director General and Additional Director General shall be the Chief and Deputy Chief Executives of the Academy, respectively.

1
[(2) One Executive Director and one Director from the Commission shall be appointed as Executive Director and Additional Director General of the Bangladesh Securities and Exchange Commission Rules, 2021 respectively, by complying with the relevant provisions of the Bangladesh Securities and Exchange Commission (Service) Rules, 2021.

Provided that, if the Commission is unable to appoint the Executive Director and Additional Director General from the existing officers, the Commission may, after verifying the suitability of the existing officers, appoint the Executive Director and Additional Director General from among the suitable officers.]]

16. Employment of Academy Staff. - (1) With the approval of the Board, the required number of staff of various grades (permanent, temporary, or contract-based) for the Academy may be employed.

(2) Staff of various grades of the Commission may be posted or employed in various positions of the Academy, subject to compliance with the relevant provisions of the Bangladesh Securities and Exchange Commission (Service) Rules, 2014.

(3) The employment and terms and conditions of the Academy's own staff shall be determined by the Board.

(4) The salaries and allowances of all staff of the Academy shall be determined from time to time by the rules formulated by the Board.

17. Academy Fund. - (1) A fund named "Bangladesh Academy for Securities Market Fund" shall be formed to meet all expenses of the Academy, and such fund shall be operated through an account in a scheduled bank approved by the Board.

(2) Grants provided by the Commission, institutions related to the capital market, local authorities, any person or institution, or any foreign organization, or funds received from any other head, and the surplus funds of the Academy shall be deposited into the aforementioned fund.

(3) For the purpose of meeting the expenses of running programs under Rules 3, 4, and 6 by the Academy, the necessary funds may be provided from the fund mentioned in sub-rule (1) from the fund of Rule 9:

Provided that, after Rule 11 becomes effective, the Academy shall meet the expenses of running the programs mentioned in sub-rules (2) and (3) of Rule 12 from its own fund.

1 Approved by Notification No. 53.02.0000.000.201.22.0351.16.96.272.158, dated: October 30, 2025, which was published in the Bangladesh Gazette on November 6, 2025.

18. Financial Year and Budget of the Academy. - (1) The financial year of the Academy shall be calculated from July 1 of any calendar year to June 30 of the next calendar year.

(2) The annual budget of the Academy shall be approved by its Board.

(3) The salaries and allowances of the Academy's staff and all expenses for its operation shall be met from the fund mentioned in Rule 17.

19. Accounting and Audit. - (1) The Academy shall properly maintain its accounts and prepare annual account statements.

(2) The annual account statement shall be audited by a recognized audit firm.

(3) The audit work mentioned in sub-rule (2) shall be completed within 120 (one hundred twenty) days after the end of the financial year, and the audited account statement shall be submitted to the Commission within the next 14 (fourteen) days:

Provided that, in case of delay in auditing the aforementioned account statement or submitting it to the Commission within the specified time due to any reasonable cause, the Commission may extend the said time limit upon application by the Academy.

20. Reports, etc. - (1) The Academy shall prepare its annual report and, after approval by the Board, submit the said report to the Commission.

(2) The Commission may, as necessary, request reports and details from the Academy on any matter, and the Academy shall be bound to send them to the Commission.

Chapter V

Miscellaneous

21. Responsibilities and Duties of Relevant Institutions for Investor Education and Training. - (1) Each exchange, depository, clearing and settlement company, other Self-Regulatory Organizations (SROs), market intermediary institutions, and issuer companies shall take necessary measures, including establishing separate departments, working groups, etc., in the manner determined by the Commission for the management of investor education and training programs.

(2) For the management of training programs, the Commission and relevant institutions shall employ trainers and determine and provide their honorarium.

(3) Relevant institutions shall meet the expenses of investor education programs managed on their own initiative.

(4) In addition to meeting the expenses mentioned in sub-rule (3), relevant institutions shall contribute to the funds mentioned in Rule 9 and the subsequently amended Rule 17 at times and in amounts determined by the Commission to meet the expenses of programs undertaken by the Commission to fulfill the purpose of these rules.

(5) Relevant institutions shall regularly train all their office staff on capital market laws, codes of conduct, responsibilities and duties, and provide investor education and training.

(6) Relevant institutions shall regularly train their customers regarding investor education, as well as the responsibilities and rights related to the services and products provided.

(7) Relevant institutions shall publish investor education and training programs and subject matters on their own websites.

(8) The aforementioned institutions shall regularly send reports to the relevant department of the Commission regarding the investor education or training programs they operate.

(9) Relevant institutions shall ensure customer service by arranging for the resolution of customer complaints in the manner determined by the Commission.

22. Contracts, etc. - The Academy may, for the fulfillment of its objectives, with the prior approval of the Commission and subject to compliance with the relevant provisions of the Act, enter into contracts, Memorandums of Understanding (MoU), or Memorandums of Agreement (MoA) with domestic and foreign institutions or organizations as necessary for the expansion of investment and securities market education.

23. Compliance with Orders or Directives. - The provisions to be complied with in these rules shall be considered as compliance with directives or orders issued by the Bangladesh Securities and Exchange Commission Act, 1993:

Provided that, in exercise of the powers vested in it, the Commission may issue other orders or directives from time to time to fulfill the purpose of these rules.

24. Saving. - Anything done or being done prior to the commencement of these rules that is consistent with these rules shall be deemed to have been done or taken under these rules.

By Order of the
Bangladesh Securities and Exchange Commission,

Dr. M. Khairul Hossain
Chairman.