DFIM Circular No. 08: Re-fixation of highest rate/limit of margin loans provided by subsidiaries of Financial Institutions formed for Merchant Banking/Brokerage activities

DFIM Circular No. 08
Date: 20 November 2012
6 Agrahayan, 1419

To,
Chief Executive/Managing Director, All Financial Institutions operating in Bangladesh.

Dear Sir,

Re: Re-fixation of the highest rate/limit of margin loans provided by subsidiary companies formed for the purpose of conducting Merchant Banking/Brokerage programs.

Through their Orders No. SEC/CMRRRC/2009-193/135 and SEC/CMRRRC/2009-193/136 dated September 30, 2012, the Securities and Exchange Commission (SEC) has re-fixed the maximum rate/limit of margin loans that stock exchange members may provide to customers. In this regard, you are advised to properly comply with the aforementioned instructions of the SEC regarding the margin loans that your subsidiary companies, formed for the purpose of conducting Merchant Banking/Brokerage programs, may provide to customers.

Please acknowledge receipt.

Yours faithfully,

(A. K. M. Amzad Hossain)
Deputy General Manager
Phone: 9530249

DFIM: B: Fin. Reg. Dept. www.dbd.gov.bd www.finreg.gov.bd

Financial Institutions and Markets Department Head Office Dhaka. Bangladesh Bank