Rule · BSEC · 12 Aug 2021
The Bangladesh Securities and Exchange Commission amends Directive No. BSEC/Surveillance/2020-975/201 to adjust the maximum margin loan limits for TREC holders under the Margin Rules, 1999. TREC holders must extend credit facilities based on the DSE X Index: a 80% limit when the index is below 8,000 and a 50% limit when it is 8,001 or above. These changes take immediate effect until further order.
Bangladesh Securities and Exchange Commission
No. BSEC/Surveillance/2020-975/240
12 August 2021
Directive
Considering the Covid-19 pandemic situation, the Commission’s Directive No. BSEC/Surveillance/2020- 975/201 dated April 04, 2021 will be amended. For the interest of the investors, the TREC holders of the stock exchanges will extend maximum limit of credit facilities to their approved clients in the following manner under the Margin Rules, 1999, until further order:
| Sl No. | DSE X Index | Maximum margin loan limit |
|---|---|---|
| 1 | Below 8,000 | 1:0.80 Basis i.e. 80% of the clients margin/deposit |
| 2 | 8,001 or above | 1:0.50 Basis i.e. 50% of the clients margin/deposit |
This shall have immediate effect.
By order of the Bangladesh Securities and Exchange Commission
Professor Shibli Rubayat-Ul-Islam
Chairman
Securities Commission Bhaban, E-6/C Agargaon, Sher-e-Bangla Nagar Administrative Area, Dhaka-1207, Bangladesh Phone (PABX): +88-02-55007131-2, Fax: +88-02-55007106, Email: info@sec.gov.bd, Web: www.sec.gov.bd
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“the Commission’s Directive No. BSEC/Surveillance/2020- 975/201 dated April 04, 2021 will be amended.”
This document amends: Directive on Margin loan facilities
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