ADVOKS GLOBAL · KENYA
The Capital Markets (Derivatives Markets) Regulations
15. Net worth requirements
Edition: 2025-02-14 · In force
15. Net worth requirements
(1)A derivatives exchange shall maintain, at all times, liquid net worth amounts of a type acceptable to the Authority, which shall be adequate in relation to the nature, size and complexity of the business of that derivatives exchange to ensure that there is no significant risk that liabilities may not be met as they fall due.(2)The minimum liquid networth capital requirement for a derivatives exchange shall be—(a)an amount equal to one half of the estimated gross operating costs of the derivatives exchange for the next twelve-month period; or(b)such other liquid networth amount as may be prescribed by the Authority.(3)A derivatives exchange shall have systems and controls to enable the derivatives exchange to determine and monitor whether its liquid networth is sufficient for the purposes of subregulation (1) and the minimum liquid net worth requirement for the purposes of subregulation (2).(4)A derivatives exchange shall submit to the Authority a liquid net worth certificate within thirty days after the end of each quarter.(5)A derivatives exchange shall, at least once in each year, submit to the Authority an audited liquid net worth certificate from the auditor within ninety days after the end of each year.Ownership of a Derivatives Exchange