ADVOKS GLOBAL · KENYA
The Capital Markets (Licensing Requirements)(General) Regulations, 2025
8. Boards of directors of securities exchanges
Edition: 2025-12-11 · In force
8. Boards of directors of securities exchanges
(1)Each securities exchange shall provide in its rules and articles of association —(a)the tenure for the chairperson which shall be three years, renewable once;(b)a board of directors comprising of the chief executive officer of the securities exchange and at least one third independent and non-executive directors;(c)a maximum of two members of the board of directors who shall be elected from among the trading participants to represent the trading participants;(d)the independent and non-executive directors appointed under subparagraph (b) shall be persons who have knowledge and experience in investments, public service and corporate governance and shall represent the interests of investors and the public interest:Provided that prior to making the appointment, the securities exchange shall submit the names of the persons proposed to be appointed as directors to the Authority for confirmation that the Authority has no objection to the proposed appointments;(e)two members of the board shall be elected by the shareholders of the securities exchange from nominees of companies listed on the securities exchange to represent the listed companies.(2)Subject to paragraph (1) (c), (d) and (e), the other persons appointed to the board of directors shall be elected by the shareholders of the exchange in accordance with the Companies Act.(3)A director of a securities exchange has a duty to act in the best interests of investors and, where there is a conflict between the interests of the investors and the interests of the securities exchange, the director shall give priority to the interests of the investors.