ADVOKS GLOBAL · KENYA
The Capital Markets (Licensing Requirements) (General) Regulations
5. Membership of securities exchange
Edition: 2023-10-06 · In force
5. Membership of securities exchange
(1)Trading participants of a securities exchange shall be licensees of the Authority with rights to trade at an approved securities exchange.(1A)The Authority may prescribe limits on the ownership of a securities exchange by its trading participants.(2)A securities exchange may, in accordance with the procedures prescribed in its rules, admit as a trading participant, any person who has been licensed by the Authority to exercise rights to trade—(a)if that person satisfies any admission requirements of the securities exchange; and(b)on payment of admission fee approved by the Authority under section 29(2) of the Act,and accord that person the applicable rights to the relevant category of admission:Provided that, a securities exchange may assess an application for admission by a person seeking a licence from the Authority and issue a confirmation that that person shall be admitted upon securing a license from the Authority.(3)A trading participant of a securities exchange or a director or a shareholder of a trading participant shall not be a director or hold beneficial interest either directly or indirectly in more than one trading participant of a securities exchange unless the trading participants has been exempted by the Authority on the basis of evidence of adequate internal controls to address conflict of interest.(4)In case of a listed trading participant of a securities exchange, an interest of fifteen per cent or more of the voting shares held directly or indirectly shall be deemed to be a person’s beneficial interest for purpose of these Regulations.