Bangkok, 31 August 2017 ? The SEC is seeking public comments on the draft rules concerning determination of paid-up registered capital of securities and derivatives intermediaries to better suit their respective types of risks and facilitate development of different types of securities businesses.

Pursuant to the current rules, the paid-up registered capital of securities companies and derivatives business operators is determined by the types of license packages, each permitting a scope of various business undertakings. For example, Type A Securities Business License requires the minimum paid-up capital of 500 million baht for undertaking the following businesses ? brokerage, dealing and underwriting of securities, investment advisory, mutual fund/private fund management, securities borrowing and lending, and joint venture management. As a result, any intermediary wishing to operate only brokerage business, for example, would have to meet the high minimum paid-up capital rule despite its own low risk exposure. In addition, such requirement may be inconsistent with the business types or the business risks of intermediaries, and may not support the development of new businesses that make use of financial innovations.

Therefore, the SEC has proposed amendment to the paid-up capital rules to be issued in three notifications by taking into consideration stakeholders? comments and recommendations gathered from the previous hearings on the governing principles taking place in May and June 2017.

The consultation paper is available at www.sec.or.th/hearing. Stakeholders and interested parties are welcome to submit comments through the website, or facsimile at 0-2033-9660 or email: nattasasi@sec.or.th or rangrong@sec.or.th. The public hearing ends on 19 September 2017.